SK Hynix Drops 15% as Chip Stocks Slide on Renewed AI Trade Angst

SK Hynix shares reversed sharply after its record U.S. debut, falling 15% in Asia and dragging the broader chip sector lower amid concerns that AI-memory valuations have outpaced fundamentals. The pullback follows a triumphant $26.5 billion Nasdaq listing on July 10 that validated sustained investor appetite for AI infrastructure names. Earlier momentum had been fueled by Micron’s robust guidance, NVIDIA’s $75.2 billion data-center revenue, and KLA’s outsized gains, all pointing to broad-based semiconductor spending. Despite the rotation out of crowded AI positions, analysts note that memory demand remains structurally supported by hyperscale buildouts.