Barclays has reiterated its Overweight rating on SK Hynix Inc. (NASDAQ: SKHY), while trimming its price target to $300 from a prior $330.

Analyst Simon Coles lowered the firm’s estimates to account for weaker average selling prices expected in the second quarter of 2026.

The revised price target reflects downward pressure on average selling price forecasts for memory semiconductors, with commodity DRAM facing the steepest headwinds.

Despite the target reduction, Barclays maintained its positive stance, pointing to SK Hynix’s competitive position in high-bandwidth memory as a key differentiator.

The firm also highlighted SK Hynix’s partnership with Nvidia as a durable source of revenue support and a structural advantage over rivals in the memory space.

Barclays argued that the current share price already reflects pessimistic average selling price expectations, leaving limited room for further valuation downside.

The firm flagged a potential shareholder return plan announcement later this year as a meaningful positive catalyst for the stock.

“High bandwidth memory pricing still provides a tailwind into 2027,” Coles told investors in a research note, reinforcing the bullish long-term case for the company.

Barclays expects SK Hynix to return approximately 15% of its market cap to shareholders while retaining capacity to expand operations materially and pursue new investment opportunities.

The company reported revenue growth of 145% over the last twelve months, alongside a gross profit margin of 70.2%, both of which underpin the firm’s optimistic outlook.

Supply and demand tightness is expected to sustain average selling prices even as some major customers potentially reduce memory content to navigate existing supply constraints.

The stock currently trades at a price-to-earnings ratio of 18.29, while the analyst consensus stands at 1.43, reflecting strong buy sentiment across the investment community.

Price targets from analysts covering SK Hynix currently range from $152 to $355, illustrating a wide spread of opinion but a generally constructive long-term view on the chipmaker.