SK Hynix stock surges 8% on news of $30 billion share buyback

South Korean memory chip giant SK Hynix saw its stock price jump significantly on Thursday, climbing over 8% after the company announced an ambitious plan to buy back and retire a substantial portion of its own shares. The news sent ripples through the market, highlighting the company's commitment to enhancing shareholder value.

As of 9:17 AM on the KOSPI, SK Hynix shares were trading at 1,622,000 won, an increase of 122,000 won from the previous trading day. This surge followed the company's disclosure after market close on Wednesday regarding its decision to repurchase 24.07 million common shares through open market purchases.

All repurchased shares are slated for retirement, a move that typically reduces the number of outstanding shares, thereby potentially increasing earnings per share and boosting the stock price. The total value of the planned buyback is approximately 40.043 trillion won, signaling a major financial commitment by SK Hynix aimed at rewarding its investors and demonstrating confidence in its long-term strategy.