With SK Hynix’s Nasdaq debut, Canadians have a new way to invest in AI. But should they?
South Korean chipmaker SK Hynix has debuted on the Nasdaq, providing Canadian investors a new way to access the AI hardware market. Financial experts warn that while the listing is significant, the semiconductor sector remains volatile and carries inherent investment risks.
Why it matters
The listing highlights the growing global investor interest in AI infrastructure and the potential risks associated with high-growth, cyclical technology stocks.
Semiconductor and memory chip company SK Hynix CEO Kwak Noh-Jung attends the company's opening bell ceremony at the Nasdaq market on the day of their IPO, New York City, July 10. Angelina Katsanis/Reuters
Canadian investors now have a new pathway to invest in the hardware behind artificial intelligence data centres, after South Korean chipmaker SK Hynix debuted on the Nasdaq on Friday.
Trading in SK Hynix American Depositary Receipts followed a US$26.5-billion share sale, the largest listing by a foreign firm in the U.S. ever. The ADRs surged over their offer price on Friday, before closing up almost 13 per cent on the day. Each U.S.-dollar-denominated ADR represents 10 SK Hynix common shares.
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