Asian stocks are rising for a fourth day, led by Japan and Taiwan as lower oil prices and Nvidia's post-earnings jump help those markets. Korea is being dragged down by a rotation away from memory-chip stocks after the Nvidia rebound.
SK Hynix is trading at only 7x one-year forward earnings versus the Nasdaq at over 20x, making it attractively valued despite the massive AI-driven rally. Strong earnings and supply-demand imbalance support further upside.
Due to the 10% cap on single stock exposure, asset managers are forced to sell Samsung and SK Hynix shares. They are rotating into Samsung Life Insurance as a proxy to benefit from the AI boom without breaching the cap. Samsung Life holds large stakes in Samsung Electronics, providing indirect exposure.