It was supposed to be a golden year for IPOs, but the latest stock market debuts have deeply disappointed investors. After surging following their high-profile offerings, SK Hynix and SpaceX have lost momentum and fallen below their offer prices. Newly listed Chinese company CXMT is experiencing the same fate.

SK Hynix: from soaring high to a steep fall

South Korea’s SK Hynix is currently in the spotlight after losing nearly 15% in Seoul this morning, dragging down the Kospi index by 11% and fellow chipmaker and rival Samsung by 13.3%.

Having shed almost $600 billion in value in little more than a month, SK Hynix has gone from being one of the world’s most promising artificial intelligence stocks to one of the market’s biggest disappointments.

Shares in the South Korean memory-chip manufacturer, which is due to publish its quarterly results tomorrow, have plunged 47% from the record high reached in June. The decline reflects concerns about an increasingly crowded market and a surge in volatility driven by financial leverage. SK Hynix has consequently dropped out of the club of companies valued at $1 trillion.

The sharp fall has made the stock look particularly inexpensive, reflecting the traditionally cyclical nature of the memory-chip industry. SK Hynix shares now trade at 3.7 times forecast earnings, half their valuation a month ago and below rival Micron Technology’s multiple of 6.2.

The Korean company now has greater relevance for international investors following the Wall Street listing of its American Depositary Receipts. Their value has fallen below the July 9 offer price of $149. Yesterday, SK Hynix ADRs closed at $143.02 each, 4% below the listing price, after touching a low of $139.01.