[Click eStock] "JYP Entertainment, Niziu's Record Is Just the Beginning"

Hana Financial Investment Issues 'Buy' Rating and Sets Target Price at 48,000 Won... Closing Price on 2nd at 39,150 Won

JYP Entertainment's 'NiziU' (Photo by NiziU Official Website)

[Asia Economy Reporter Kum Boryeong] JYP Entertainment's (JYP Ent.) rookie group NiziU is expected to continue setting records.

On the 3rd, Hana Financial Investment gave JYP Entertainment a 'Buy' rating with a target price of 48,000 KRW. The closing price on the 2nd was 39,150 KRW.

NiziU officially debuted the day before. Lee Ki-hoon, a researcher at Hana Financial Investment, explained, "As of the 30th of last month, pre-orders for NiziU's debut single exceeded 370,000 copies. Compared to the Japanese industry, this is tremendous. It ranks about 8th within the Japanese industry this year. Depending on the speed of success, there is potential for album sales to grow to 700,000 to 1,000,000 copies within two years."

In 2022, a dome tour is expected to be possible, which will also increase MD sales. The researcher added, "Looking at Japan's segment sales from 2017 to 2019, the combined sales ratio of MD and others compared to album sales has consistently been about four times. For K-pop idols, it took no more than 20 months to reach a dome tour after surpassing 200,000 single sales, so NiziU's dome tour in 2022 seems natural. Considering that NiziU's album sales in Japan can easily be more than twice that of TWICE, the performance consensus is expected to steadily rise."

Hana Financial Investment estimates that JYP Entertainment's Japan sales in 2022-2023, when NiziU's tour is possible, will be at least double last year's 41.1 billion KRW. The researcher said, "Next year, one male group each is scheduled to debut in Korea and China, and there is a high possibility that Nizi Project Season 2 will also be produced. It is absurd to say the momentum is over; this is just the beginning of NiziU's record. Active buying during corrections is effective."