[Click eStock] "Wysiwyg Studio Completes 2nd Generation Studio"

IBK Investment "Wysiwyg Studio Target Price Raised from 7,000 Won to 14,000 Won"
Initially Criticized for Aggressive Investment... Financial Soundness Secured through Com2uS Equity Investment

[Asia Economy Reporter Gong Byung-sun] Wysiwyg Studio has completed its second-generation studio. Although it was initially criticized for aggressive investments, it is recently being reevaluated as it merges and acquires content companies. On the 28th, IBK Investment & Securities raised the target price for Wysiwyg Studio from 7,000 KRW to 14,000 KRW, maintaining a 'Buy' rating.

Wysiwyg Studio is regarded as having completed its second-generation studio. In the film sector, it acquired Instar and Merry Christmas, and in the drama sector, it consolidated with RaemongRaein, H World Pictures, Imine Nine Coms, and W Culture. Additionally, in the entertainment sector, it acquired shares in Choco Entertainment, OnDemand Korea, and Imine Nine Coms. Based on experience, the new media sector is preparing for a transition into the metaverse, augmented reality, and virtual reality markets through the acquisitions of NP and NPCNC. On the 22nd, it acquired Goznook ENT, a specialized developer of video-focused intellectual property.

As a result, the corporate value is being reevaluated. Although initially criticized for aggressive investments, it has shown achievements such as producing visual effects (VFX) for the film Space Sweepers. Financial soundness has also been secured through equity investment from Com2uS. Park Yong-hee, a researcher at IBK Investment & Securities, said, "Small-scale mergers are also planned to create synergy among the acquired companies," adding, "The financial soundness and brand power of each business company are expected to grow."

IBK Investment & Securities forecasts Wysiwyg Studio's sales this year to reach 150 billion KRW, a 36.9% increase compared to the same period last year, and operating profit to rise by 694.2% to 15 billion KRW. By business sector, VFX and new media sales are expected to increase by 15.4% to 23.3 billion KRW, content production sales to grow 50% to 100.8 billion KRW, and exhibition and event sales to rise 10% to 26.8 billion KRW. Researcher Park predicted, "Quarterly sales and operating profit will show a pattern of lower in the first half and higher in the second half."