[Click eStock] "Gamevil, Leaping to a Comprehensive NFT and Metaverse Platform Company"

Plan to Issue Own Token as Early as the End of This Year... Aiming to Build an Independent NFT Game Ecosystem
Ebest Investment & Securities "Premium Should Be Applied Considering the Potential of NFT and Metaverse"

[Asia Economy Reporter Gong Byung-sun] Gamevil is entering the comprehensive content and platform business based on non-fungible tokens (NFT) and the metaverse. Securities analysts say that considering the competitiveness of this business, the target stock price should be raised significantly.

According to Ebest Investment & Securities on the 11th, Gamevil has decided to independently develop and provide NFT games. Next year, NFTs will be applied to a total of three games: Chromatic Soul: AFK Raid, Project MR, and Gamevil Pro Baseball NFT version.

In addition, it is expected to accelerate the NFT business by creating its own token. Com2uS plans to issue its own token as early as the end of this year or by the first quarter of next year at the latest. The plan is to combine the token with Com2uS's global game distribution platform ‘Hive’ to build an independent global NFT game ecosystem.

They are also promoting an NFT-based digital asset exchange business. After launching an idol-centered NFT-based digital asset exchange in the first quarter of next year, they plan to sequentially expand to content such as dramas and movies, as well as games, and integrate with Hive. The purchased NFT assets will be linked to the metaverse in the future, which is Gamevil’s business objective.

Accordingly, Ebest Investment & Securities maintained a ‘Buy’ investment opinion on Gamevil while significantly raising the target stock price from 48,000 KRW to 184,000 KRW. Sung Jong-hwa, a researcher at Ebest Investment & Securities, explained, “Considering the enormous potential and competitiveness of NFTs and the metaverse, it should rather receive a premium.” The closing price on the previous day was 136,000 KRW.

Meanwhile, Gamevil’s own performance was somewhat sluggish. Gamevil’s own sales in the third quarter of this year recorded 22.8 billion KRW, down 14.3% from the previous quarter, and an operating loss of 1.5 billion KRW, turning to a deficit during the same period.

However, due to a sharp increase in investment gains related to Com2uS and the domestic cryptocurrency exchange Coinone, the consolidated operating performance improved. Based on consolidated operating results, Gamevil’s sales in the third quarter of this year increased by 55% from the previous quarter to 45.9 billion KRW, and operating profit rose by 643.5% during the same period to 21.6 billion KRW. These figures exceed the respective market consensus by 25.74% and 137.42%.