[Click eStock] "NHN, Focus on Valuation Appeal"

[Asia Economy Reporter Park Jihwan] Korea Investment & Securities evaluated that NHN should be noted for its valuation attractiveness (stock price level relative to performance) on the 21st. While maintaining a 'Buy' investment opinion, the target price was changed from the previous 110,000 KRW to 55,000 KRW. This target price change is not due to a change in corporate value but because the number of shares increased due to the 1:1 bonus issue announced in December.

Jung Hoyoon, a researcher at Korea Investment & Securities, stated, "The fourth-quarter performance is expected to comfortably meet consensus," adding, "Sales are expected to be 514.5 billion KRW, and operating profit 29.3 billion KRW, representing increases of 15.6% and 93.9% respectively compared to the same period last year." The gaming segment's performance is estimated to be favorable due to the growth of web board games, collaboration events in the core mobile game lineup, and new releases. Additionally, due to the peak season effect in the fourth quarter, strong sales are expected in the commerce and payment divisions, while the technology division is also expected to continue its growth trend by acquiring new clients such as the Bank of Korea.

Researcher Jung Hoyoon said, "This year, it is necessary to expect results from the gaming division," emphasizing, "It should be remembered that a game lineup capable of generating hits, including new titles applying the P2E system, is waiting." He also added, "Considering the value of Payco and subsidiary equity, NHN's valuation attractiveness is high," and "The low risk of stock price decline is a good investment point during times when macro uncertainties are highlighted, as recently."