[Featured Stock] JYP Entertainment Falls Over 7% Amid Q2 Earnings Shock

JYP Ent. is showing a decline of over 7% due to poor performance in the second quarter of this year.

As of 9:37 AM on the 14th, JYP Ent. is trading at 50,700 KRW, down 3,900 KRW (7.14%) from the previous day.

On the previous day, JYP Ent. announced that its consolidated sales for the second quarter of this year were 95.7 billion KRW, and operating profit was 9.3 billion KRW. These figures represent decreases of 36.9% and 79.6%, respectively, compared to the same period last year. Park Soo-young, a researcher at Hanwha Investment & Securities, stated, "The operating profit fell significantly short of the consensus (average forecast by securities firms) of 21.8 billion KRW, resulting in an earnings shock. Although it was a quarter with low expectations due to the absence of activities such as album and original releases and concerts of major intellectual properties (IP), the operating profit margin of less than 10% is somewhat disappointing." Hanwha Investment & Securities also lowered the target stock price to 65,000 KRW, reflecting the downward revision of JYP Ent.'s profit estimates for this year and next.