[Click eStock] "JYP Entertainment, Profitability Recovery"

Hana Securities analyzed on the 14th that JYP Ent.'s poor performance in the second quarter of this year was reflected as a 'surprise performance' in the third quarter, restoring its inherent profitability. The target stock price was raised from the previous 74,000 KRW to 78,000 KRW.

JYP Ent. recorded sales of 170.5 billion KRW and an operating profit of 48.4 billion KRW in the third quarter of this year. These figures represent increases of 22% and 10%, respectively, compared to the same period last year. The operating profit exceeded the market expectation of 37.7 billion KRW.

Lee Ki-hoon, a researcher at Hana Securities, explained, "In terms of artist growth, Stray Kids surpassed an important milestone of 1 million album sales in the United States," adding, "Twice is generating management revenue exceeding expectations through both full-group and solo dome tours."

He continued, "Currently, the stock price is valued the same as SM based on next year's standards," and added, "Considering profitability and artist growth potential, it is a relatively significantly undervalued range."

The researcher emphasized, "In the fourth quarter, sales are expected to increase as Twice, Stray Kids, ITZY, and NEXZ will be active," and "The Korean male rookie group Loud Project may debut next month."