[Click eStock] "JYP, Performance Expected This Year... Target Price Raised to 90,000 Won"

Mirae Asset Securities raised the target price for JYP Ent. (JYP) by 12.5%, from 80,000 KRW to 90,000 KRW on the 13th, citing strong Q4 sales and expectations for increased performance in 2025. The investment rating was maintained at 'Buy.'

Researcher Kim Kyu-yeon stated, "We forecast 2025 sales to increase by 26% year-on-year to 728.4 billion KRW, and operating profit to rise by 30% to 161.4 billion KRW," adding, "We are raising the target price in line with the upward revision of earnings."

Kim also noted, "Stray Kids' North American tour, which has driven the stock price up, will take place in May and June," and added, "In 2023, TWICE conducted a U.S. stadium tour that boosted the stock price, so we believe further valuation upgrades are possible in a similar context."

He pointed out, "The indicators for rookie Kickflip are also a key point. The music video for 'Eung Geurae,' pre-released on the official YouTube channel, has recorded 11 million views on the second day and 13 million views within a week." He emphasized the need to pay attention to the indicators following the official debut on the 20th of this month.

He continued, "NMIXX, Xdinary Heroes, and NEX7 will continue their active activities," and forecasted, "They plan to expand their fandom through small-scale fan concerts and performances. After the conclusion of the KBS drama Ddanddara in Q1, the direction of the subsidiary Init Entertainment, established in 2024, will become more concrete."

Meanwhile, Q4 2024 sales are estimated at 174.9 billion KRW, with operating profit at 33 billion KRW. This exceeds the sales consensus of 162.5 billion KRW but falls short of the operating profit consensus of 38.2 billion KRW.

Researcher Kim explained, "Key artists such as Stray Kids, TWICE, and Misamo were very active, and the indicators were good," but added, "There is uncertainty regarding the timing of revenue recognition in the Japanese market. The merchandise sales, which were the main driver of the previous quarter's earnings surprise, are projected at 43.9 billion KRW."