Com2uS Nears Launch of Japanese Professional Baseball Rising... Securities Firms Raise Target Price

Entry into the 600 Billion KRW Japanese Baseball Game Market
Solid Performance Maintained Through Cost Management

Com2uS is attracting attention from the securities industry based on the potential success of its Japanese professional baseball mobile game ‘Pro Baseball RISING’ and continuous cost reduction effects. Major securities firms are issuing positive outlooks on Com2uS and raising their target stock prices.

According to the Korea Exchange on the 23rd, Com2uS’s stock price has been steadily rising since it fell to 34,550 KRW on September 11 last year. It has recorded an increase of over 30% in about four months until the day before.

The reason for the stock price rise is analyzed to be the anticipation for the Japanese professional baseball mobile game ‘Pro Baseball Rising,’ which will be released in March. According to analysis by SangSangIn Securities, the Japanese professional baseball mobile game market is about 600 billion KRW annually, larger in scale compared to the Major League Baseball (MLB) and Korea Baseball Organization (KBO) game markets. The market expects Com2uS to capture about 100 billion KRW in the Japanese market.

However, since Konami Japan currently dominates this market, Com2uS faces the challenge of breaking through. Currently, Com2uS is at a disadvantage compared to Konami in terms of publishing power and brand awareness in the Japanese market. Additionally, existing Konami baseball fans will have to give up their sunk costs invested in the game and switch to Com2uS’s game, so a fierce market share battle is expected.

Regarding this, Ji-Hyun Kim, a researcher at Heungkuk Securities, said, “The number of baseball fans in Japan is about four times that of Korea, making the market large,” and added, “‘Pro Baseball Rising’ uses the latest engine, showing strengths in stadium implementation and player graphics, so high revenue growth is expected.”

Ji-Eun Lee, a researcher at Daishin Securities, analyzed, “Com2uS’s baseball lineup revenue was 200.3 billion KRW last year and is expected to grow by 24% and 41% to 281.6 billion KRW in 2025, respectively,” and “The release of the new Japanese professional baseball game will act as momentum to drive stock price increases.” Along with this, Daishin Securities raised Com2uS’s target stock price from 55,000 KRW to 60,000 KRW.

Last year’s fourth-quarter performance also met the market consensus average, so no earnings shock is expected. Com2uS recorded operating losses in 2022 and 2023 but has maintained a profitable trend since the first quarter of last year through cost management.

So-Hye Kim, a researcher at Hanwha Investment & Securities, said, “Com2uS is expected to report fourth-quarter sales of 173.6 billion KRW and operating profit of 1.1 billion KRW, meeting consensus estimates,” and evaluated, “Summoners War drove user return and ARPPU (average revenue per paying user) through intellectual property (IP) collaborations.”

She added, “Currently, Com2uS’s baseball lineup has grown to an annual scale of 190 billion KRW, and if results in the Japanese market are added, earnings and valuation will improve immediately,” and “Therefore, the target stock price is raised from 55,000 KRW to 60,000 KRW.”

Seung-Ho Choi, a researcher at SangSangIn Securities, analyzed, “Even without considering Com2uS’s Japanese professional baseball, earnings growth itself is possible due to cost reductions,” and “Also, considering the upcoming release of ‘The Starlight’ (MMORPG), which is emphasized compared to Zenonia, the current stock price level is considered a valid buying opportunity.”