[Click e-Stock] "Normus Poised for Expansion in China Next Year... Target Price Raised"

On September 17, DS Investment & Securities analyzed that Normus is expected to expand its business in China next year. The company maintained its 'Buy' investment rating and raised its target price to 44,000 won.

Cho Daehyung, a researcher at DS Investment & Securities, stated, "Normus has signed a contract with Mango Chaomi and Hunan Broadcasting System, both under the Hunan provincial government’s state-owned media group, to establish business cooperation focused on entering the Chinese market." He added, "With collaborations involving platforms that have already established a solid presence in China, Normus is expected to achieve a stable entry into the market."

He continued, "There have been doubts that the postponement of recent performances in China might limit the impact of Normus's collaborations on its results. However, Normus has successfully held fan meetings in China through its partnership with the e-commerce platform under Mango Chaomi," he explained.

He further noted, "This is because the business structure enables synergy by securing performances, commerce, and platforms." He added, "Even without performances, the company expects to achieve at least 15 billion won in revenue in China in 2026."

He also projected that the performance business will continue to grow. He explained, "The recognition of results from the world tour of a major IP, which was expected to take place in the second half of this year, has been postponed to 2026. However, even without this tour, the total number of performances is expected to increase from 110 last year to 176 this year."

He emphasized, "We expect the company to continue its strong growth. With its strengthened fundamentals, now is the time to raise expectations for the 2026 results, which will combine the world tour of the major IP and the Chinese market."