[Click e-Stock] "JYP, Continued Focus on Stable Growth in Artists' Achievements"

On October 27, Samsung Securities stated that attention should be paid to the balanced growth and expanding achievements of artists under JYP Entertainment. The firm maintained its "Buy" investment rating and target price of 99,000 won.

Choi Minha, a researcher at Samsung Securities, projected, "JYP's third-quarter revenue is expected to reach 216.1 billion won, up 26.8% year-on-year, with operating profit rising 7.6% to 52.1 billion won during the same period, indicating solid performance."

Choi analyzed, "With the release of new albums such as Stray Kids' fourth full-length album (3.66 million copies), Twice's fourth full-length album (790,000 copies), and Kickflip's third mini album (410,000 copies), total album sales have grown to 5.48 million copies. The success of 'K-Pop Demon Hunters,' for which Twice participated in the soundtrack, is also likely to have contributed to an increase in music revenue."

Choi continued, "Day6, Twice, and Stray Kids are maintaining stable momentum across various sectors, including concerts, merchandise, and digital music, thanks to their growing mainstream appeal. Nmixx, building on a strong fandom, is also expanding its influence by gaining broader popularity, and is expected to take another leap forward with its first world tour, which will begin in Korea at the end of November."

She also highlighted the profit stabilization of Blue Garage, a subsidiary leading the platform and merchandise business, as well as artificial intelligence (AI) projects.

Choi stated, "With the expansion of merchandise sales through the global fan platform FANS, Blue Garage's profitability is expected to improve steadily. The company has officially begun producing AI artists, aiming to develop artists capable of real-time conversation and interaction, focusing on emotional engagement with virtual entities. It remains to be seen whether AI will enable further expansion of artists' IP."

Choi added, "Due to relatively sluggish performance, the stock price trend within the sector has been disappointing, but the company's strength was clearly demonstrated from the second quarter onward. Given recent achievements, the global recognition of affiliated artists has increased significantly, and IP licensing and merchandise sales are expected to expand further through collaborations with various brands."