[Click e-Stock] "NHN KCP Faces Intensifying Competition in the Stablecoin Industry"

On December 8, Kiwoom Securities raised its target price for NHN KCP to 19,000 won and maintained its "Buy" investment rating. The firm cited short-term upside potential for the stock price due to robust quarterly performance.

Jingu Kim, an analyst at Kiwoom Securities, explained, "The new target price is based on applying a target PER of 17.5 times to 48 billion won in parent company equity for 2026, with an annual discount rate of 10%. In the short term, there is upside potential due to steady quarterly results. However, from a mid- to long-term perspective, there are variables related to strategic options as competition in the stablecoin industry intensifies."

Kim forecast that NHN KCP's total transaction volume will reach 42 trillion won in 2025 and 45.2 trillion won in 2026, representing year-on-year growth of 3% and 5%, respectively. He expects operating profit for 2026 to be 56.9 billion won, up 7% from the previous year, with the operating margin improving by 0.1 percentage points year-on-year to 4.4%.

Kim noted, "Discussions on won-based stablecoins are emerging in the form of consortiums, including traditional financial institutions. As a result, competition across the industry is expected to intensify through internalization within major platform-based ecosystems or partnerships with virtual asset exchanges. In reality, it appears necessary to cooperate as a partner within a specific alliance, and this will present variables in terms of negotiating power."

He added, "Overall, alliances focused on delivering clear user-added value-such as platform-based data and AI-powered asset management agents-are expected to have significant competitive advantages. Given the intensifying competition, it will be important for the company to demonstrate, through results, how it can sustain performance growth within its chosen role."