Rookie girl group NewJeans with their outstanding achievements is expected to support HYBE in the face of BTS’ enlistment.
From a tiny company with billions of won in debt, HYBE Labels (BigHit Entertainment in the past), has slowly but surely solidified their presence in the Kpop world and became a leading entertainment agency in Korea, all thanks to the massive success of BTS. In fact, it’s no exaggeration to say that BTS is the “pillar” of HYBE, and so when the group announced they are focusing on individual, instead of group activities, the stock price of HYBE immediately plummeted, especially in the face of the group’s approaching enlistment.
Unlike other Kpop groups, who released teasers and photos prior to their official debut, NewJeans made a sudden entrance, dropping their MV first and foremost. As the 2nd girl group to debut under HYBE Labels (after LE SSERAFIM), NewJeans receive a lot of praise for their concept, styling, visuals, and of course, music quality.
Not befalling expectations, NewJeans constantly break records, topping debut album sales and becoming the only Kpop artist who debut in 2022 to earn a Real Time All-Kill (topping the real time rankings of all digital music platforms on iChart). The group is also sporting intense topicality, with constant discussions surrounding them on SNS platforms. In addition, despite only dropping 4 songs so far, the popularity of NewJeans can be comparable to top girl groups, leading to anticipation that they will be a formidable competitor of IVE for the title of “Rookie of the Year” in year-end awards.
With such outstanding achievements, the grand debut of NewJeans helped raise HYBE’s stock price as well. According to Korea Stock Exchange, HYBE’s stock price has increased by 2.73% compared to the previous trading days, and the company recorded a growth of around 12.58% in the second half, despite grim predictions in the face of BTS’ approaching enlistment.
“The debuts of LE SSERAFIM in May and of ADOR’s NewJeans in July are expected to contribute greatly to the revenue and growth of HYBE Labels”, said analyst Song Beom Yong.
Meanwhile, researcher Nam Hyo Ji said: “Matters related to BTS’ enlistment has caused HYBE’s stock price to plummet. However, with the potential of 4 rookie groups that debuted in this year and will debut in next year, as well as game development and other ventures, HYBE possesses huge capabilities for growth.”
