The flow of YG’s current stock price is evaluated as not good but its investment attractiveness is high as sales are expected to rebound in the second half of this year with BLACKPINK’s comeback.
NH Investment and Securities (CEO Jung Young-chae) maintained its investment opinion of “buying” and a target stock price of 85,000 won for YG Entertainment.
Lee Hwa-jung, an investment analyst at NH Investment and Securities said, “YG’s stock price is currently seeing a low performance due to the lack of activities from their major artists. However, Investment attractiveness is high as momentum will soon be active again. YG is expected to maximize their fandom sales in albums and MDs with BLACKPINK’s comeback, the resuming of concerts, and BIG BANG’s news.”
The analyst explained, “In the case of YG’s boy group TREASURE, their sales in Japan, which had been sluggish for a while, will resume in earnest as they have confirmed the plan for Japan Tour with an estimated amount of audience of 155,000 in the 4th quarter”, adding, “As YG Entertainment’s global public awareness has increased, their advertising sales this quarter also reached 15 billion won”.
They continued, “YG is expected to witness strong performance growth by the time BLACKPINK’s activities resume around next month and early July”, adding, “The new girl gỏup to be introduced in the second half of this year is also a highly anticipated factor”.
Kiwoom Securities (CEO Hwang Hyun-soo) also kept the opinion of “buying” with an investment goal of 89,000 won for YG Entertainment. They stated, “YG’s performance will improve rapidly thanks to BLACKPINK’s comeback as a whole group in the second quarter.”
Kiwoom Securities’s investment analyst Lee Nam-soo said, “BLACKPINK, which is expected to hold a spectacular comeback this year, will return as a group will full members for the first time in two years. This will directly contribute to the concert and MD sales”, adding, “BLACKPINK’s concert is expected to be held with more than 20 shows and attract 300,000 audiences”.
Giving a bright outlook for YG’s performance in the second quarter of this year, they continued, “TREASURE sold 800,000 copies of their album in the first quarter, Winner and iKON are also resuming activities”.