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(Photo = SM entertainment) |
[Alpha Biz= Reporter Paul Lee] Samsung Securities predicted on the 17th that SM Entertainment (SM, hereinafter referred to as SM) will continue to grow by expanding the artist pool and concert size this year.
Samsung Securities made the remarks in a report, maintaining its investment opinion on SM and its target stock price of 104,000 won.
"It is positive that boy group Rise, which debuted in September last year, and NCT Wish, which debuted this year, are rapidly growing fandom at home and abroad," Samsung Securities said. "We will expand our growth pace this year thanks to the addition of new intellectual property (IP) and the number of performances as well as existing artists."
It is explained that the increase in sales will lead the improvement of the performance as the world tour of NCT Dream, the regular SPA album, and the first album of Rise Mini in the second quarter are scheduled to be released next month, and the tour is scheduled to take place after the release of the Korea Credit Guarantee Fund.
The first quarter's performance is expected to be slightly below the market consensus (average performance forecast).
Consolidated sales in the first quarter rose 2.7 percent year-on-year to 29.4 billion won and operating profit rose 28.3 percent to 23.4 billion won. This is less than the market estimate of 26.1 billion won.
AlphaBIZ Paul Lee(hoondork1977@alphabiz.co.kr)
