Overnight, the stock price of Webtoon Entertainment (WBTN), the parent company of Naver Webtoon, soared more than 80% in the U.S. Nasdaq market, leading domestic webtoon stocks to also show strength.
Mr.Blue shares were traded at 1,885 won in the KOSDAQ market at 9:13 a.m. on the 14th. The stock price rose by 17.59% (282 won) compared to the previous day. Companies engaged in webtoon business, such as NBT, YLAB, Topco Media, and Finger Story, are all experiencing strong performance.
There is no special consolidation between Webtoon Entertainment and domestic webtoon companies, but it is interpreted that investors flocked due to the nature of theme stocks.
Webtoon Entertainment announced the establishment of a content partnership with The Walt Disney Company the previous day, causing its stock price to skyrocket. Five titles, including 'Amazing Spider-Man,' 'Avengers,' 'Star Wars,' 'Alien,' and 'A Very Old Story,' are set to be produced as webtoons.
Since entering the Nasdaq market in July of last year, Webtoon Entertainment's performance has fallen short of market expectations, showing stock prices around $10, half of the offering price of $21. The current stock price is $16.96 based on the closing price in regular trading.
However, as the stock price has surged in the short term, volatility may increase for the time being. Kim Aram, a researcher at Shinhan Investment Corp., noted, "While we expect a favorable stock price trend for Webtoon Entertainment, we should keep in mind the short-term volatility since the circulation stock volume is only 13% and the stock price has surged." He added, "For additional re-rating, it is important for the penetration rate of webtoons to rise in Western markets and for meaningful outcomes in advertising revenue, among other factors."