The popular animated series "Catch! Teenieping" production company SAMG Entertainment is experiencing a drop of over 18%. This decline is interpreted as a result of investment sentiment being dampened due to second-quarter performance falling below expectations.
As of 10:10 a.m. on the 18th, SAMG Entertainment is trading at 59,800 won, down 13,700 won (18.64%) compared to the previous trading day.
SAMG Entertainment reported consolidated revenues of 35.5 billion won and operating profits of 5.4 billion won on the 14th after market close. These figures fall short of the consensus estimates of 36.4 billion won in revenue and 6.4 billion won in operating profit. Compared to the previous quarter, revenues and operating profits decreased by 0.7% and 14.8%, respectively.
However, some analysts in the securities industry suggest that this stock price drop is an overreaction. Kim Ah-ram, a researcher at Shinhan Investment Corporation, noted, "SAMG Entertainment is successfully expanding from its existing focus on infants to the 10-30s kidult (kids + adult) market, and collaboration with SM Entertainment artist aespa has not even been revealed yet."