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(Source = Wemade) |
[Alpha Biz= Reporter Kim Minyoung] On August 27, NH Investment & Securities revised its target price for Wemade from 56,000 won to 35,000 won, and downgraded its investment opinion from "Buy" to "Neutral." The previous trading day's close for Wemade was 30,900 won.
The adjustment reflects concerns over delays in the release of Wemade's new game, Legend of Immir, and declining global sales for Knight Crow. NH Investment & Securities also cited increased uncertainties related to the Wemix litigation and operational issues affecting Wemade.
NH Investment & Securities stated that the anticipated turnaround in operating profit for this year is now expected to be delayed until next year. The release of Legend of Immir, initially anticipated for this year, has been postponed to early next year, and the release of Mir4 in China is facing difficulties, weakening the company’s potential for new game momentum in the latter half of the year.
Additionally, the global sales of Knight Crow, which launched in March, have shown a decline after an initially strong start. The ongoing legal issues surrounding Wemix, including accusations of coin distribution manipulation and the significant drop in Wemix coin value, are also negatively impacting the stock. Recent legal actions, such as a 16.1 billion won lawsuit filed by Wemade Tree against Wemade, further exacerbate the situation.
Alphabiz Kim Minyoung (kimmy@alphabiz.co.kr)
