Studio Dragon's Southeast Asia Licensing Performance Expected to Increase Further

Hanwha Investment & Securities Report, Target Price Maintained at 105,000 Won

[Asia Economy Reporter Minji Lee] Studio Dragon is expected to enhance its competitiveness within the content industry, triggered by the rising overseas licensing prices of its flagship content.

On the 13th, Hanwha Investment & Securities maintained a buy rating on Studio Dragon and set a target price of 105,000 KRW. This is based on the judgment that Studio Dragon's production capabilities will receive greater attention overseas in the future.

'The King: Eternal Monarch' ranks 9th on Netflix's 'World Ranking.' Netflix, the world's largest OTT service provider operating in over 190 countries, offers the World Ranking as its most prestigious chart.

Although 'The King: Eternal Monarch' has been somewhat sluggish domestically, it maintains the number one position in Hong Kong, Malaysia, the Philippines, Singapore, Taiwan, and Thailand. It also holds high rankings in Nigeria, Japan, Ildo, Chile, Bolivia, and the Dominican Republic.

The surprise in Southeast Asian licensing performance is expected to continue. As U.S. and Chinese platform companies are set to compete fiercely in the Southeast Asian market, they are anticipated to engage in a supply competition for Korean content, which enjoys high recognition in the region. Chinese leading platform companies such as Baidu, Alibaba, and Tencent plan to enter the Southeast Asian market and increase their market share.

Jinhae Ji, a researcher at Hanwha Investment & Securities, stated, "Just as the drama with a production cost of 32 billion KRW topped global rankings, the high cost-effectiveness and production capabilities likely increased platform providers' satisfaction," adding, "This will have a positive effect on improving the ratio of production cost support."

Researcher Jinhae Ji also said, "As seen in Apple TV+'s hiring of Korean content procurement staff, iQIYI's reorganization of its Korean team, and Disney+'s entry into Korea in 2021, the platform market is much more open," and added, "We maintain a positive view on Studio Dragon, which firmly holds the number one position in the content industry, the primary beneficiary sector."

This content was produced with the assistance of AI translation services.