[Click eStock] Krafton’s 'Baeg News State' Falls Short of Expectations... Anticipation for Two New Titles

[Asia Economy Reporter Myunghwan Lee] Daishin Securities announced on the 4th that it expects performance improvement for Krafton this year with the release of new games, and newly issued a buy rating and a target price of 400,000 KRW.

Krafton, established in 2007, is a game developer that services PC MMO shooting game 'Battlegrounds (Baeg)' and mobile games such as 'Battlegrounds Mobile' and 'Battlegrounds: New State'.

Daishin Securities evaluates that Krafton's new mobile games have not met expectations. Currently, the company's mobile game lineup consists of three titles: 'Battlegrounds Mobile', 'Battlegrounds Mobile India (BGMI)', and 'Battlegrounds New State', with Krafton directly publishing the latter two games except for 'Battlegrounds Mobile'. Researcher Ji-eun Lee of Daishin Securities stated, "The performance of New State, released in the fourth quarter of last year, is recording sales rankings lower than expected," and added, "The existing Battlegrounds Mobile and BGMI maintain steady traffic and high sales rankings."

Daishin Securities pointed out that the increase in mobile sales rankings due to the free-to-play conversion of the PC version of Battlegrounds is positive. Researcher Lee said, "The PC version of Battlegrounds, which was a paid service, was converted to a free service last month, resulting in a rapid increase in new users recently," and evaluated, "Generally, mobile games have a high proportion of paying users, so the increase in the number of countries where mobile game sales rankings rose after the free service conversion of Battlegrounds is positive."

Daishin Securities analyzed that the new releases scheduled for this year could improve Krafton's performance. Researcher Lee forecasted, "Krafton plans to release a new IP game, Unknown Worlds, in the first half of this year and a PC survival horror game, 'The Callisto Protocol', in the second half," adding, "Both games are developed by game companies with global references and are expected to contribute to Krafton's performance improvement and expansion of game IP."

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