[Click eStock] "KakaoGames, Revenue Rebound Through New Release Update"

[Asia Economy Reporter Hwang Yoon-joo] Daol Investment & Securities stated on the 26th that Kakao Games is expected to see a sales rebound through the effect of new content updates. The downward revision of sales expectations in the domestic mobile game market and the subsidiary's listing issues have already been reflected in the stock price. They maintained a 'Buy' investment rating and a target price of 70,000 KRW.

Researcher Kim Ha-jung of Daol Investment & Securities said, "The update effect is greater than the release of new titles for Kakao Games."

Researcher Kim evaluated, "Less than three hours after the update of the new character 'Kitasan Black' on the 25th, it ranked first in iOS sales, showing a greater sales effect than the game release."

Researcher Kim said, "The sales effect of the Kitasan Black pickup gacha event over 17 days is estimated to be about 39 billion KRW," adding, "We assume Uma Musume's sales in Q3 to be about 100 billion KRW, so we judge that about 39% of this can be obtained through this update."

He analyzed, "The usage rate of Kitasan Black among Japanese players is about 70%, and the DAU of the Korean version of Uma Musume was about 250,000 as of July 23. Assuming that 50% of them, 125,000 users, purchase one Kitasan Black during the pickup period, the sales effect would be about 39 billion KRW."

He added, "A stock price rebound is expected through maintaining the new content update effect and concretizing information on the next new title."

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