[EQUITIES] ‘NHN Entertainment on the rise’
[THE INVESTOR] NHN Entertainment will improve this year, said Mirae Asset Daewoo on Feb. 12, raising the target price 10 percent higher to 91,000 won (US$84.03).
Its revenue in the fourth quarter last year inched up one percent on-year but operating profit surged 121 percent satisfying market expectations, said analyst Moon Ji-hyeon.
This year, it will launch 14 mobile games but will manage to curb costs by maximizing efficiency of marketing for Payco, according to the analyst.
Regulations on web board games will be revised and are likely to be eased, which will improve its revenue and remove discount on its stocks, underlined Moon.
Management of costs and easing regulations will improve its earnings and valuation, she added maintaining a “buy” recommendation.
By Hwang You-mee (email@example.com)