YG Entertainment Inc.

KOSDAQ:A122870 Stock Report

Market Cap: ₩868.0b

YG Entertainment Valuation

Is A122870 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of A122870 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: A122870 (₩46350) is trading above our estimate of fair value (₩24854.03)

Significantly Below Fair Value: A122870 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for A122870?

Key metric: As A122870 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for A122870. This is calculated by dividing A122870's market cap by their current revenue.
What is A122870's PS Ratio?
PS Ratio2.3x
Sales₩370.27b
Market Cap₩867.99b

Price to Sales Ratio vs Peers

How does A122870's PS Ratio compare to its peers?

The above table shows the PS ratio for A122870 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.5x
A079160 CJ CGV
0.5x15.4%₩897.4b
A253450 Studio Dragon
2.4x11.6%₩1.4t
A086980 Showbox
2.8xn/a₩265.0b
A036420 ContentreeJoongAng
0.2x10.0%₩174.2b
A122870 YG Entertainment
2.3x24.7%₩868.0b

Price-To-Sales vs Peers: A122870 is expensive based on its Price-To-Sales Ratio (2.3x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does A122870's PS Ratio compare vs other companies in the KR Entertainment Industry?

6 CompaniesPrice / SalesEstimated GrowthMarket Cap
A035760 CJ ENM
0.3x7.6%US$866.96m
A181710 NHN
0.3x8.2%US$419.71m
A036420 ContentreeJoongAng
0.2x10.0%US$120.05m
A051780 CUROHOLDINGS
0.2xn/aUS$10.12m
A122870 2.3xIndustry Avg. 1.6xNo. of Companies10PS01.22.43.64.86+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: A122870 is expensive based on its Price-To-Sales Ratio (2.3x) compared to the KR Entertainment industry average (1.6x).

Price to Sales Ratio vs Fair Ratio

What is A122870's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

A122870 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.3x
Fair PS Ratio1x

Price-To-Sales vs Fair Ratio: A122870 is expensive based on its Price-To-Sales Ratio (2.3x) compared to the estimated Fair Price-To-Sales Ratio (1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst A122870 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₩46,350.00
₩50,500.00
+9.0%
16.1%₩61,000.00₩31,000.00n/a14
Dec ’25₩47,750.00
₩50,875.00
+6.5%
15.2%₩61,000.00₩31,000.00n/a16
Nov ’25₩41,600.00
₩47,875.00
+15.1%
14.7%₩56,000.00₩31,000.00n/a16
Oct ’25₩37,250.00
₩47,875.00
+28.5%
14.7%₩56,000.00₩31,000.00n/a16
Sep ’25₩34,150.00
₩48,000.00
+40.6%
14.8%₩56,000.00₩31,000.00n/a16
Aug ’25₩38,250.00
₩49,750.00
+30.1%
14.1%₩60,000.00₩35,000.00n/a16
Jul ’25₩40,300.00
₩57,058.82
+41.6%
20.4%₩85,000.00₩35,000.00n/a17
Jun ’25₩43,650.00
₩57,058.82
+30.7%
20.4%₩85,000.00₩35,000.00n/a17
May ’25₩42,400.00
₩60,266.67
+42.1%
20.6%₩85,000.00₩35,000.00n/a15
Apr ’25₩45,200.00
₩63,357.14
+40.2%
20.4%₩85,000.00₩35,000.00n/a14
Mar ’25₩40,900.00
₩67,923.08
+66.1%
21.5%₩95,000.00₩35,000.00n/a13
Feb ’25₩43,050.00
₩72,800.00
+69.1%
25.3%₩120,000.00₩40,000.00n/a15
Jan ’25₩50,900.00
₩83,714.29
+64.5%
17.1%₩120,000.00₩65,000.00n/a14
Dec ’24₩50,600.00
₩86,357.14
+70.7%
16.4%₩120,000.00₩67,000.00₩47,750.0014
Nov ’24₩58,500.00
₩90,142.86
+54.1%
15.0%₩120,000.00₩70,000.00₩41,600.0014
Oct ’24₩62,800.00
₩93,857.14
+49.5%
14.3%₩120,000.00₩69,000.00₩37,250.0014
Sep ’24₩78,700.00
₩94,428.57
+20.0%
15.1%₩120,000.00₩69,000.00₩34,150.0014
Aug ’24₩71,800.00
₩93,615.38
+30.4%
15.5%₩120,000.00₩69,000.00₩38,250.0013
Jul ’24₩76,900.00
₩88,000.00
+14.4%
14.3%₩110,000.00₩69,000.00₩40,300.0013
Jun ’24₩94,700.00
₩85,357.14
-9.9%
14.9%₩110,000.00₩65,000.00₩43,650.0014
May ’24₩61,000.00
₩70,357.14
+15.3%
6.0%₩77,000.00₩64,000.00₩42,400.0014
Apr ’24₩56,700.00
₩69,928.57
+23.3%
6.3%₩77,000.00₩64,000.00₩45,200.0014
Mar ’24₩58,000.00
₩69,937.50
+20.6%
8.3%₩77,000.00₩60,000.00₩40,900.0016
Feb ’24₩52,000.00
₩69,125.00
+32.9%
8.8%₩77,000.00₩60,000.00₩43,050.0016
Jan ’24₩43,850.00
₩70,312.50
+60.3%
8.7%₩78,000.00₩60,000.00₩50,900.0016
Dec ’23₩45,300.00
₩70,750.00
+56.2%
8.3%₩78,000.00₩60,000.00₩50,600.0016

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 08:45
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

YG Entertainment Inc. is covered by 28 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Min KimBNP Paribas Securities (Asia)
Susie LeeBofA Global Research
Incheol YuCitigroup Inc