New Risk • Mar 25
New major risk - Revenue and earnings growth Earnings have declined by 8.7% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 25
Full year 2025 earnings released: ₩974 loss per share (vs ₩492 profit in FY 2024) Full year 2025 results: ₩974 loss per share (down from ₩492 profit in FY 2024). Revenue: ₩179.3b (down 30% from FY 2024). Net loss: ₩61.8b (down 297% from profit in FY 2024). Revenue is forecast to grow 30% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has fallen by 58% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Announcement • Mar 12
NEXON Games Co., Ltd., Annual General Meeting, Mar 27, 2026 NEXON Games Co., Ltd., Annual General Meeting, Mar 27, 2026, at 08:30 Tokyo Standard Time. Location: auditorium, 2621, nambusunhwan-ro, gangnam-gu, seoul South Korea Price Target Changed • Jan 06
Price target decreased by 7.4% to ₩14,167 Down from ₩15,300, the current price target is an average from 3 analysts. New target price is 12% above last closing price of ₩12,620. Stock is down 7.5% over the past year. The company is forecast to post a net loss per share of ₩90.00 compared to earnings per share of ₩492 last year. Reported Earnings • Nov 13
Third quarter 2025 earnings released: ₩176 loss per share (vs ₩621 profit in 3Q 2024) Third quarter 2025 results: ₩176 loss per share (down from ₩621 profit in 3Q 2024). Revenue: ₩50.2b (down 55% from 3Q 2024). Net loss: ₩11.1b (down 128% from profit in 3Q 2024). Revenue is forecast to grow 30% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has fallen by 9% per year whereas the company’s share price has fallen by 4% per year. Reported Earnings • Aug 19
Second quarter 2025 earnings released: ₩365 loss per share (vs ₩172 loss in 2Q 2024) Second quarter 2025 results: ₩365 loss per share (further deteriorated from ₩172 loss in 2Q 2024). Revenue: ₩38.6b (down 12% from 2Q 2024). Net loss: ₩23.2b (loss widened 112% from 2Q 2024). Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has increased by 58% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Buy Or Sell Opportunity • Aug 04
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 6.8% to ₩13,870. The fair value is estimated to be ₩11,406, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 36% over the last 3 years. Meanwhile, the company has become profitable. Revenue is forecast to grow by 26% in 2 years. Earnings are forecast to grow by 64% in the next 2 years. Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to ₩16,840, the stock trades at a forward P/E ratio of 441x. Average forward P/E is 17x in the Entertainment industry in South Korea. Total returns to shareholders of 5.6% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at ₩10,487 per share. Reported Earnings • May 19
First quarter 2025 earnings released: ₩5.00 loss per share (vs ₩3.00 loss in 1Q 2024) First quarter 2025 results: ₩5.00 loss per share (further deteriorated from ₩3.00 loss in 1Q 2024). Revenue: ₩51.3b (down 2.5% from 1Q 2024). Net loss: ₩334.0m (loss widened 52% from 1Q 2024). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has increased by 79% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Major Estimate Revision • May 15
Consensus EPS estimates have been downgraded. The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from ₩233.0m to ₩221.0m. Now expected to report a loss of ₩20.00 per share instead of ₩246 per share profit previously forecast. Entertainment industry in South Korea expected to see average net income growth of 81% next year. Consensus price target down from ₩18,400 to ₩16,600. Share price rose 2.7% to ₩13,360 over the past week. Reported Earnings • Mar 25
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: ₩492 (up from ₩177 in FY 2023). Revenue: ₩256.1b (up 33% from FY 2023). Net income: ₩31.4b (up 178% from FY 2023). Profit margin: 12% (up from 5.8% in FY 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 3.6%. Earnings per share (EPS) also missed analyst estimates by 11%. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has increased by 82% per year but the company’s share price has fallen by 20% per year, which means it is significantly lagging earnings. Announcement • Mar 22
NEXON Games Co., Ltd. (KOSDAQ:A225570) announces an Equity Buyback for KRW 15,000 million worth of its shares. NEXON Games Co., Ltd. (KOSDAQ:A225570) announces a share repurchase program. Under the program, the company will repurchase up to KRW 15,000 million worth of its shares pursuant to contract with NH INVESTMENT & SECURITIES CO.,LTD. The purpose of the program is to enhance shareholder value. The program is valid till September 22, 2025. As of March 20, 2025, there ware 0 outstanding shares within the range of dividend profit and 1,890,907 shares from other acquisition. Announcement • Mar 12
NEXON Games Co., Ltd., Annual General Meeting, Mar 28, 2025 NEXON Games Co., Ltd., Annual General Meeting, Mar 28, 2025, at 08:30 Tokyo Standard Time. Location: auditorium, 2621, nambusunhwan-ro, gangnam-gu, seoul South Korea Reported Earnings • Nov 15
Third quarter 2024 earnings released: EPS: ₩621 (vs ₩121 in 3Q 2023) Third quarter 2024 results: EPS: ₩621 (up from ₩121 in 3Q 2023). Revenue: ₩111.5b (up 97% from 3Q 2023). Net income: ₩39.7b (up 415% from 3Q 2023). Profit margin: 36% (up from 14% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 25% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Entertainment industry in South Korea. Over the last 3 years on average, earnings per share has increased by 81% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Major Estimate Revision • Nov 14
Consensus revenue estimates fall by 13% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from ₩305.6m to ₩265.0m. EPS estimate fell from ₩974 to ₩956 per share. Net income forecast to grow 235% next year vs 32% growth forecast for Entertainment industry in South Korea. Consensus price target down from ₩23,333 to ₩20,667. Share price fell 11% to ₩13,020 over the past week. Reported Earnings • Aug 13
Second quarter 2024 earnings: EPS misses analyst expectations Second quarter 2024 results: ₩172 loss per share (further deteriorated from ₩47.00 loss in 2Q 2023). Revenue: ₩43.6b (flat on 2Q 2023). Net loss: ₩11.0b (loss widened 263% from 2Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 169%. Revenue is forecast to grow 32% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Entertainment industry in South Korea. Price Target Changed • Jul 10
Price target increased by 36% to ₩22,500 Up from ₩16,500, the current price target is an average from 2 analysts. New target price is 8.2% above last closing price of ₩20,800. Stock is down 3.0% over the past year. The company is forecast to post earnings per share of ₩406 for next year compared to ₩177 last year. Buy Or Sell Opportunity • May 23
Now 20% undervalued Over the last 90 days, the stock has risen 4.2% to ₩14,370. The fair value is estimated to be ₩18,066, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last year. Meanwhile, the company became loss making. Price Target Changed • Apr 18
Price target decreased by 21% to ₩18,000 Down from ₩22,778, the current price target is an average from 2 analysts. New target price is 39% above last closing price of ₩12,910. Stock is down 36% over the past year. The company is forecast to post earnings per share of ₩314 for next year compared to ₩177 last year. Reported Earnings • Mar 24
Full year 2023 earnings released: EPS: ₩177 (vs ₩110 in FY 2022) Full year 2023 results: EPS: ₩177 (up from ₩110 in FY 2022). Revenue: ₩193.3b (up 46% from FY 2022). Net income: ₩11.3b (up 87% from FY 2022). Profit margin: 5.8% (up from 4.6% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 24% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Entertainment industry in South Korea. Price Target Changed • Feb 14
Price target decreased by 8.5% to ₩21,444 Down from ₩23,444, the current price target is an average from 3 analysts. New target price is 45% above last closing price of ₩14,750. Stock is up 6.9% over the past year. The company is forecast to post earnings per share of ₩177 for next year compared to ₩110 last year. Major Estimate Revision • Nov 29
Consensus EPS estimates fall by 43% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from ₩200.5m to ₩192.9m. EPS estimate also fell from ₩310 per share to ₩177 per share. Net income forecast to grow 113% next year vs 56% growth forecast for Entertainment industry in South Korea. Consensus price target down from ₩23,444 to ₩22,778. Share price fell 3.4% to ₩15,590 over the past week. Reported Earnings • Nov 13
Third quarter 2023 earnings: EPS misses analyst expectations Third quarter 2023 results: EPS: ₩121 (down from ₩158 in 3Q 2022). Revenue: ₩56.5b (up 22% from 3Q 2022). Net income: ₩7.72b (down 23% from 3Q 2022). Profit margin: 14% (down from 22% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 30%. Revenue is forecast to grow 25% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Entertainment industry in South Korea. Valuation Update With 7 Day Price Move • Aug 07
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to ₩17,700, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 19x in the Entertainment industry in South Korea. Total returns to shareholders of 82% over the past three years. Major Estimate Revision • Jul 12
Consensus EPS estimates increase by 27% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has improved. 2023 revenue forecast increased from ₩217.1m to ₩231.4m. EPS estimate increased from ₩640 to ₩814 per share. Net income forecast to grow 226% next year vs 35% growth forecast for Entertainment industry in South Korea. Consensus price target up from ₩30,000 to ₩33,000. Share price was steady at ₩21,450 over the past week. Buying Opportunity • Jun 21
Now 21% undervalued Over the last 90 days, the stock is up 35%. The fair value is estimated to be ₩28,500, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue is forecast to grow by 97% in 2 years. Earnings is forecast to grow by 396% in the next 2 years. Valuation Update With 7 Day Price Move • Jun 19
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ₩22,650, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 21x in the Entertainment industry in South Korea. Total returns to shareholders of 198% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at ₩28,467 per share. Buying Opportunity • Apr 12
Now 22% undervalued Over the last 90 days, the stock is up 44%. The fair value is estimated to be ₩25,336, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue is forecast to grow by 107% in 2 years. Earnings is forecast to grow by 1,033% in the next 2 years. Announcement • Jan 12
NEXON Games Co., Ltd. Announces Development on Project DW a New Open-World Action RPG Based on the Blockbuster Dungeon&Fighter IP NEXON Co., Ltd. has announced development on Project DW, an open world action RPG based on Dungeon & Fighter IP. Project DW will be developed by NEXON Games Co., Ltd., a consolidated subsidiary of Nexon, and will be a cross-platform game developed for global distribution on PC, console and mobile. Other new titles in development by NEXON Games include The First Descendant, VEILED EXPERTS and GODSOME: Clash of Gods and Project DX based on Durango: Wild Lands. Buying Opportunity • Apr 15
Now 24% undervalued Over the last 90 days, the stock is up 37%. The fair value is estimated to be ₩32,805, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 46% over the last 3 years. Meanwhile, the company became loss making. Buying Opportunity • Mar 29
Now 21% undervalued Over the last 90 days, the stock is up 21%. The fair value is estimated to be ₩32,102, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 46% per annum over the last 3 years. The company became loss making over the last year. Valuation Update With 7 Day Price Move • May 13
Investor sentiment deteriorated over the past week After last week's 19% share price decline to ₩10,550, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 18x in the Entertainment industry in South Korea. Total loss to shareholders of 38% over the past three years. Valuation Update With 7 Day Price Move • Feb 20
Investor sentiment deteriorated over the past week After last week's 24% share price decline to ₩15,550, the stock is trading at a trailing P/E ratio of 19.6x, down from the previous P/E ratio of 25.7x. This compares to an average P/E of 25x in the Entertainment industry in South Korea. Total return to shareholders over the past three years is a loss of 7.0%. Is New 90 Day High Low • Feb 10
New 90-day high: ₩20,400 The company is up 145% from its price of ₩8,310 on 12 November 2020. The South Korean market is up 23% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Entertainment industry, which is up 23% over the same period. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment improved over the past week After last week's 32% share price gain to ₩19,300, the stock is trading at a trailing P/E ratio of 24.3x, up from the previous P/E ratio of 18.4x. This compares to an average P/E of 30x in the Entertainment industry in South Korea. Total returns to shareholders over the past three years are 11%. Is New 90 Day High Low • Jan 25
New 90-day high: ₩15,550 The company is up 110% from its price of ₩7,400 on 27 October 2020. The South Korean market is up 33% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Entertainment industry, which is up 23% over the same period. Valuation Update With 7 Day Price Move • Jan 04
Investor sentiment improved over the past week After last week's 27% share price gain to ₩11,500, the stock is trading at a trailing P/E ratio of 14.5x, up from the previous P/E ratio of 11.4x. This compares to an average P/E of 23x in the Entertainment industry in South Korea. Total return to shareholders over the past three years is a loss of 7.8%. Is New 90 Day High Low • Dec 30
New 90-day high: ₩9,770 The company is up 13% from its price of ₩8,630 on 29 September 2020. The South Korean market is up 20% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Entertainment industry, which is flat over the same period. Is New 90 Day High Low • Dec 04
New 90-day high: ₩9,450 The company is up 6.0% from its price of ₩8,900 on 04 September 2020. The South Korean market is up 13% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Entertainment industry, which is down 6.0% over the same period. Is New 90 Day High Low • Oct 16
New 90-day low: ₩8,030 The company is down 13% from its price of ₩9,200 on 17 July 2020. The South Korean market is up 8.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Entertainment industry, which is down 4.0% over the same period.