[THE INVESTOR] NCSoft will continue to grow next year with unrivaled momentum, said NH Investment and Securities on Dec. 5 raising the target price to 650,000 won (US$584.37) from 600,000 won.
Its price earnings ratio is the most solid among game makers here. Steady revenue from “Lineage M,” relatively low valuation and solid lineup of new games will continue to bolster it next year. “Lineage M” has absorbed core users of the original version and is generating stable earnings. An update will be available this week and a remastered version of the original game will be released in the first quarter next year, to be followed by mobile version of ‘Lineage 2” and “Blade will Soul,” said analyst An Jae-min.
A series of updates and launches will bolster its steady improvement. Revenue next year will hike 29.7 percent from this year to 2.24 trillion won and operating profit by 33.5 percent to 842.1 billion won. Although its stock price has risen recently, at 17.8 times its price earnings ratio, its premium as a major game developer has not been recognized, the analyst said, recommending it as a “top pick.”
By Hwang You-mee (firstname.lastname@example.org)