South Korean investment firm KB Securities has raised its target price for HYBE Corporation from $230 to $270, citing growing expectations for a full BTS reunion and stronger future earnings.
Analyst Sunhwa Lee noted that BTS is set to complete its military service cycle on June 21, when member SUGA is discharged.
“With all members returning, excitement is building for a full-group comeback,” she said. “In the lead-up, HYBE has launched a two-week global ‘BTS Festa’ event to reenergize its global fanbase, ARMY.”
Lee added that while the group is expected to pursue solo activities this year, a major world tour as a full group is likely in 2025. “Considering BLACKPINK’s 66-show tour after COVID-19, BTS may hold around 70 shows globally,” she projected.
“As tour and comeback details are announced, we expect a positive revision to market consensus and additional upside for HYBE’s stock.”
Momentum from new group debuts also supports growth. On June 11, aoen, a new boy group selected through a Japanese audition program, officially debuted. HYBE’s label BigHit Music is also expected to debut a new group in Q3. Next year, the company plans to launch new acts in North and Latin America.
“K-pop market growth is slowing, and competition is intensifying with more frequent debuts from smaller agencies,” Lee wrote. “In response, large firms like HYBE are doubling down on global localization strategies.
Among Korea’s top four entertainment agencies, HYBE is most active in international collaboration and market entry.”
KB Securities, one of South Korea’s leading brokerage and investment banking firms, raised its 2024 operating profit forecast for HYBE from $208 million to $212 million, and its 2025 estimate from $306 million to $345 million.
