WEBTOON Entertainment (NASDAQ:WBTN) Shares Gap Up - Here's Why

Key Points

• WEBTOON Entertainment's shares experienced a **gap up** in price, opening at **$15.78** after closing at **$14.97**.
• Several analysts have **upgraded** their ratings and price targets for WEBTOON, with Evercore ISI raising its target from **$20.00 to $23.00** and giving a rating of "outperform".
• The company's latest earnings report showed **$0.07 earnings per share**, exceeding expectations, and revenue increased by **8.5% year-over-year**, totaling **$348.27 million**.

WEBTOON Entertainment Inc. (NASDAQ:WBTN - Get Free Report)'s stock price gapped up before the market opened on Monday . The stock had previously closed at $14.97, but opened at $15.78. WEBTOON Entertainment shares last traded at $15.77, with a volume of 184,858 shares.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on WBTN shares. Wall Street Zen raised shares of WEBTOON Entertainment from a "strong sell" rating to a "hold" rating in a research note on Saturday, August 16th. Citigroup started coverage on shares of WEBTOON Entertainment in a research note on Thursday, May 15th. They issued a "buy" rating and a $11.00 price objective for the company. Evercore ISI raised their price objective on shares of WEBTOON Entertainment from $20.00 to $23.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 13th. The Goldman Sachs Group raised their price objective on shares of WEBTOON Entertainment from $11.00 to $15.00 and gave the stock a "buy" rating in a research note on Wednesday, August 13th. Finally, Morgan Stanley raised their price objective on shares of WEBTOON Entertainment from $10.00 to $11.00 and gave the stock an "equal weight" rating in a research note on Wednesday, August 13th. Five investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, WEBTOON Entertainment has an average rating of "Moderate Buy" and an average price target of $15.43.

WEBTOON Entertainment Trading Up 5.9%

The company has a market cap of $1.98 billion, a PE ratio of -19.71 and a beta of 1.12. The business's 50-day simple moving average is $10.29 and its 200-day simple moving average is $9.48.

WEBTOON Entertainment (NASDAQ:WBTN - Get Free Report) last released its earnings results on Tuesday, August 12th. The company reported $0.07 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.02 by $0.05. The company had revenue of $348.27 million during the quarter, compared to the consensus estimate of $341.63 million. WEBTOON Entertainment had a negative net margin of 7.24% and a negative return on equity of 0.13%. The company's revenue was up 8.5% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.20 EPS. WEBTOON Entertainment has set its Q3 2025 guidance at EPS. On average, research analysts predict that WEBTOON Entertainment Inc. will post -0.26 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of WBTN. Signaturefd LLC raised its holdings in shares of WEBTOON Entertainment by 59.6% during the 2nd quarter. Signaturefd LLC now owns 3,375 shares of the company's stock valued at $31,000 after purchasing an additional 1,261 shares in the last quarter. CWM LLC raised its holdings in shares of WEBTOON Entertainment by 649.0% during the 2nd quarter. CWM LLC now owns 4,674 shares of the company's stock valued at $42,000 after purchasing an additional 4,050 shares in the last quarter. Deutsche Bank AG bought a new position in shares of WEBTOON Entertainment during the 4th quarter valued at $54,000. Generali Investments Towarzystwo Funduszy Inwestycyjnych bought a new position in shares of WEBTOON Entertainment during the 1st quarter valued at $58,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in shares of WEBTOON Entertainment by 8.6% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,816 shares of the company's stock valued at $89,000 after purchasing an additional 774 shares in the last quarter.

About WEBTOON Entertainment

WEBTOON Entertainment Inc operates a storytelling platform worldwide. The company's platform allows a community of creators and users to discover, create, and share new content. Its platform offers stories primarily in two ways, including web-comics, a graphical comic-like medium; and web-novels, which are text-based stories.