WEBTOON Entertainment (NASDAQ:WBTN) Stock Price Down 5.5% - Here's What Happened

Key Points

• WEBTOON Entertainment Inc.'s stock price fell by 5.5% during trading, reaching a low of $14.00 before closing at $14.05.
• Despite the decline, the company reported a Q2 earnings per share of $0.07, surpassing expectations, with revenues increasing 8.5% year-over-year.
• Various analysts have upgraded their ratings on the stock, with a consensus rating of "Moderate Buy" and an average price target of $14.17.

WEBTOON Entertainment Inc. (NASDAQ:WBTN - Get Free Report) dropped 5.5% during trading on Wednesday . The company traded as low as $14.00 and last traded at $14.05. Approximately 236,957 shares changed hands during trading, a decline of 46% from the average daily volume of 440,058 shares. The stock had previously closed at $14.87.

Analyst Ratings Changes

WBTN has been the topic of a number of recent analyst reports. Citigroup initiated coverage on shares of WEBTOON Entertainment in a research note on Thursday, May 15th. They set a "buy" rating and a $11.00 target price on the stock. Zacks Research upgraded shares of WEBTOON Entertainment from a "hold" rating to a "strong-buy" rating in a research note on Monday, August 25th. Morgan Stanley raised their target price 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. Wall Street Zen raised shares of WEBTOON Entertainment from a "strong sell" rating to a "hold" rating in a report on Saturday, August 16th. Finally, The Goldman Sachs Group boosted their target price on shares of WEBTOON Entertainment from $11.00 to $15.00 and gave the stock a "buy" rating in a report on Wednesday, August 13th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $14.17.

WEBTOON Entertainment Stock Down 5.2%

The company has a market cap of $1.84 billion, a PE ratio of -18.31 and a beta of 1.34. The stock's 50 day moving average is $11.72 and its 200-day moving average is $9.76.

WEBTOON Entertainment (NASDAQ:WBTN - Get Free Report) last released its quarterly earnings results on Tuesday, August 12th. The company reported $0.07 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.02 by $0.05. The company had revenue of $348.27 million for 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%. WEBTOON Entertainment's revenue was up 8.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.20 earnings per share. WEBTOON Entertainment has set its Q3 2025 guidance at EPS. On average, analysts anticipate that WEBTOON Entertainment Inc. will post -0.26 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Signaturefd LLC increased its position in WEBTOON Entertainment by 59.6% during the second quarter. Signaturefd LLC now owns 3,375 shares of the company's stock valued at $31,000 after acquiring an additional 1,261 shares during the last quarter. CWM LLC increased its position in WEBTOON Entertainment by 649.0% during the second quarter. CWM LLC now owns 4,674 shares of the company's stock valued at $42,000 after acquiring an additional 4,050 shares during the last quarter. Deutsche Bank AG bought a new position in WEBTOON Entertainment during the fourth quarter valued at $54,000. Generali Investments Towarzystwo Funduszy Inwestycyjnych bought a new position in WEBTOON Entertainment during the first quarter valued at $58,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in WEBTOON Entertainment by 8.6% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,816 shares of the company's stock valued at $89,000 after acquiring an additional 774 shares during the last quarter.

WEBTOON Entertainment Company Profile

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.

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