Kiwoom Securities on the 20th projected HYBE's (KOSPI: 352820) consolidated revenues for the second quarter of 2026 at 1.2879 trillion won, an 82.5% increase year on year, with operating profit of 149.9 billion won, up 127.6%. The brokerage maintained its buy recommendation but trimmed its target price from 370,000 won to 330,000 won.
By segment, concert revenues are forecast at 500.6 billion won, up 165%, with BTS's world tour accounting for 1.43 million of the quarter's total audience of 2.38 million.
Album sales are estimated at 316.7 billion won, a 38.6% increase. Rookie group Cortiz recorded first-week sales of 2.4 million copies, with cumulative sales reaching 3 million, while TOURS achieved sales of 1.11 million copies.
Merchandise revenues are projected at 326.2 billion won, up 113%, buoyed by higher production volumes of BTS tour merchandise, improvements to distribution channels, and the opening of a new company-run merchandise shop.
The target price reduction reflects a broader weakening in entertainment sector valuations as investor flows rotate into specific segments such as semiconductors. Applying a target price-to-earnings multiple of 40 times yields a fair value of 334,188 won per share. As of 16th July, that implies an upside of 58.3% from the current share price of 208,500 won.
For the full year 2026, Kiwoom forecasts revenues of 4.5975 trillion won and operating profit of 246.5 billion won. In 2027, revenues are projected at 3.9755 trillion won with operating profit of 434.3 billion won, implying an operating margin of 10.9%.
Looking further ahead, Kiwoom anticipates Cortiz launching a North American tour in the second half of this year — with venues of roughly 10,000 seats per show — before scaling up to dome-sized venues in 2027 and stadium-level shows by 2028. The brokerage also flagged a fourfold expansion in girl group Katseye's world tour schedule in the second half of the year relative to 2024 as an additional medium- to long-term growth catalyst.