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WEBTOON Entertainment Inc. Common stock (WBTN)



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Upturn Advisory Summary
04/01/2025: WBTN (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit -15.45% | Avg. Invested days 46 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 1.65B USD | Price to earnings Ratio - | 1Y Target Price 20.71 |
Price to earnings Ratio - | 1Y Target Price 20.71 | ||
Volume (30-day avg) 339994 | Beta - | 52 Weeks Range 7.51 - 25.66 | Updated Date 03/20/2025 |
52 Weeks Range 7.51 - 25.66 | Updated Date 03/20/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -0.92 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Revenue by Geography
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin -8.92% | Operating Margin (TTM) -2.32% |
Management Effectiveness
Return on Assets (TTM) - | Return on Equity (TTM) - |
Valuation
Trailing PE - | Forward PE - | Enterprise Value 1057050031 | Price to Sales(TTM) 1.24 |
Enterprise Value 1057050031 | Price to Sales(TTM) 1.24 | ||
Enterprise Value to Revenue 0.8 | Enterprise Value to EBITDA - | Shares Outstanding 128313000 | Shares Floating 15010072 |
Shares Outstanding 128313000 | Shares Floating 15010072 | ||
Percent Insiders - | Percent Institutions 19.08 |
Analyst Ratings
Rating 4.12 | Target Price 26.71 | Buy 1 | Strong Buy 4 |
Buy 1 | Strong Buy 4 | ||
Hold 3 | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
WEBTOON Entertainment Inc. Common stock
Company Overview
History and Background
WEBTOON Entertainment Inc. is a digital comics platform founded in South Korea in 2004 as a part of Naver Corporation. Initially launched as Webtoon, it expanded globally, becoming a leading platform for digital comics and web novels. It has evolved by allowing independent creators to publish and monetize their content.
Core Business Areas
- Digital Comics Platform: Provides a platform for creators to publish and readers to access digital comics.
- Web Novel Platform: Offers a similar platform for creators and readers of web novels.
- Advertising: Generates revenue through advertisements displayed on the platform.
- Licensing and Merchandising: Extends its intellectual property through licensing agreements and merchandising.
- Subscription Services: Offers users a subscription to unlock exclusive content.
Leadership and Structure
Details about WEBTOON Entertainment Inc.'s leadership team and organizational structure are not publicly available to the level needed for this exercise, given it is still largely under Naver.
Top Products and Market Share
Key Offerings
- WEBTOON (Digital Comics): The core offering, a platform for digital comics creation and consumption. The company has over 82 million monthly active users globally (2022). Competitors: Tapas, ComiXology, Manta.
- WEBTOON Canvas: A platform for independent creators to publish and monetize their content. WEBTOON shares revenue with creators, who are incentivized to create content. No clear market data is available but this is an important part of content creation. Competitors: Wattpad, self-publishing platforms.
- WEBTOON Novels: Digital platform for short fiction and serial stories written in prose. Competition includes Radish, Kindle Vella and Royal Road.
Market Dynamics
Industry Overview
The digital comics and web novel industry is experiencing significant growth, driven by increased smartphone penetration, evolving content consumption habits, and a shift towards user-generated content. The market is competitive, with both established players and emerging platforms vying for market share.
Positioning
WEBTOON Entertainment Inc. holds a strong position as a global leader in the digital comics and web novel market, with a large and engaged user base. Its competitive advantage lies in its established brand, diverse content library, and ability to attract and retain both creators and readers.
Total Addressable Market (TAM)
The TAM for the global digital comics market is expected to reach billions of USD. The larger market for digital media consumption and content creation is substantially bigger, including areas for video and gaming. WEBTOON Entertainment Inc. is well-positioned to capitalize on this growing market through its extensive user base and diverse content.
Upturn SWOT Analysis
Strengths
- Large and Engaged User Base
- Established Brand Recognition
- Diverse Content Library
- Strong Creator Ecosystem
- Global Reach
Weaknesses
- Dependence on User-Generated Content
- Monetization Challenges
- Competition from Established and Emerging Platforms
- Limited Diversification Beyond Digital Comics and Web Novels
Opportunities
- Expansion into New Geographies
- Development of New Content Formats
- Strategic Partnerships and Acquisitions
- Increased Monetization Through Subscriptions and Advertising
- Leveraging IP for Film, TV, and Games
Threats
- Copyright Infringement and Piracy
- Changing User Preferences
- Increased Competition
- Economic Downturns
- Regulatory Changes
Competitors and Market Share
Key Competitors
- TOKYOPOP (private)
- Marvel Unlimited (DIS)
- DC Universe Infinite (WBD)
- ComiXology (AMZN)
- Tapas (Kakao Corp)
Competitive Landscape
WEBTOON Entertainment Inc. holds advantages through brand recognition and a large userbase, and robust library. Some competitors have greater content depth and different niche audiences. The industry is fragmented so competition is based on platform features, content deals and marketing.
Major Acquisitions
Wattpad
- Year: 2021
- Acquisition Price (USD millions): 600
- Strategic Rationale: Acquisition by Naver (WEBTOON Entertainment Inc. parent) allows for cross-promotion and deeper synergy between digital comic and novel platforms.
Growth Trajectory and Initiatives
Historical Growth: WEBTOON Entertainment Inc. has experienced significant growth in user base and content library over the past decade, driven by its successful platform model and global expansion efforts.
Future Projections: Future growth is projected to be strong as WEBTOON Entertainment Inc. continues to capitalize on the growing digital comics and web novel market, expand into new geographies, and diversify its content offerings.
Recent Initiatives: Recent initiatives include expansion into new languages and markets, partnerships with entertainment companies for content adaptations, and investment in original content creation.
Summary
WEBTOON Entertainment Inc. has a solid standing in the digital comics market thanks to its large user base and creator ecosystem. Its success is being amplified through the rise in digital content consumption. However, the company is dependent on user generated content which can lead to difficulties in consistency and quality. WEBTOON Entertainment Inc. needs to also manage its aggressive competitors and piracy issues as it continues to scale.
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Sources and Disclaimers
Data Sources:
- Company Websites
- Industry Reports
- Market Analysis Reports
- Financial News Articles
Disclaimers:
The data and analysis provided are based on available information and estimates and are subject to change. Market share data may vary across sources. Financial data for WEBTOON Entertainment Inc. is limited due to its status as part of Naver Corporation. This analysis is for informational purposes only and should not be considered investment advice.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About WEBTOON Entertainment Inc. Common stock
Exchange NASDAQ | Headquaters Los Angeles, CA, United States | ||
IPO Launch date 2024-06-27 | Founder, CEO & Chairman of the Board Mr. Junkoo Kim | ||
Sector Communication Services | Industry Internet Content & Information | Full time employees 1800 | Website https://about.webtoon.com |
Full time employees 1800 | Website https://about.webtoon.com |
WEBTOON Entertainment Inc. operates a storytelling platform in the United States, Korea, Japan, and internationally. Its platform allows a community of creators and users to discover, create, and share new content. The company's platform offers stories primarily in two ways, including web-comics, a graphical comic-like medium; and web-novels, which are text-based stories. It also provides hosting services for web-comics through web and mobile applications. The company was founded in 2005 and is headquartered in Los Angeles, California. WEBTOON Entertainment Inc. is a subsidiary of NAVER Corporation.
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