[Alpha Biz=(Chicago) Reporter Paul Lee] Shinhan Investment & Securities Co. said on the 19th that its stock price is expected to be revalued as Afreeca TV records better-than-market expectations and traffic (access volume) starts to grow. The investment opinion remained 'buy' and the target price was raised from 150,000 won to 180,000 won.

"Afreeca TV's sales in the fourth quarter of last year rose 25.6% on-year to KRW 100.4 billion and operating profit rose 70.8% to KRW 26.4 billion over the same period, exceeding the consensus," said Shinhan Investment & Securities Co.

"Platform service sales have increased as both payment users (users) and ARPPU (average payment amount per person per month) have increased due to the activation of year-end broadcasting," said Shinhan Investment & Securities. "The growth of content-type advertisements has also been highlighted due to increased demand for offline event advertisements."

"The stagnated traffic after COVID-19 is expected to be multi-rating due to the withdrawal of Twitch TV from Korea and entry into overseas markets," Shinhan Investment & Securities said. "Afreeca TV's sponsored economy ARPPU has proven to grow regardless of the economy, and we expect the growth of PU (real-time billing users) to continue in the future due to the spread of fandom and streaming culture."

 

[ⓒ 알파경제. 무단전재-재배포 금지]