[Alpha Biz= Paul Lee] SEOUL, October 27, 2025 — Shinhan Investment & Securities Co., Ltd. has cut its target price for Pearl Abyss Corp. from ₩45,000 to ₩41,000, citing delays in the launch of its flagship title Crimson Desert and heightened uncertainty surrounding future releases.


Analyst Kang Seok-oh noted that Pearl Abyss shares plunged after the company postponed Crimson Desert to the first quarter of 2026, then recovered slightly after the launch was confirmed for March 2026. “Given the repeated delays, we are lowering our target price to ₩41,000,” Kang said in his latest research note.


While acknowledging Pearl Abyss as one of the few Korean studios capable of developing large-scale, high-budget titles, Kang emphasized that “multiple postponements have reduced earnings predictability.” He added that uncertainty surrounding the launches of upcoming projects such as “DokeV” and “Plan 8”, as well as cash-flow volatility, makes it difficult to justify a high price-to-earnings multiple despite expectations for Crimson Desert.


For the third quarter of 2025, Shinhan Investment forecasts ₩80.5 billion (US$58 million) in revenue, up 1.3% year-on-year, and an operating loss of ₩13.8 billion, extending the company’s string of losses. Kang expects marketing expenses to rise quarter-over-quarter, citing July’s “Heidel Ball” fan event for Black Desert Mobile and Pearl Abyss’s large booth at the Tokyo Game Show in September.


Regarding Crimson Desert, Kang observed that the game drew long queues for playable demos at the Tokyo Game Show and that its content volume compares favorably with global AAA titles, highlighting its strong potential as an open-world franchise. He added, “If controller input responsiveness is refined, we expect strong critical reception upon release.”

 

 

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