One fighter "SM, EXO album sales and Kim Soo-hyun contract terminated...goal price"

Lee Ki-hoon, a researcher at Hana Financial Investment Co., said, In the fourth quarter of last year, SMs sales and operating profit will fall by 9% and 10%, respectively, to 189.2 billion won and 13.6 billion won, respectively, below the consensus (21.4 billion won).The sluggish performance is due to a decline in sales volume, including the release of profitable EXO repackage albums, he added. We expect normal earnings this time, considering earnings shocks in the fourth quarter of the past three years.We lowered our target price by 8% this years SMs EPS earnings per share, he said. We took into account earnings adjustment factors such as EXO album sales volume and Kim Soo-hyuns contract termination following sluggish 4Q results.He emphasized, We need to approach three momentum: growth in sales to China through easing the Korean Wave, the potential of new mens groups to meet the gap in X-One, and the possibility of raising shareholder value.Target price down to 47,000 won

Lee Ki-hoon, a researcher at Hana Financial Investment Co., said, "In the fourth quarter of last year, SM's sales and operating profit will fall by 9% and 10%, respectively, to 189.2 billion won and 13.6 billion won, respectively, below the consensus (21.4 billion won).

"The sluggish performance is due to a decline in sales volume, including the release of profitable EXO repackage albums," he added. "We expect normal earnings this time, considering earnings shocks in the fourth quarter of the past three years."

"We lowered our target price by 8% this year's SM's EPS earnings per share," he said. "We took into account earnings adjustment factors such as EXO album sales volume and Kim Soo-hyun's contract termination following sluggish 4Q results."

He emphasized, "We need to approach three momentum: growth in sales to China through easing the Korean Wave, the potential of new men's groups to meet the gap in X-One, and the possibility of raising shareholder value."

Target price down to 47,000 won