WEBTOON Entertainment (NASDAQ:WBTN) Shares Gap Down – Should You Sell?

WEBTOON Entertainment Inc. (NASDAQ:WBTN) shares gapped down prior to trading on Friday . The stock had previously closed at $16.44, but opened at $15.64. WEBTOON Entertainment shares last traded at $14.96, with a volume of 411,453 shares trading hands.

Analysts Set New Price Targets

Several brokerages have recently commented on WBTN. Morgan Stanley raised their target price on WEBTOON Entertainment from $10.00 to $11.00 and gave the company an “equal weight” rating in a research note on Wednesday. Wall Street Zen upgraded WEBTOON Entertainment from a “strong sell” rating to a “hold” rating in a research note on Saturday. The Goldman Sachs Group lifted their price target on WEBTOON Entertainment from $11.00 to $15.00 and gave the company a “buy” rating in a research note on Wednesday. Citigroup started coverage on WEBTOON Entertainment in a research note on Thursday, May 15th. They set a “buy” rating and a $11.00 price target for the company. Finally, Evercore ISI lifted their price target on WEBTOON Entertainment from $20.00 to $23.00 and gave the company an “outperform” rating in a research note on Wednesday. Three equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to data from MarketBeat, WEBTOON Entertainment has a consensus rating of “Moderate Buy” and a consensus target price of $15.43.

WEBTOON Entertainment Trading Down 8.9%

The company’s 50-day simple moving average is $9.66 and its 200 day simple moving average is $9.39. The stock has a market cap of $1.96 billion, a P/E ratio of -19.44 and a beta of 1.12.

WEBTOON Entertainment (NASDAQ:WBTN) last posted its earnings results on Tuesday, August 12th. The company reported $0.07 EPS for the quarter, topping the consensus estimate of $0.02 by $0.05. WEBTOON Entertainment had a negative net margin of 7.24% and a negative return on equity of 0.13%. The firm had revenue of $348.27 million for the quarter, compared to analysts’ expectations of $341.63 million. During the same quarter last year, the firm earned $0.20 EPS. The company’s quarterly revenue was up 8.5% compared to the same quarter last year. Research analysts anticipate that WEBTOON Entertainment Inc. will post -0.26 earnings per share for the current fiscal year.

Hedge Funds Weigh In On WEBTOON Entertainment

Several hedge funds have recently modified their holdings of WBTN. Bank of America Corp DE raised its holdings in shares of WEBTOON Entertainment by 966.9% in the 2nd quarter. Bank of America Corp DE now owns 823,708 shares of the company’s stock worth $7,479,000 after purchasing an additional 746,505 shares during the period. Ameriprise Financial Inc. bought a new stake in shares of WEBTOON Entertainment in the 4th quarter worth approximately $5,033,000. Millennium Management LLC raised its holdings in shares of WEBTOON Entertainment by 1,312.2% in the 4th quarter. Millennium Management LLC now owns 224,887 shares of the company’s stock worth $3,054,000 after purchasing an additional 208,962 shares during the period. Optimize Financial Inc bought a new stake in shares of WEBTOON Entertainment in the 1st quarter worth approximately $1,132,000. Finally, Norges Bank bought a new stake in shares of WEBTOON Entertainment in the 2nd quarter worth approximately $1,271,000.

About WEBTOON Entertainment

WEBTOON Entertainment Inc operates a storytelling platform worldwide. The company’s platform allows a community of creators and users to discover, create, and share new content. Its platform offers stories primarily in two ways, including web-comics, a graphical comic-like medium; and web-novels, which are text-based stories.