‘Twice’ Girl Group Agency Now Korea’s Second-Biggest K-Pop StockBy
South Korean stocks have had a rocky start to the year but one entertainment company is getting a big boost, all thanks to K-pop.
JYP Entertainment Corp. -- the agency representing the popular ‘Twice’ girl group -- rose 22 percent this week through Thursday, boosting its market capitalization to 552 billion won ($516 million). The company overtook YG Entertainment Inc. to become No. 2 among the ‘Big 3’ entertainment agencies in Korea. S.M. Entertainment Co. leads with a value of 829 billion won.
Investors are eyeing JYP mainly because of the success of the girl group Twice and a nine-member boyband called Stray Kids, said analyst Kihoon Lee at Hana Financial Investment Co. Twice released a new music video last Thursday, while Stray Kids uploaded a “performance video” on the company’s Youtube channel on Monday.
Twice has spread its popularity overseas, most notably in Japan, said Lee. The group of nine girls debuted in 2015.
Both groups were formed by JYP Entertainment through South Korean reality shows.
A Stray Kids album -- which was a compilation of songs performed during the competition -- placed second on Billboard’s World Album chart for the week of Jan. 20. The group is expected to release new music later this year.
"There are high hopes for Stray Kids as they are following BTS’ footsteps by producing their own music," said Lee, referring to a Korean boyband that was tweeted about more than any celebrity in the world last year.
With most of Stray Kids’ members being under 20 years old, and more idol groups to debut in the next two years, JYP’s earnings could be anchored through to 2025, said Lee.