S. Korea Video Gaming | Asia Pacific 2Q26 Preview; Switching DoubleU for Krafton (OW)

研报英文原文证据摘录

S. Korea Video Gaming | Asia Pacific 2Q26 Preview; Switching DoubleU for Krafton (OW)

Idea

July 9, 2026 06:10 PM GMT

Morgan Stanley & Co. International plc, Seoul Branch+MS. Korea Video Gaming | Asia Pacific Seyon Park

Equity Analyst

2Q26 Preview; Switching Seyon.Park@morganstanley.comSohyun Park +82 2 399-4936

Sohyun.Park@morganstanley.com +82 2 399-4872

DoubleU for Krafton (OW)

What’s Changed

DoubleU Games Co Ltd (192080.KS) From To

Rating Overweight Equal-weight

Price Target W73,000 W70,000 S. Korea Telecoms & Internet

Asia Pacific

Krafton Inc (259960.KS) Industry View In-Line

Rating Equal-weight Overweight

Price Target W320,000 W300,000 Exhibit 1 : S Korea Video Gaming Coverage

Netmarble Games Corp (251270.KS) Upside to

Stock Ticker Rating PT PT

Price Target W43,000 W40,000 NC 036570.KS OW 360,000 44%

Krafton 259960.KS OW 300,000 26%

Pearl Abyss Corp (263750.KQ) DoubleU Games 192080.KS EW 70,000 10%

Price Target W43,000 W36,000 Netmarble 251270.KS EW 40,000 5%

We expect general good results, with earnings beats from NC, Pearl Abyss 263750.KQ UW 36,000 -1%

Source: Morgan Stanley Research estimates. Note: As of the market close

Krafton, and Pearl Abyss, in-line from DoubleU and a miss from on July 9, 2026.

Netmarble. We think publishers offer attractive value for

investors looking to broaden beyond memory plays.

NC (OW; PT W360,000): We expect 2Q26 OP to be in-line with consensus

W133bn, on the back of sustained strength from Lineage Classic. This would imply

over W240bn in OP for 1H26, vs near breakeven results in 2025, reflecting the

company's successful turnaround. We expect management to confirm global launch

date for AION2, which we see as the next key catalyst. Stock trades at 10x 2026e P/

E, making valuations attractive. NC remains Top Pick.