K-pop is struggling with a loss of growth, with Hybe taking the hardest hit. Hybe, home to K-pop superstars BTS, saw its shares plunge 4.56% last Wednesday, closing at 120 USD, the lowest since December 2022.
This marked the fourth consecutive day of declines, with the stock down 11.2% since Aug. 8, despite a brief rally following better-than-expected second-quarter results. Hybe reported record second-quarter sales, but operating profit shrank 37% year-on-year.
The sharp decline in stock value follows multiple setbacks, including BTS member Suga’s drunk driving incident and rumors surrounding Hybe Chairman Bang Si-hyuk’s relationship with a 23-year-old streamer.
These controversies compound ongoing disputes between Hybe and Min Hee-jin, CEO of the subsidiary label Ador, over management rights, which have significantly impacted Hybe’s stock performance.
Since peaking at 256,000 won in January, Hybe’s shares have plummeted 36%.
JYP Entertainment, home to Twice and Stray Kids, has seen its stock price more than halved since the start of the year. And while trying to find the “next Blackpink,” YG Entertainment also reported disappointing results. Its stock has fallen 27% this year.
Meanwhile, SM Entertainment’s operating profit fell 31% in the second quarter, showing volatility.
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