Pearl Abyss’ upcoming action role-playing game, Crimson Desert, has been delayed from Q2 2024 to Q2 2025, based on the latest information.
According to Kim Jin-gu, a researcher at Kiwoom Securities, Pearl Abyss has the best stock in the gaming industry on the 24th, because the upcoming games revealed at G-Star that from major competitors did not surpass Crimson Desert. They mentioned that Pearl Abyss’ target stock price was calculated based on this year’s target price-to-earnings ratio (PER) of 25 times and an annual discount rate of 10% applied to the controlling shareholder’s equity of 232.3 billion won in 2025, when the initial performance of Crimson Desert will be fully realized.
The release date of Crimson Desert will be postponed by a year from the existing 2nd quarter of 2024 to the 2nd quarter of 2025. Kim stated that there was a delay of about a year in the release of the title, which exceeded the 3 to 6 months of time considered acceptable by the market. Despite that, Pearl Abyss is considered the best stock in the gaming industry. “The reason for presenting this is because we took into account the new games scheduled to be released by major competitors, which were revealed at this G-Star, did not surpass the company’s Crimson Desert, and the gap in this was significant.”, they said.
Kim stated that, since the trailer was released at Gamescom in August, fans have wanted to see non-stop direct feed gameplay for Crimson Red rather than segmented footage seen in the trailer. As such, they said that this may lead to a situation that is disadvantageous to the company in terms of trust and global interest. They added that it is important for Pearl Abyss Management to conduct more sincere and specific communication with all investors in an official setting. They mentioned that the company currently has many mid- to long-term investors who have faith in and invest in its game engine and the quality of its titles.