Stocks in the Kakao Group, whose share price has fallen by less than half since the beginning of the year, have met with another bad news: a “food shortage”. With the stock market opening on the 17th, there is a high possibility of a further decline in the share price.
For two days from 15th to 16th, more than 2 million Kakao shareholders were nervous. This came when the prediction emerged that a drop in Kakao’s share price on Monday, when the market was held, was inevitable. The group’s titles such as Kakao Bank, Kakao Pay and Kakao Games are also expected to decline together. Shareholder losses are expected to increase as the share prices of these “four kakao brothers”, which have already fallen 50-70% since the start of the year, are highly likely to drop further.
Analysts are also saying that the performance of Kakao Group shares will suffer in the medium and long term in terms of damage to corporate confidence due to this service failure. A brokerage firm official said: “Individual investors’ dissatisfaction with Kakao over subsequent ‘split quotes’ seems to be amplified with this incident.”
Naver is also expected to be negatively affected. While the damage was relatively small, it is because some services, such as Shopping Live, were also discontinued by Naver. US stocks plummeted last weekend after a catastrophe. On the 14th, the Nasdaq Composite, which focuses on tech stocks, closed down 3.08% from the previous day. On the 17th, there is an observation that Kakao and Naver shareholders may face a “black Monday”.
Reporter Sung Sang-hoon [email protected]
