Hybe shares hit record low as Bang Si-hyuk's stake loses over W1tr in value

"I trusted BTS and got burned." — a Hybe investor

Hybe's share price, which once topped 418,000 won ($285), has tumbled into the 160,000 won range, leaving investors stunned as the stock continues to set record lows. The collapse has wiped more than 1 trillion won off the stake held by Hybe Chairman Bang Si-hyuk.

Korea CXO Research Institute, a corporate analysis firm, recently surveyed the equity holdings of the heads of 46 major domestic conglomerates as of the second quarter and found that Bang suffered the steepest decline. His stock wealth fell 1.41 trillion won in a single quarter — a drop of 35.8% — the largest percentage decrease among all those surveyed.

The slide is particularly striking because Hybe just posted its best-ever quarterly earnings, driven by BTS's full-group comeback activities. Analysts believe the selloff reflects fears that the "BTS effect" may have already peaked.

Compared with the 52-week high of 418,000 won, the share price has fallen roughly 60%.

Ironically, the record-breaking results Hybe unveiled just before the stock's plunge were the strongest in the company's history.

Hybe disclosed consolidated revenue of 1.45 trillion won and operating profit of 170.9 billion won for the second quarter, up 105.5 percent and 159.3 percent, respectively, from the same period last year. It marked the first time a domestic entertainment company had surpassed both 1 trillion won in quarterly revenue and 100 billion won in operating profit in the same quarter. Yet the share price has continued sliding toward historic lows.

The so-called "peak-out" concern — that revenue could slow once the BTS world tour reaches its apex — appears to have chilled investor sentiment.

Analysts also note that the profitability of concert revenue has fallen short of expectations. Korea Investment & Securities cut its target price for Hybe from 400,000 won to 330,000 won, citing top-line growth from BTS concerts but weak margins in the live performance segment.

Some analysts attribute the sharp decline to broader concerns about slowing growth across the domestic entertainment industry. Album sales — a key revenue source for K-pop agencies — have fallen noticeably, and the recent stock market rally has been concentrated in semiconductors and large-cap shares, leaving entertainment stocks behind. Second-quarter earnings forecasts and target prices for major domestic entertainment companies have been revised down across the board.

Adding to Hybe's woes, a police investigation into Bang on suspicion of fraudulent trading is nearing its conclusion. Bang has been under investigation over allegations that he deceived investors into selling their stakes ahead of Hybe's stock market listing.