Webtoon entertainment CFO David J. Lee buys $64,845 in stock

Published 03/03/2025, 22:58
Webtoon entertainment CFO David J. Lee buys $64,845 in stock

David J. Lee, Chief Financial Officer, Chief Operating Officer, and Director at WEBTOON Entertainment Inc. (NASDAQ:WBTN), recently made a significant purchase of the company’s stock. According to a recent SEC filing, Lee acquired 7,205 shares of WEBTOON Entertainment’s common stock at an average price of approximately $9 per share. This transaction, which took place on February 28, 2025, represents a total investment of $64,845. The purchase comes as WBTN trades near its 52-week low of $8.75, having declined over 60% in the past year. InvestingPro analysis indicates the stock is currently trading below its Fair Value, with 12 key insights available to subscribers.

Following this purchase, Lee now holds a total of 291,053 shares directly. The acquisition was executed in multiple transactions, with prices ranging from $8.99 to $9.03 per share. This move underscores Lee’s confidence in the company’s prospects as he continues to serve in his executive roles. The company maintains a strong financial position with more cash than debt on its balance sheet and a healthy current ratio of 2.67, suggesting robust liquidity. For detailed analysis and comprehensive insights, check out the WBTN InvestingPro Research Report, part of our coverage of 1,400+ US stocks.

In other recent news, Webtoon Entertainment Inc. reported its fourth-quarter earnings, revealing a revenue of $352.8 million, which represents a 10.4% increase on a constant currency basis. However, the company posted a net loss of $153 million for the full year, with earnings per share falling short of expectations at -$0.03. Despite these results, adjusted EBITDA surged by 600% year-over-year to $67.9 million. The company faces challenges such as foreign exchange volatility and a decline in total monthly active users by 3.7%, primarily due to strategic shifts and regulatory issues in certain markets.

Analysts have responded to these developments with revised price targets. Evercore ISI reduced its price target for Webtoon from $27 to $23 while maintaining an Outperform rating, citing the company’s solid revenue growth when accounting for foreign exchange factors and an expansion in gross margins. Meanwhile, Goldman Sachs also lowered its price target from $25 to $15 but maintained a Buy rating, highlighting management’s confidence in long-term growth despite short-term pressures. Webtoon’s management is focusing on increasing user engagement and expanding its platform reach through strategic partnerships.

Looking ahead, Webtoon projects revenue for the first quarter of 2025 to be between $318 million and $328 million, with anticipated adjusted EBITDA ranging from $500,000 to $5.5 million. The company is investing in user engagement and product improvements, which are expected to contribute to future growth. Webtoon’s strategic focus remains on expanding its presence in key markets, particularly Japan, which significantly contributes to its revenue.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.