HYBE's stock price has been on a downward trend over the past few months due to some negative news related to BTS' military enlistment and upcoming activities. But starting yesterday, the stock price suddenly had a drastic change thanks to the people's support for the special military application for BTS.
Below is a remarkable increase in the value of shares of HYBE yesterday and is expected to change significantly in the following months:
It's not hard to see, the majority of HYBE's shares rise and fall depending largely on BTS. In June, HYBE’s stock prices already plummeted sharply after the group announced they would be working on solo projects and would have a “temporary suspension” of group activities. Back then, HYBE”s stock went down by 25%, losing a market capitalization of ₩2.00 trillion KRW (about $1.44 billion USD).
From a high of ₩294,000 KRW (about $212 USD), the stock price went down to ₩145,000 KRW (about $104 USD) in June, as a result of that announcement from BTS. It was later cleared that BTS members would still be doing group activities but would merely add more doing solo activities.
Meanwhile, yesterday, HYBE's stock price rebounded for the first time in recent months thanks to the trend of people favoring BTS. Specifically, after the results of a government poll showed that more than 60% of the people supported the application of alternative military service for pop artists who made a great contribution to the country, typically BTS, HYBE's stock has risen sharply again.
After one hour from the news published, the price of HYBE's stock reached 163,500 KRW, seeing an increase of 6.17% compared to the previous trading day. HYBE's stock price increased by more than 6% despite market changes showing how much influence BTS has on the company. Of course it also shows that in case BTS enlists, HYBE will lose a big advantage.
Many are also expecting more positive responses from the government after they announce the results of the vote. Notably, a survey conducted by Realmeter on 1,018 adults aged 18 years and over nationwide from September 14 to 15 at the request of the National Assembly Defense Committee, considering the draft amendments to the military service for pop artists like BTS.
In this regard, 60.9% answered “Agree”. 'Disagree' is 34.3%. Among those opposed to the transition to alternative service, 58.7% of respondents supported and 37.7% opposed the plan to enlist but to perform in the public interest.
This survey was prepared to collect public opinion at the Defense Committee level and addresses legislative policy regarding the amendment of the Military Service Act, including cultural artists. mass like BTS. Currently, the issue is still being discussed in the National Assembly meetings and there is no exact result.
According to the defense minister, they will announce BTS's military service schedule early next year at the earliest. Meanwhile, answering in front of the press, the defense minister still maintains his opinion that it is difficult to get an exception for military service for BTS.
