WEBTOON Entertainment (NASDAQ:WBTN) Shares Gap Down – Time to Sell?

WEBTOON Entertainment Inc. (NASDAQ:WBTN)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $13.31, but opened at $11.52. WEBTOON Entertainment shares last traded at $11.9090, with a volume of 46,094 shares traded.

More WEBTOON Entertainment News

Here are the key news stories impacting WEBTOON Entertainment this week:

• Positive Sentiment: WEBTOON reported first-quarter EPS of $0.07, ahead of the $0.01 consensus estimate, showing stronger-than-expected profitability for the quarter. Webtoon Entertainment (WBTN) Tops Q1 Earnings Estimates
• Neutral Sentiment: The company also announced upcoming investor conference appearances, which keeps management visible to institutional investors but does not change fundamentals by itself. WEBTOON Entertainment Inc. to Participate in Upcoming Investor Conferences
• Neutral Sentiment: Commentary from the earnings call and post-earnings analysis highlights that investors are weighing operating improvements against still-soft growth trends. WEBTOON Entertainment Inc. (WBTN) Q1 2026 Earnings Call Transcript
• Negative Sentiment: WEBTOON guided second-quarter revenue to $332 million-$342 million, below Wall Street’s $357.1 million estimate, signaling slower near-term growth than analysts expected. WEBTOON Entertainment stock page
• Negative Sentiment: The company said constant-currency revenue is expected to rise only 1.7% to 4.6% in the current quarter, and after-hours trading fell on that softer outlook. Webtoon Entertainment Gives Dim Second-Quarter Sales View
• Negative Sentiment: There is also a new investor alert related to an investigation into possible false statements and omissions tied to the company’s IPO, which could add legal overhang. WEBTOON Entertainment Inc. Investor Alert

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the company. HSBC cut WEBTOON Entertainment from a “buy” rating to a “hold” rating and set a $11.50 target price for the company. in a report on Wednesday, March 4th. Wall Street Zen cut shares of WEBTOON Entertainment from a “hold” rating to a “sell” rating in a research report on Monday, March 2nd. The Goldman Sachs Group reissued a “neutral” rating and issued a $10.00 price objective on shares of WEBTOON Entertainment in a research report on Thursday, March 5th. Evercore reissued an “outperform” rating and issued a $15.00 target price on shares of WEBTOON Entertainment in a research note on Wednesday, March 4th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of WEBTOON Entertainment in a report on Monday, April 20th. Three equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $15.07.

WEBTOON Entertainment Stock Performance

The firm has a fifty day moving average of $10.67 and a 200 day moving average of $12.52. The firm has a market capitalization of $1.67 billion, a PE ratio of -4.68 and a beta of 2.59.

Institutional Investors Weigh In On WEBTOON Entertainment

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Ameriprise Financial Inc. grew its holdings in WEBTOON Entertainment by 8.5% during the 3rd quarter. Ameriprise Financial Inc. now owns 939,475 shares of the company’s stock worth $18,235,000 after acquiring an additional 73,777 shares in the last quarter. Bank of America Corp DE lifted its position in shares of WEBTOON Entertainment by 966.9% during the second quarter. Bank of America Corp DE now owns 823,708 shares of the company’s stock worth $7,479,000 after purchasing an additional 746,505 shares during the last quarter. Geode Capital Management LLC grew its stake in WEBTOON Entertainment by 4.4% in the fourth quarter. Geode Capital Management LLC now owns 550,280 shares of the company’s stock worth $7,171,000 after purchasing an additional 23,420 shares in the last quarter. Vanguard Group Inc. grew its stake in WEBTOON Entertainment by 22.8% in the third quarter. Vanguard Group Inc. now owns 427,623 shares of the company’s stock worth $8,300,000 after purchasing an additional 79,295 shares in the last quarter. Finally, State Street Corp increased its holdings in WEBTOON Entertainment by 0.9% in the fourth quarter. State Street Corp now owns 366,437 shares of the company’s stock valued at $4,775,000 after buying an additional 3,443 shares during the last quarter.

WEBTOON Entertainment Company Profile

Webtoon Entertainment Inc operates WEBTOON, a leading digital comics platform offering a diverse library of user-generated and professionally produced webcomics. The company enables creators around the world to publish serialized content in a vertical-scrolling format optimized for mobile and web consumption. Through its platform, readers can access thousands of titles across genres such as romance, fantasy, drama, and action, with both free-to-read episodes and advanced access options supported by microtransactions and advertising.

Founded as part of Naver Corporation and launched internationally in 2014, Webtoon Entertainment has grown rapidly by fostering a direct connection between comic creators and global audiences.