SM Entertainment faces another dip in stocks as idols leave

SM Entertainment is facing yet another setback as stock values continue to plummet due to the situation concerning idols under their management, which has affected confidence in the future of the entertainment company’s profitability.

All images are from SM Entertainment, unless otherwise stated.

SM Entertainment is a South Korean entertainment company that is known to have produced some of the biggest names in K-pop, including Super Junior, Super M, and Girls Generation.

According to Korea JoongAng Daily, multiple situations involving celebrities under SM Entertainment's current management, such as dating news and idol departures, have caused their share prices to fall.

When Koreaboo broke in February that SM Entertainment had confirmed that an artist under their wing, aespa’s Karina had confirmed her relationship with actor Lee Jae-wook, it had caused SM Entertainment share prices to first fall.

Image: Netflix, SM Entertainment

Korea JoongAng Daily reported that the dating news had caused SM Entertainment share prices to drop by $50M, and stocks had barely managed to recover days later.

Despite having barely recovered from the shock of Karina’s dating news, SM Entertainment share prices are plummeting once again due to news of their idols leaving, notably SHINee’s Taemin and Onew, reports Korea JoongAng Daily.

The news has not only caused anxiety among fans, who have expressed concerns about the future of related K-pop subgroups Taemin and Onew are involved in, specifically SM Town and Super M, given the two's upcoming departure from SM Entertainment, states Koreaboo.

It seems that the future for SM Entertainment has gone in a more uncertain direction regarding not just their artists, but also their profitability.

Korea JoongAng Daily reports that the latest news of Onew and Taemin’s departure has caused shares to plummet again, this time by 1.9 percent.