Dear U디어유

Dear U remains very profitable on trailing numbers, but the shares are down 46% over the past year and a sell-side target cut was reported.

Dear U runs a paid fan-messaging app built around K-POP artists, with most subscribers outside Korea. On trailing twelve months to H1 2026 it reported revenue of ₩92.9B, operating income of ₩37.6B and a 40.5% operating margin, with ₩126.4B in cash and no borrowings listed. The share price, at ₩20,200, sits well below its 52-week high of ₩45,850.

What stands out

• Trailing revenue of ₩92.9B is above the ₩83.8B reported for 2025, and the operating margin of 40.5% is higher than the 37.4% for 2025.
• The 2025 net income of ₩18.6B was well below 2024's ₩24.4B, while trailing net income of ₩36.3B is much stronger, so profit trends have been uneven.
• The company-run DCF model gives a base value of ₩34,209, a bear value of ₩25,919 and a bull value of ₩47,401; these are model outputs, not forecasts.
• Valuation shows a P/E of 13.2 and P/B of 2.2 at the current price, against a 1.6% dividend yield.
• Foreign ownership fell from 5.9% to 2.4% over the past 60 days, and foreign investors were net sellers over the last 20 days.

What to watch

• The ₩22.9B signed buyback trust contract and any follow-up on share repurchases, announced in late September.
• The October 20 news item on a target price cut, which cites a lack of events and unfavorable exchange rates; the underlying analysis is not in the data.
• Next quarterly results and any update to the 2026 outlook, since the data does not include guidance or forecasts.