Investors in Pearl Abyss put a lot of stock in the news that Black Desert Mobile would soon debut in China. The initial news surrounding the commencement of BDM's open beta in China led to a massive sell-off of the Korean game company's stock.
Pearl Abyss officially released its mobile version of its popular Black Desert label in China on Tuesday with commencement of open beta test (OBT), nearly one year after it gained permit from Beijing authorities in June last year in a rare acceptance of a Korean game label in recent years.
"Black Desert Mobile" zoomed to the top of the Chinese app store game charts, becoming the No.1 downloaded game in the country upon release. It also led the charts of Tap Tap, an app market run by Tencent that is jointly marketing the game with iDreamSky. Black Desert Mobile is a mobile version of Black Desert Online, the blockbuster published in 2015 with cumulative downloads of more than 36 million worldwide.
But the fanfare quickly fizzled out, with the rank sliding to 75th later in the day and recovering to 29th Wednesday morning.
The result? The price per share dropped from Tuesday' opening price of ₩97,000 ($76.25) down to a closing price of ₩74,100 ($58.25). The 23.6% loss was followed up by another loss of 9.7% in trading Wednesday. Pearl Abyss stock closed at ₩67,000 ($52.67) per share for a two day loss of 30.9%.
Pearl Abyss ended 2021 on a high note, with its stock worth ₩138,300 ($116.28) per share. While the company's stock is still 26% above its 52-week low price of ₩53,100, Pearl Abyss stock has declined by over 50% so far in 2022. With Pearl Abyss' biggest hope for a success in 2022 fizzling out, the next earnings call in two weeks should prove interesting.