Guild Wars 2 expansion to be released in 2015 ?

Original from : http://www.kdbdw.com/bbs/download/182450.pdf?attachmentId=182450
"NCsoft appears undervalued after recent pullback 
NCsoft has suffered a major pullback despite releasing better-than-expected 4Q earnings and 
guiding earnings improvement for 2014.  
This stock plunge appears largely attributable to the bleak outlook for Blade & Soul in China. 
However, in our opinion, the market’s view is too pessimistic, considering that Blade & Soul’s 
share of the Chinese internet café segment has been modestly increasing, even one month 
after the game’s January 15th content update. And the company is slated to release another 
update in March. As of February 24th, Blade & Soul occupies 3.36% of the online game market 
(based on the number of clicks at internet cafés),  the largest share among MMORPGs (vs. 
0.58% for Fantasy Westward Journey and 0.46% for World of Warcraft). Blade & Soul has 
been ranked second in terms of weekly Chinese in-game item sales since the beginning of 
February. Furthermore, we believe that 1Q Blade & Soul-related royalty income in China could 
exceed our original estimate (W30bn).  
We believe that the market consensus for NCsoft’s 2014 earnings will likely be revised up 
thanks to: 1) a rise in ARPU owing to the commercial launch of Blade & Soul in China, 2) 
the success of  Guild Wars 2 in China and Wild Star in the US and Europe, and 3) the 
robust performances of Blade & Soul and Guild Wars 2 in Japan, Russia, and Taiwan.
NCsoft’s current share price corresponds to a 2014F P/E of 11.2x. The stock’s P/E has ranged 
from the high-10x level to 40x over the past ten years. Given that NCsoft’s major global peers 
Activision Blizzard and Electronic Arts are trading at 2014F P/Es of over 15x, the company 
appears significantly undervalued. Most global PC and console game companies are expected 
to suffer from stagnating margins in 2014. However, NCsoft is scheduled to launch an 
expansion pack for Guild Wars 2 in the US and Europe in 2015. Lineage Eternal, Metal Black: 
Alternative, and various mobile games are also in the pipeline. "