Jung Woo-sung’s “Illegitimate Child Scandal”: How Will It Impact Stock Prices?
The financial sector is closely watching how the stock price of Artist United, the agency representing actor Jung Woo-sung—embroiled in an “illegitimate child scandal”—will respond. Typically, scandals involving affiliated artists negatively affect entertainment companies’ stock performance.
On November 27, the Korea Exchange reported that Artist United’s stock had closed the previous day at 17,900 KRW, up 5.98% (1,010 KRW) from the previous trading day. Then, on the morning of November 27, the stock showed a downward trend, fluctuating around 17,250 KRW and losing its earlier momentum.
In the entertainment industry, scandals involving celebrities usually act as a bearish signal for stock prices. For example, SM Entertainment recently faced a decline of more than 3% in its stock price following dating rumors involving aespa’s Karina.
Similarly, YG Entertainment experienced an 8% drop in its stock price over four days after BLACKPINK’s Rosé was rumored to be dating actor Kang Dong-won in April last year. Besides, YG faced a 9% decline in its stock price over three days due to BLACKPINK’s Lisa’s dating rumors with Frédéric Arnault.
An industry insider explained, “The more popular and attention-grabbing the celebrity, the greater the potential for their personal life to influence stock prices.”
Jung Woo-sung’s case is particularly notable because he is not only an actor under Artist United but also an internal director, amplifying the potential fallout of the scandal.
The market is expected to closely monitor the impact of Jung Woo-sung’s controversy on Artist United’s stock performance. This scrutiny is heightened by Artist United’s recent merger with Artist Company—a management agency representing top actors such as Ahn Sung-ki, Lee Jung-jae, Yum Jung-ah and Park Hae-jin—with the goal of becoming a global comprehensive entertainment company. Jung Woo-sung’s dual role as both a key actor and a decision-maker within the company places significant responsibility on his shoulders amid the current turmoil.
Source: Daum