The release of “Squid Game“ 3 may have achieved instant global attention, but its lukewarm reception has triggered a sharp decline in the stock market, especially for companies associated with its star, Lee Jung-jae.
On June 30, only three days after the third season premiered on Netflix, shares of several entertainment firms closely tied to the series saw a steep drop. Most notably, Artist Studio and Artist Company, where Lee Jung-jae is a major shareholder and co-founder respectively, suffered double-digit losses. Artist Studio plummeted by 21.07%, while Artist Company fell by 18.82% on the KOSDAQ market.
The impact extended beyond Lee’s own businesses. WYSIWYG Studios, which handled visual effects for “Squid Game 3″, declined by nearly 6%, while Dexter Studios, another VFX firm, dropped 6.96%. Showbox, a key investor in the series’ production company Siren Pictures, also slid by 7.90%.
These losses came despite strong early streaming performance. After its debut on June 27, “Squid Game 3″ immediately topped Netflix’s global TV rankings, reaching number one on FlixPatrol within a day. However, critical and audience response has been far less favorable.
The audience score on Rotten Tomatoes has hovered at 51 out of 100, reflecting a sharp divide between streaming popularity and viewer satisfaction. International reviews have not been kind either, with many media outlets labeling the season’s ending as disappointing and critiquing its lack of originality and emotional depth compared to the first season.
For investors, this disconnect appears to have fueled a broader market reaction. As Lee Jung-jae holds not only a starring role but also deep ties to multiple entities involved in the production and management of the franchise, his business ventures have proven vulnerable to fluctuations in public opinion.
This situation illustrates the growing sensitivity of entertainment-linked equities to audience and critical feedback. While “Squid Game” remains one of Netflix’s most watched franchises, the third season’s reception could influence how both investors and industry insiders assess the risks tied to high-profile entertainment properties.
As of now, Netflix has confirmed that “Squid Game” will not continue into a fourth season. However, the appearance of Cate Blanchett in the final episode has already sparked talk of a U.S. spin-off, suggesting that the “Squid Game” universe may not be entirely finished.
