Gravity Co Ltd
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
Why this colour
The balance sheet is genuinely healthy and the company consistently profitable — that speaks for substance. But three operational questions remain open: whether Gravity ever builds a second pillar independent of Ragnarok Online; whether the margin recovers from its App-Store and licensee dependence; and whether the first-ever dividend becomes a policy or stays a one-off. Whoever invests is relying on a majority shareholder that is officially also a competitor. None of these questions is a substance risk in the sense of insolvency — but each of them decides whether the scanner row turns into more than a one-time snapshot. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
Gravity shows how deceptive a scanner \"inflection\" signal can be: a 24-year-old IP that extends into a new country year after year and looks like fresh growth in reality only grew revenue in 2025 (up 11.9 percent), not profit (down 20.7 percent) — in the most recent quarter (Q2 2026) even revenue turned negative again, the majority shareholder is simultaneously licensee and competitor, and whether the first-ever dividend becomes lasting policy remains open; not investment advice.
Balance sheet & substance
Equity ratio 85.8 percent, KRW 203.6 billion in cash, essentially no financial debt (as of December 31, 2025). Unusually solid for a company this size.
Revenue growth
Group revenue grew a real 11.9 percent in 2025, with some quarters topping 30 percent — but the growth comes from extending the same 24-year-old IP into new countries, not from new products, and already turned negative again in the most recent quarter (Q2 2026: −5.2 percent).
Earnings quality
Despite the revenue gain, net profit fell 20.7 percent in 2025, because 72.1 percent of revenue runs through commission-charging third-party platforms (App Store, Google Play), which pushed gross margin from 38.7 to 35.0 percent.
IP concentration
Essentially 100 percent of revenue depends on the Ragnarok Online brand launched in 2002. The largest single title changes annually (Ragnarok Origin 42.1 percent in 2024 → 11.1 percent in 2025); no proven second pillar exists.
Governance & control
Majority shareholder GungHo Online Entertainment (59.3 percent of the vote, as of April 24, 2026) is simultaneously licensee and independent competitor; five directors sit on both sides. "Controlled company" status on Nasdaq further weakens shareholder protection.
Capital return
The first dividend in company history, approved August 7, 2026 (KRW 4,400 per share), is a real, positive signal — but arrived just 3.5 months after a "no intention" clause in the annual report. Whether it becomes a lasting policy is unresolved.
Worth Noting
Gravity landed on the research list through our in-house scanner "Revenue Inflection" (rank 4 of 33, as of August 23, 2026; after a correction to the scanner's currency conversion made later the same day (August 23, 2026): rank 19 of 28). The scanner's column header "$M" showed the raw won value mislabeled as dollars on August 23, 2026 — the KRW 541,884.6 revenue base at the time was in millions of won, not millions of dollars; that error was fixed later the same day (August 23, 2026), and the scanner has since shown 391.3 $M for this stock.
No public earnings conference calls or transcripts were found for Gravity (research covered the IR site, SEC filings and third-party sources, as of August 23, 2026) — quarterly results are released only through written 6-K filings.
All valuation and price figures are evergreen and dated; a daily price is not a buy argument. Not to be confused: Gravity Co., Ltd. (GRVY, Seoul) is not the same company as other firms sharing the name in other industries.
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at GRVY since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 55.70 $ to 75.20 $ · Last price: 66.50 $ (As of: September 25, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/25/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Electronic Gaming & Multimedia
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Gravity Co Ltd GRVY | 0.5 | 7.6 | 0.1 | 32.0 | 15.1 | 11.9 | 9.3 |
| NetEase Inc NTES | 73.9 | 14.7 | 8.1 | 67.2 | 41.4 | 7.0 | -19.8 |
| Electronic Arts Inc EA | 52.4 | 59.9 | 28.7 | 79.9 | 24.0 | 0.9 | 25.6 |
| Take-Two Interactive Software Inc TTWO | 36.9 | – | 31.6 | 57.1 | 2.3 | 18.2 | -16.9 |
| Roblox Corp RBLX | 33.3 | – | -24.8 | 25.7 | -16.4 | 35.8 | -63.3 |
| Playtika Holding Corp PLTK | 0.7 | – | 35.6 | 73.5 | – | 8.1 | -35.6 |
| Doubledown Interactive Co Ltd DDI | 0.6 | 5.6 | 0.7 | 73.4 | 37.6 | 5.5 | 39.0 |
| Sohu.Com Inc SOHU | 0.4 | 1.7 | 6.5 | 78.5 | -4.8 | -2.4 | -15.5 |
| FIRY FIRY | 0.2 | – | -0.2 | 87.8 | – | -31.3 | 70.1 |
| Median of companies shown | 0.7 | 7.6 | 6.5 | 73.4 | 15.1 | 7.0 | -15.5 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year ₩M
Revenue Operating income Net income
| Fiscal Year | Revenue (₩M) | EBIT (₩M) | Net Income (₩M) | EPS (₩) | Operating Cash Flow (₩M) | Equity (₩M) | Total Assets (₩M) |
|---|---|---|---|---|---|---|---|
| 2016 | 34,961 | 5,689 | -737 | -106.00 | 3,068 | 31,999 | 52,176 |
| 2017 | 141,623 | 14,138 | 13,319 | 1,917.00 | 26,136 | 43,998 | 115,883 |
| 2018 | 286,770 | 33,890 | 31,443 | 4,524.86 | 35,972 | 75,552 | 173,174 |
| 2019 | 360,967 | 48,803 | 39,876 | 5,738.46 | 26,371 | 115,766 | 175,425 |
| 2020 | 405,953 | 88,368 | 62,703 | 9,023.31 | 69,857 | 176,911 | 265,372 |
| 2021 | 413,938 | 96,719 | 65,947 | 9,490.14 | 74,183 | 246,071 | 327,526 |
| 2022 | 463,618 | 104,708 | 83,162 | 11,967.48 | 98,279 | 329,527 | 444,094 |
| 2023 | 725,516 | 160,367 | 132,019 | 18,998.27 | 132,430 | 463,087 | 578,181 |
| 2024 | 500,845 | 85,384 | 84,919 | 12,220.32 | 78,555 | 567,672 | 686,459 |
| 2025 | 560,548 | 79,782 | 67,464 | 9,708.45 | 77,124 | 636,832 | 742,631 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales (₩M) | Sales YoY (%) | Net Margin (%) | OCF (₩M) | FCF (₩M) |
|---|---|---|---|---|---|---|---|
| 2024: Q3 | 2.37 | -25.20 | 128,376 | -27.10 | 17.40 | – | – |
| 2024: Q4 | 3.32 | 41.30 | 129,723 | -2.80 | 17.80 | – | – |
| 2025: Q1 | 3.17 | 9.00 | 94,697 | -20.90 | 16.00 | – | – |
| 2025: Q2 | 1.91 | 44.80 | 121,825 | -0.90 | 7.80 | – | – |
| 2025: Q3 | 2.06 | -13.10 | 100,245 | -21.90 | 14.30 | – | – |
| 2025: Q4 | 1.22 | -63.10 | 121,050 | -6.70 | 10.90 | – | – |
| 2026: Q1 | 2.78 | -12.30 | 158,706 | 67.60 | 18.50 | – | – |
| 2026: Q2 | 2.26 | 18.30 | 161,884 | 32.90 | 15.00 | – | – |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 4 of our scanner strategies — each hit links to the scanner.
Backtested Scanners
Growth
Research
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
AI classification
AI Rating
Gravity setzt künstliche Intelligenz nach eigener Aussage nur in begrenztem Umfang intern ein (u. a. Schulungen zum sicheren KI-Einsatz und Abwehr KI-gestützter Cyberangriffe) — kein KI-Produkt, keine existenzielle KI-Bedrohung des Geschäftsmodells belegbar.
View the full file — quotes, sources, reviewed filings
„While we currently use artificial intelligence ("A.I.") in limited cases, to the extent we use, or continue to use, this technology in the future, we may encounter significant legal risks including the breach of a data or software license, website terms of service claims, claimed violations of privacy rights or other tort claims."
Wir setzen künstliche Intelligenz („KI“) derzeit nur in begrenztem Umfang ein; sollten wir diese Technologie künftig weiter oder verstärkt nutzen, könnten uns dadurch erhebliche rechtliche Risiken entstehen, darunter der Bruch von Daten- oder Softwarelizenzen, Ansprüche aus Website-Nutzungsbedingungen, behauptete Verletzungen von Persönlichkeitsrechten oder sonstige deliktische Ansprüche.
20-F · 2026-04-24 · View SEC filing
„The sophistication of cybersecurity threats, including through the use of artificial intelligence, continues to increase, and the controls and preventative actions we take to reduce the risk of cybersecurity incidents and protect our systems, including the regular testing of our cybersecurity incident response plan, may be insufficient. [...] To address these challenges, we provide regular employee training to promote the safe and responsible use of artificial intelligence (AI)."
Die Komplexität von Cybersicherheitsbedrohungen, auch durch den Einsatz künstlicher Intelligenz, nimmt weiter zu, und die von uns getroffenen Kontroll- und Vorbeugemaßnahmen zur Verringerung des Risikos von Cybersicherheitsvorfällen und zum Schutz unserer Systeme könnten unzureichend sein. [...] Um diesen Herausforderungen zu begegnen, bieten wir regelmäßige Mitarbeiterschulungen zum sicheren und verantwortungsvollen Einsatz künstlicher Intelligenz (KI) an.
20-F · 2026-04-24 · View SEC filing
Filings Reviewed: 20-F 2026-04-24
Rated on August 23, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 6.5%
- More than 10% revenue growth is expected for the coming year no data
- Share count grows by less than 3% a year 0.0%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") 25.5%
- Gross margin at 40% or higher and without meaningful erosion 35.0%
- Goodwill from acquisitions does not grow faster than revenue 1.0%
- Net debt below twice EBITDA 618,607 m net cash
- Operating cash flow covers the profits of the last three years 3,707 m
- Return on capital at 15% or higher, or up versus two years ago 12.3%
- Insiders hold at least 10% or are net buyers 59.3%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
3/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 36.1%
- Exp. sales growth 3Y > 5% –
- EBIT growth 10Y > 5% 34.1%
- Exp. EBIT growth 3Y > 5% –
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight 10
- Max. EBIT decline < 50% 50.3%
- Return on equity > 15% 10.8%
- ROCE > 15% 12.3%
- Expected return > 10% –
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
The company
About the Company
Gravity Co., Ltd. entwickelt und veröffentlicht weltweit Online- und Mobile-Spiele. Das Unternehmen bietet Massively-Multiplayer-Online-Rollenspiele an, darunter Ragnarok Online, Dragonica, Requiem Online, R.O.S.E. Online, Ragnarok Online II und Ragnarok Landverse, sowie charakterbasierte Merchandise-Artikel und Animationen. Sein Mobile-Games-Portfolio umfasst Ragnarok M; Eternal Love; Ragnarok Origin; Ragnarok X: Next Generation; Ragnarok Arena; WITH ISLAND; the Labyrinth of Ragnarok; Ragnarok Poring; Tera Classic; NBA: Rise To Stardom; Generation Zombie; Ragnarok Idle Adventure; Ragnarok 20 Heroes; White Chord; WITH: Whale In The High; Ragnarok Lost Memories; und Paladog Tactics. Es bietet zudem Konsolenspiele an, wie Ragnarok DS für Nintendo DS; Ragnarok: The Princess of Light and Darkness für PlayStation Portable; Ragnarok Odyssey für PlayStation Vita; Double Dragon II für Xbox 360; Ragnarok Odyssey Ace für PlayStation Vita und PlayStation 3; Pigromance für Steam, Stove, Nintendo Switch, Xbox One, Xbox Series X|S; ALTF4 11 für Steam und Stove; Wetory für Steam, Stove, Nintendo Switch; und GRANDIA HD Collection für Nintendo Switch. Zudem bietet es Spiele für IPTV an, darunter Haunted House und Pororo: The Little Penguin sowie Kongsuni, und vermarktet Puppen, Schreibwaren, Lebensmittel und andere charakterbasierte Merchandise-Artikel sowie Spielanleitungen, Monatsmagazine und andere Publikationen; PC-Spiele, darunter Puzzle, Platformer, ALTF4 II, Ragnarok ZERO, KAMiBAKO-Mythology of Cube, Psychodemic und FINAL KNIGHT; Social-Network-Spiele und Mobile-Games wie Ragnarok V: Returns, Ragnarok: The Lost Memories und das intern entwickelte Ragnarok Begins; sowie webbrowserbasierte Spiele wie Ragnarok Prequel und Ragnarok Prequel II. Darüber hinaus erbringt das Unternehmen Systementwicklungs- und Wartungsdienstleistungen sowie Systemintegrationsdienstleistungen für Dritte. Das Unternehmen wurde 2000 gegründet und hat seinen Hauptsitz in Seoul, Südkorea. Gravity Co., Ltd. ist eine Tochtergesellschaft von GungHo Online Entertainment, Inc.
- Employees
- 437
- Headquarters
- Seoul, South Korea
- Address
- 396 World Cup buk-ro, 03925 Seoul, South Korea
- Phone
- 82 2 2132 7000
- Website
- gravity.co.kr
- IPO Date
- 02/08/2005
- ISIN
- US38911N2062
- Stock Split
- 2:1 on 08/28/2018
- Stock Split
- 1:8 on 05/11/2015
Management
| Name | Title | Birth Year |
|---|---|---|
| Heung Gon Kim | CFO & Executive Director | 1966 |
| Yoshinori Kitamura | Co-CEO & Chairman of the Board | 1968 |
| Hyun Chul Park | Co-CEO & Executive Director | 1973 |
| Taik Baik Seung | Chief Marketing Officer and Senior Executive Vice President | – |
| Kyu Hyeong Lee | Senior Executive Vice President of Human Resources | – |
| Kazuki Morishita | Executive Director | 1973 |
| Kazuya Sakai | Executive Director | 1965 |
| Koji Yoshida | Executive Director | 1953 |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Data as of: September 25, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.