I forgot how much revenue NijiEN brings to the company. Last I checked I think it was around 30% but that was quite a few quarters ago during NijiEN upswing. Given the current exodus of NijiEN, shareholders might take this as a Nijisanji conceding the Western market to Hololive which could push Niji's shares down, especially since most of these issues stemmed from internal mismanagement.
Domestically, Nijisanji still holds more popular appeal especially among women. I tend to see more mainstream products being shilled by their livers (cosmetics, mattress, fashion, Google Pixel, etc...) compared to Hololive more anime-oriented merch. I think Nijisanji also has a McDonald Japan collab as well, which can be a useful bragging point to hype up investors' confidence. This is something Hololive needs to pay more attention to if they want to takeover domestic market, which is still the bigger revenue pie.
tl;dr: you might see further drops if NijiEN continues to implode, unless NijiJP gets some amazing news to offset the pessimism.
