Funko Story

FNKO -- USA Stock

USD 12.54 0.29 2.37%

Macroaxis Story

The next fiscal quarter end is expected on the 31st of December 2020. The stock is still going through an active upward rally. Funko Current Ratio is quite stable at the moment as compared to the past year. The company's current value of Current Ratio is estimated at 1.84. Debt to Equity Ratio is expected to rise to 2.40 this year, although the value of Earnings before Tax will most likely fall to about 15 M. Although many aggressive traders are getting into consumer cyclical space, Funko Inc may or may not be your first choice.

Published over a month ago

View all stories for Funko | View All Stories

You think Funko (NASDAQ:FNKO) debt is an issue for institutional investors?

The company currently holds 276.33 M in liabilities with Debt to Equity (D/E) ratio of 0.91, which is about average as compared to similar companies. On a scale of 0 to 100, Funko holds a performance score of 11. The firm shows a Beta (market volatility) of -1.3566, which means a somewhat significant risk relative to the market. Let's try to break down what Funko's beta means in this case. As returns on the market increase, returns on owning Funko are expected to decrease by larger amounts. On the other hand, during market turmoil, Funko is expected to outperform it. Although it is vital to follow Funko Inc historical returns, it is good to be conservative about what you can do with the information regarding equity current trending patterns. The philosophy towards predicting future performance of any stock is to evaluate the business as a whole together with its past performance, including all available fundamental and technical indicators. We have found twenty-one technical indicators for Funko Inc, which you can use to evaluate the performance of the firm. Please utilizes Funko Inc coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to make a quick decision on whether Funko price patterns will revert.

Funko financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Funko, including all of Funko's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Funko assets, the company is considered highly leveraged. Understanding the composition and structure of overall Funko debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it. Please read more on our technical analysis page.

Understanding Funko Total Debt

Funko Inc liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Funko Inc has to fulfill its short-term liabilities in this reporting year and should be no more than 12 months old. Long-term debt, on the other hand, is anything beyond the 12-month payment timeframe. Common short-term liabilities found on Funko balance sheet include debt obligations and money owed to different Funko vendors, workers, and loan providers. Below is the chart of Funko main long-term debt accounts currently reported on its balance sheet.

You can use Funko Inc financial leverage analysis tool to get a better grip on understanding its financial position

How important is Funko's Liquidity

Funko financial leverage refers to using borrowed capital as a funding source to finance Funko Inc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Funko financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Funko's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions. It is good to see analyst projects for Funko, but it might be worth checking our own buy vs. sell analysis

Exercise or conversion by Andrew Perlmutter of 56250 shares of Funko subject to Rule 16b-3

Legal trades by Funko insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Funko insider trading alert for exercise of restricted stock units by Andrew Perlmutter, PRESIDENT, on 2nd of October 2020. This event was filed by Funko Inc with SEC on 2020-10-02. Statement of changes in beneficial ownership - SEC Form 4 [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

A Deeper look at Funko

Funko Inc reported the previous year's revenue of 639.58 M. Net Loss for the year was (9.16 M) with profit before overhead, payroll, taxes, and interest of 299.32 M.

Asset Breakdown

531.6 M

Assets Non Current

384.7 M

Goodwill

Tax Assets

266.1 M

Current Assets

	Total Assets	797.73 Million
	Current Assets	266.14 Million
	Assets Non Current	531.59 Million
	Goodwill	384.74 Million
	Tax Assets	62.09 Million

Will Funko continue to go insane?

The mean deviation is down to 3.65 as of today. Funko Inc exhibits above-average semi-deviation for your current time horizon. We encourage investors to investigate Funko Inc individually to make sure intended market timing strategies and available technical indicagtors are consistent with their estimates about Funko future systematic risk.

Our Final Takeaway

Whereas some companies in the leisure industry are either recovering or due for a correction, Funko may not be performing as strong as the other in terms of long-term growth potentials. While some institutional investors may not share our view we believe it may be a good time to drop Funko as the risk-reward trade off is not appealing enough to hold a position. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Funko.

About Contributor

Ellen Johnson is a Member of Macroaxs Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Funko Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

Would you like to provide feedback on the content of this article?

You can get in touch with us directly or send us a quick note via email to editors@macroaxis.com

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2021 Macroaxis LLC