The Goldman Sachs Group Lowers Funko (NASDAQ:FNKO) Price Target to $2.50

Key Points

• Goldman Sachs has reduced Funko's price target from $5.50 to $2.50, indicating a potential downside of 6.54% from the current stock price, while maintaining a "neutral" rating.
• Funko's recent earnings report showed a loss of ($0.48) per share, missing estimates and reflecting a 21.9% decline in revenue year-over-year.
• In the broader market context, other brokerages have issued mixed ratings on Funko, with one downgrading it to "sell" and another maintaining a "buy" rating, highlighting a divided outlook on the company's future performance.

Funko (NASDAQ:FNKO - Free Report) had its price target lowered by The Goldman Sachs Group from $5.50 to $2.50 in a research report released on Thursday,Benzinga reports. The Goldman Sachs Group currently has a neutral rating on the stock.

Several other analysts also recently issued reports on FNKO. Wall Street Zen downgraded shares of Funko from a "hold" rating to a "sell" rating in a research note on Friday, July 18th. DA Davidson reiterated a "buy" rating and issued a $7.00 target price on shares of Funko in a research note on Monday, July 28th. Two research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, Funko currently has an average rating of "Moderate Buy" and an average price target of $9.13.

Funko Trading Down 6.9%

Shares of FNKO stock traded down $0.20 during mid-day trading on Thursday, hitting $2.68. 1,383,153 shares of the company's stock were exchanged, compared to its average volume of 1,928,998. Funko has a fifty-two week low of $2.22 and a fifty-two week high of $14.65. The stock has a 50-day simple moving average of $4.26 and a two-hundred day simple moving average of $6.16. The company has a quick ratio of 0.41, a current ratio of 0.64 and a debt-to-equity ratio of 0.02. The stock has a market cap of $148.39 million, a price-to-earnings ratio of -2.21 and a beta of 0.81.

Funko (NASDAQ:FNKO - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported ($0.48) EPS for the quarter, missing the consensus estimate of ($0.18) by ($0.30). The company had revenue of $193.47 million during the quarter, compared to analysts' expectations of $206.18 million. Funko had a negative net margin of 6.72% and a negative return on equity of 19.97%. The company's revenue for the quarter was down 21.9% compared to the same quarter last year. During the same period last year, the business earned $0.10 earnings per share. Equities analysts expect that Funko will post -0.12 EPS for the current fiscal year.

Insiders Place Their Bets

In other Funko news, CEO Cynthia W. Williams sold 47,457 shares of the firm's stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $3.94, for a total value of $186,980.58. Following the completion of the sale, the chief executive officer directly owned 32,769 shares in the company, valued at approximately $129,109.86. This trade represents a 59.15% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 3.27% of the stock is owned by corporate insiders.

Institutional Trading of Funko

Several hedge funds and other institutional investors have recently modified their holdings of FNKO. Shay Capital LLC boosted its position in Funko by 29.5% during the 2nd quarter. Shay Capital LLC now owns 441,808 shares of the company's stock valued at $2,103,000 after buying an additional 100,573 shares during the period. Manatuck Hill Partners LLC bought a new stake in Funko in the second quarter worth $2,428,000. Bridgeway Capital Management LLC bought a new position in Funko during the second quarter valued at $1,654,000. Brevan Howard Capital Management LP bought a new position in shares of Funko in the second quarter worth about $574,000. Finally, Bank of America Corp DE lifted its stake in Funko by 105.8% in the second quarter. Bank of America Corp DE now owns 575,156 shares of the company's stock worth $2,738,000 after acquiring an additional 295,725 shares during the period. Institutional investors own 99.15% of the company's stock.

About Funko

Funko, Inc, a pop culture consumer products company, designs, sources, and distributes licensed pop culture products in the United States, Europe, and internationally. The company provides media and entertainment content, including movies, television (TV) shows, video games, music, and sports; figures, handbags, backpacks, wallets, apparel, accessories, plush products, homewares, and digital non-fungible tokens; and art prints and vinyl records, posters, soundtracks, toys, books, games, and other collectibles.