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Funko

Nasdaq:FNKO
Snowflake Description

High growth potential with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FNKO
Nasdaq
$992M
Imp Market Cap
  1. Home
  2. US
  3. Retail
Company description

Funko, Inc., a pop culture consumer products company, designs, sources, and distributes licensed pop culture products in the United States, China, Vietnam, and the United Kingdom. The last earnings update was 12 days ago. More info.


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  • Funko has significant price volatility in the past 3 months.
FNKO Share Price and Events
7 Day Returns
-1.4%
NasdaqGS:FNKO
-0.8%
US Retail Distributors
0.8%
US Market
1 Year Returns
-7.7%
NasdaqGS:FNKO
16.2%
US Retail Distributors
11%
US Market
FNKO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Funko (FNKO) -1.4% -28.1% -38.4% -7.7% - -
US Retail Distributors -0.8% 4.1% 12% 16.2% 21.1% 29%
US Market 0.8% 4.3% 6.1% 11% 40.2% 45%
1 Year Return vs Industry and Market
  • FNKO underperformed the Retail Distributors industry which returned 16.2% over the past year.
  • FNKO underperformed the Market in United States of America which returned 11% over the past year.
Price Volatility
FNKO
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Funko undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Funko to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Funko.

NasdaqGS:FNKO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:FNKO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Retail Distributors Unlevered Beta Simply Wall St/ S&P Global 0.84
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.839 (1 + (1- 21%) (31.09%))
1.03
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.03
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.03 * 5.96%)
8.87%

Discounted Cash Flow Calculation for NasdaqGS:FNKO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Funko is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqGS:FNKO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.87%)
2020 73.25 Analyst x4 67.28
2021 56.83 Analyst x3 47.95
2022 48.06 Est @ -15.45% 37.24
2023 43.25 Est @ -9.99% 30.79
2024 40.58 Est @ -6.18% 26.54
2025 39.16 Est @ -3.5% 23.52
2026 38.52 Est @ -1.63% 21.25
2027 38.39 Est @ -0.32% 19.46
2028 38.62 Est @ 0.59% 17.98
2029 39.10 Est @ 1.23% 16.72
Present value of next 10 years cash flows $308.00
NasdaqGS:FNKO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $39.10 × (1 + 2.73%) ÷ (8.87% – 2.73%)
$654.33
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $654.33 ÷ (1 + 8.87%)10
$279.75
NasdaqGS:FNKO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $308.00 + $279.75
$587.75
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $587.75 / 69.60
$8.44
NasdaqGS:FNKO Discount to Share Price
Calculation Result
Value per share (USD) From above. $8.44
Current discount Discount to share price of $14.39
= -1 x ($14.39 - $8.44) / $8.44
-70.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Funko is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Funko's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Funko's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:FNKO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $0.81
NasdaqGS:FNKO Share Price ** NasdaqGS (2019-11-11) in USD $14.39
United States of America Retail Distributors Industry PE Ratio Median Figure of 11 Publicly-Listed Retail Distributors Companies 17.51x
United States of America Market PE Ratio Median Figure of 2,909 Publicly-Listed Companies 18.22x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Funko.

NasdaqGS:FNKO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:FNKO Share Price ÷ EPS (both in USD)

= 14.39 ÷ 0.81

17.69x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Funko is overvalued based on earnings compared to the US Retail Distributors industry average.
  • Funko is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Funko's expected growth come at a high price?
Raw Data
NasdaqGS:FNKO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 17.69x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
47.6%per year
United States of America Retail Distributors Industry PEG Ratio Median Figure of 5 Publicly-Listed Retail Distributors Companies 1.88x
United States of America Market PEG Ratio Median Figure of 2,014 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

NasdaqGS:FNKO PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 17.69x ÷ 47.6%

0.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Funko is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Funko's assets?
Raw Data
NasdaqGS:FNKO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $6.47
NasdaqGS:FNKO Share Price * NasdaqGS (2019-11-11) in USD $14.39
United States of America Retail Distributors Industry PB Ratio Median Figure of 14 Publicly-Listed Retail Distributors Companies 2.22x
United States of America Market PB Ratio Median Figure of 5,043 Publicly-Listed Companies 1.74x
NasdaqGS:FNKO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:FNKO Share Price ÷ Book Value per Share (both in USD)

= 14.39 ÷ 6.47

2.22x

* Primary Listing of Funko.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Funko is overvalued based on assets compared to the US Retail Distributors industry average.
X
Value checks
We assess Funko's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Retail Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Retail Distributors industry average (and greater than 0)? (1 check)
  5. Funko has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Funko expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
47.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Funko expected to grow at an attractive rate?
  • Funko's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Funko's earnings growth is expected to exceed the United States of America market average.
  • Funko's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:FNKO Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:FNKO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 47.6%
NasdaqGS:FNKO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 10.7%
United States of America Retail Distributors Industry Earnings Growth Rate Market Cap Weighted Average 11.1%
United States of America Retail Distributors Industry Revenue Growth Rate Market Cap Weighted Average 3.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:FNKO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:FNKO Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,040 124 86 6
2020-12-31 942 108 57 9
2019-12-31 846 100 38 9
2019-11-12
NasdaqGS:FNKO Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 815 92 23
2019-06-30 768 76 16
2019-03-31 716 68 11
2018-12-31 686 50 9
2018-09-30 622 35 5
2018-06-30 588 30 12
2018-03-31 554 6 8
2017-12-31 516 24 1
2017-09-30 479 64 14
2017-06-30 454 49 23
2017-03-31 451 67 28
2016-12-31 427 49 27

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Funko's earnings are expected to grow significantly at over 20% yearly.
  • Funko's revenue is expected to grow by 10.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:FNKO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Funko Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:FNKO Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.58 1.83 1.12 4.00
2020-12-31 1.43 1.94 1.06 6.00
2019-12-31 0.96 1.14 0.71 6.00
2019-11-12
NasdaqGS:FNKO Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 0.81
2019-06-30 0.61
2019-03-31 0.43
2018-12-31 0.39
2018-09-30 0.21
2018-06-30 0.51
2018-03-31 0.32
2017-12-31 0.04
2017-09-30 58.34
2017-06-30 95.72
2017-03-31 122.07
2016-12-31 116.42

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Funko is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Funko's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Funko has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Funko performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Funko's growth in the last year to its industry (Retail Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Funko's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Funko's 1-year earnings growth exceeds its 5-year average (345.7% vs -11.9%)
  • Funko's earnings growth has exceeded the US Retail Distributors industry average in the past year (345.7% vs -7.7%).
Earnings and Revenue History
Funko's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Funko Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:FNKO Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 814.80 23.09 180.52
2019-06-30 768.40 16.02 169.37
2019-03-31 715.66 10.62 160.30
2018-12-31 686.07 9.36 154.29
2018-09-30 622.32 5.18 147.63
2018-06-30 588.22 11.87 138.37
2018-03-31 554.24 7.57 129.44
2017-12-31 516.08 1.04 119.24
2017-09-30 479.02 13.85 102.78
2017-06-30 454.25 22.74 87.67
2017-03-31 450.80 28.29 79.00
2016-12-31 426.72 26.88 67.47
2015-12-31 274.06 11.94 49.23

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Funko has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Funko used its assets less efficiently than the US Retail Distributors industry average last year based on Return on Assets.
  • Funko's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Funko's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Retail Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Funko has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Funko's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Funko's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Funko is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Funko's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Funko's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Funko Company Filings, last reported 1 month ago.

NasdaqGS:FNKO Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 306.59 237.72 13.49
2019-06-30 296.37 241.33 19.49
2019-03-31 297.42 247.11 22.55
2018-12-31 296.37 247.30 13.49
2018-09-30 276.42 259.05 10.58
2018-06-30 266.34 248.46 10.89
2018-03-31 274.59 241.65 6.45
2017-12-31 281.16 233.90 7.73
2017-09-30 164.43 348.39 7.66
2017-06-30 154.99 339.06 12.75
2017-03-31 148.51 278.88 3.85
2016-12-31 217.38 217.75 6.16
2015-12-31 243.56 169.85 24.41
  • Funko's level of debt (77.5%) compared to net worth is high (greater than 40%).
  • Unable to establish if Funko's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (38.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.3x coverage).
X
Financial health checks
We assess Funko's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Funko has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Funko's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Funko dividends. Estimated to be 0% next year.
If you bought $2,000 of Funko shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Funko's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Funko's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:FNKO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
United States of America Retail Distributors Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 2.2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1942 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:FNKO Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.00 1.00
2020-12-31 0.00 2.00
2019-12-31 0.00 2.00
2019-11-12

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Funko has not reported any payouts.
  • Unable to verify if Funko's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Funko's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Funko has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Funko's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Funko's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Funko afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Funko has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Funko's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Brian Mariotti
COMPENSATION $16,395,614
AGE 51
TENURE AS CEO 2.6 years
CEO Bio

Mr. Brian Richard Mariotti has been the Chief Executive Officer at Funko, LLC since 2005 and served as its President until October 4, 2017. Mr. Mariotti has been Chief Executive Officer of Funko, Inc. since April 2017. He has been the Chief Executive Officer of FAH, LLC since October 2015. He has been Chief Executive Officer of FHL since May 2013. He has been Director of Funko, Inc. since April 2017. He has been Director of FAH, LLC since October 2015. He has been Director of FHL since May 2013.

CEO Compensation
  • Brian's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Brian's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Funko management team in years:

1.9
Average Tenure
48
Average Age
  • The average tenure for the Funko management team is less than 2 years, this suggests a new team.
Management Team

Brian Mariotti

TITLE
CEO & Director
COMPENSATION
$16M
AGE
51
TENURE
2.6 yrs

Andrew Perlmutter

TITLE
President
COMPENSATION
$11M
AGE
42
TENURE
2.1 yrs

Russell Nickel

TITLE
COMPENSATION
$1M
AGE
45
TENURE
0.3 yrs

Jennifer Jung

TITLE
Chief Financial Officer
TENURE
0.3 yrs

Andrew Harless

TITLE
Manager of Investor Relations

Tracy Daw

TITLE
Senior VP
COMPENSATION
$884K
AGE
53
TENURE
2.6 yrs

Jessica Piha

TITLE
Director of Public Relations

Molly Hartney

TITLE
Chief Marketing Officer & Senior VP of E-commerce
TENURE
1.7 yrs
Board of Directors Tenure

Average tenure and age of the Funko board of directors in years:

2.6
Average Tenure
53
Average Age
  • The average tenure for the Funko board of directors is less than 3 years, this suggests a new board.
Board of Directors

Ken Brotman

TITLE
Chairman of the Board
AGE
54

Brian Mariotti

TITLE
CEO & Director
COMPENSATION
$16M
AGE
51
TENURE
2.6 yrs

Charlie Denson

TITLE
Independent Director
COMPENSATION
$163K
AGE
63
TENURE
2.6 yrs

Diane Irvine

TITLE
Independent Director
COMPENSATION
$163K
AGE
60
TENURE
2.3 yrs

Gino Dellomo

TITLE
Independent Director
AGE
40
TENURE
2.6 yrs

Adam Kriger

TITLE
Independent Director
AGE
53
TENURE
2.6 yrs

Mike Lunsford

TITLE
Independent Director
COMPENSATION
$49K
AGE
51
TENURE
1.1 yrs

Sarah Levy

TITLE
Director
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • Funko individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
23. Sep 19 Sell Acon Equity Management L.L.C. Company 19. Sep 19 19. Sep 19 -1,986,433 $25.42 $-50,495,127
23. Sep 19 Sell Kenneth Brotman Individual 19. Sep 19 19. Sep 19 -1,986,433 $25.42 $-50,495,127
23. Sep 19 Sell Gino Dellomo Individual 19. Sep 19 19. Sep 19 -1,986,433 $25.42 $-50,495,127
21. Aug 19 Sell Fundamental Capital, LLC Company 19. Aug 19 20. Aug 19 -119,083 $22.71 $-2,699,142
16. Aug 19 Sell Fundamental Capital, LLC Company 14. Aug 19 14. Aug 19 -7,100 $23.53 $-167,079
14. Aug 19 Sell Fundamental Capital, LLC Company 12. Aug 19 13. Aug 19 -196,309 $23.81 $-4,655,741
12. Aug 19 Sell Fundamental Capital, LLC Company 08. Aug 19 09. Aug 19 -629,746 $24.23 $-14,930,975
05. Aug 19 Sell Fundamental Capital, LLC Company 01. Aug 19 01. Aug 19 -15,662 $25.26 $-395,666
31. Jul 19 Sell Fundamental Capital, LLC Company 30. Jul 19 31. Jul 19 -83,200 $25.10 $-2,079,933
29. Jul 19 Sell Fundamental Capital, LLC Company 25. Jul 19 29. Jul 19 -99,468 $24.64 $-2,426,175
24. Jul 19 Sell Fundamental Capital, LLC Company 22. Jul 19 24. Jul 19 -72,784 $24.17 $-1,752,856
01. Jul 19 Sell Fundamental Capital, LLC Company 27. Jun 19 01. Jul 19 -141,132 $25.20 $-3,554,718
24. Jun 19 Sell Fundamental Capital, LLC Company 20. Jun 19 24. Jun 19 -229,561 $25.00 $-5,447,340
04. Jun 19 Buy Fifth Street Station LLC Company 31. May 19 03. Jun 19 245,224 $20.74 $4,902,065
31. May 19 Buy Fifth Street Station LLC Company 29. May 19 29. May 19 91,125 $20.72 $1,888,238
04. Jun 19 Buy Fifth Street Station LLC Company 17. May 19 23. May 19 140,069 $20.98 $2,933,592
15. May 19 Buy Charles Denson Individual 13. May 19 13. May 19 25,000 $20.69 $517,250
14. May 19 Sell Fundamental Capital, LLC Company 10. May 19 10. May 19 -22,739 $23.14 $-526,096
13. May 19 Sell Fundamental Capital, LLC Company 08. May 19 08. May 19 -83,700 $22.09 $-1,848,992
11. May 19 Buy Charles Denson Individual 07. May 19 09. May 19 20,600 $21.30 $437,780
07. May 19 Sell Fundamental Capital, LLC Company 03. May 19 07. May 19 -269,500 $22.01 $-5,699,325
15. Mar 19 Sell Fundamental Capital, LLC Company 13. Mar 19 14. Mar 19 -429,775 $21.04 $-8,919,499
13. Mar 19 Sell Fundamental Capital, LLC Company 08. Mar 19 12. Mar 19 -334,412 $19.88 $-6,636,374
04. Mar 19 Sell Fundamental Capital, LLC Company 28. Feb 19 04. Mar 19 -248,865 $24.20 $-5,368,686
04. Mar 19 Sell Fundamental Capital, LLC Company 26. Feb 19 27. Feb 19 -12,755 $20.25 $-256,771
25. Feb 19 Sell Fundamental Capital, LLC Company 21. Feb 19 25. Feb 19 -103,035 $19.92 $-2,030,341
22. Feb 19 Sell Fundamental Capital, LLC Company 20. Feb 19 20. Feb 19 -125,145 $19.78 $-2,389,173
20. Feb 19 Sell Fundamental Capital, LLC Company 14. Feb 19 15. Feb 19 -52,335 $18.61 $-974,080
14. Feb 19 Sell Fundamental Capital, LLC Company 11. Feb 19 13. Feb 19 -150,000 $18.45 $-2,712,996
X
Management checks
We assess Funko's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Funko has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Are Investors Undervaluing Funko, Inc. (NASDAQ:FNKO) By 33%?

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) forecast 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF ($, Millions) $76.3m $91.4m $104.8m $116.4m $126.4m $135.0m $142.6m $149.3m $155.5m $161.2m Growth Rate Estimate Source Analyst x4 Est @ 19.76% Est @ 14.65% Est @ 11.07% Est @ 8.57% Est @ 6.82% Est @ 5.59% Est @ 4.73% Est @ 4.13% Est @ 3.71% Present Value ($, Millions) Discounted @ 8.29% $70.5 $77.9 $82.5 $84.6 $84.9 $83.7 $81.6 $78.9 $75.9 $72.7 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= $793.3m After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = US$161m × (1 + 2.7%) ÷ (8.3% – 2.7%) = US$3.0b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = $US$3.0b ÷ ( 1 + 8.3%)10 = $1.34b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is $2.14b. … NasdaqGS:FNKO Intrinsic value, August 23rd 2019 Important assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Does Funko (NASDAQ:FNKO) Have A Healthy Balance Sheet?

(NASDAQ:FNKO) does have debt on its balance sheet. … NasdaqGS:FNKO Historical Debt, July 16th 2019 A Look At Funko's Liabilities Zooming in on the latest balance sheet data, we can see that Funko had liabilities of US$120.1m due within 12 months and liabilities of US$271.5m due beyond that. … Because it carries more debt than cash, we think it's worth watching Funko's balance sheet over time.

Simply Wall St -

Introducing Funko (NASDAQ:FNKO), A Stock That Climbed 83% In The Last Year

(NASDAQ:FNKO) share price is up 83% in the last year, clearly besting than the market return of around 5.3% (not including dividends). … We'll need to follow Funko for a while to get a better sense of its share price trend, since it hasn't been listed for particularly long. … During the last year Funko grew its earnings per share (EPS) by 33%.

Simply Wall St -

Is Funko, Inc. (NASDAQ:FNKO) Investing Your Capital Efficiently?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Funko: 0.12 = US$70m ÷ (US$689m - US$120m) (Based on the trailing twelve months to March 2019.) So, Funko has an ROCE of 12%. … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE.

Simply Wall St -

What Does Funko, Inc.'s (NASDAQ:FNKO) P/E Ratio Tell You?

The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Funko: P/E of 50.68 = $21.83 ÷ $0.43 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good? … The higher the P/E ratio, the higher the price tag of a business, relative to its trailing earnings. … It would probably deserve a higher P/E ratio if it was net cash, since it would have more options for growth.

Simply Wall St -

Funko, Inc. (NASDAQ:FNKO) Delivered A Weaker ROE Than Its Industry

This article is for those who would like to learn about Return On Equity (ROE). … That means that for every $1 worth of shareholders' equity, it generated $0.11 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Are Investors Undervaluing Funko, Inc. (NASDAQ:FNKO) By 43%?

This is done using the Discounted Cash Flow (DCF) model. … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. … We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows

Simply Wall St -

You Might Like Funko, Inc. (NASDAQ:FNKO) But Do You Like Its Debt?

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Evaluating financial health as part of your investment thesis is. … Let's work through some financial health checks you may wish to consider if you're interested in this stock.

Simply Wall St -

If You Had Bought Funko Shares A Year Ago You'd Have Made 164%

(NASDAQ:FNKO) share price had more than doubled in just one year - up 164%. … While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … During the last year, Funko actually saw its earnings per share drop 100%.

Simply Wall St -

Funko, Inc.’s (NASDAQ:FNKO) Investment Returns Are Lagging Its Industry

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … The formula for calculating the return on capital employed is:

Simply Wall St -

Company Info

Description

Funko, Inc., a pop culture consumer products company, designs, sources, and distributes licensed pop culture products in the United States, China, Vietnam, and the United Kingdom. The company offers vinyl, blind-packed miniature, and action figures; and plush products, accessories, apparels, and homewares, as well as bags, purses, and wallets. The company sells its products to specialty retailers, mass-market retailers, and e-commerce sites; distributors for sale to small retailers; and consumers through its e-commerce business, as well as at specialty licensing and comic book shows, conventions, and exhibitions. Funko, Inc. was founded in 2017 and is headquartered in Everett, Washington.

Details
Name: Funko, Inc.
FNKO
Exchange: NasdaqGS
Founded: 2017
$991,808,906
$502,219,993
69,600,625
Website: http://www.funko.com
Address: Funko, Inc.
2802 Wetmore Avenue,
Everett,
Washington, 98201,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS FNKO Class A Common Stock Nasdaq Global Select US USD 02. Nov 2017
DB FU2 Class A Common Stock Deutsche Boerse AG DE EUR 02. Nov 2017
Number of employees
Current staff
Staff numbers
921
Funko employees.
Industry
Distributors
Retail
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/12 00:40
End of day share price update: 2019/11/11 00:00
Last estimates confirmation: 2019/11/04
Last earnings filing: 2019/10/31
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.