Jakks Pacific (JAKK) AI Stock Analysis

• Market Cap: $191.17M
• Dividend Yield: 2.92%
• Average Volume (3M): 172.63K
• Price to Earnings (P/E): 5.1
• Beta (1Y): 1.27
• Revenue Growth: 1.31%
• EPS Growth: 23.14%
• Country: US
• Employees: 680
• Sector: Consumer Cyclical
• Sector Strength: 77
• Industry: Leisure
• EPS (TTM): 0.03
• Shares Outstanding: 11,146,831
• 10 Day Avg. Volume: 115,142
• 30 Day Avg. Volume: 172,635
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.28
• Enterprise Value/Revenue: 0.34
• Enterprise Value/Gross Profit: 1.06
• Enterprise Value/Ebitda: 3.60
• 1Y Price Target: $27.00
• Price Target Upside: 54.11% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: $18.50 ▲(5.59% Upside)

Jakks Pacific's overall stock score reflects a solid financial foundation and attractive valuation, countered by technical weakness and challenges in the U.S. market. The company's strategic focus on international growth and cash generation provides a positive outlook, but near-term risks remain.

Positive Factors

International Sales Growth

International, insulated from tariffs, was a bright spot, with net sales up 41% y/y accounting for 27% of total sales vs. 15% in the year-ago period.

Market Positioning

JAKK's deep retail partnerships and tailored, IP-driven offerings give it strong shelf presence and defensible positioning across key global accounts.

Strong Balance Sheet

JAKK exited 2Q25 with $43.1M of cash, down from $59.4M in 1Q25, remained debt-free, and announced a $0.25 quarterly dividend, representing an annualized yield of 5.3%.

Negative Factors

Financial Performance

Tariffs and elevated direct selling expenses impacted financial performance and visibility for future earnings.

Sales Decline

Revenue of $119.1M, down 19.9%, came in short of projections due to a 31% decline in U.S sales.

Tariff Impact

Uncertainty from tariffs negatively impacted U.S. sales and pose challenges for, at least, the remainder of 2025.

Jakks Pacific Business Overview & Revenue Model

Company Description

Jakks Pacific, Inc. (JAKK) is a leading toy and consumer products company based in the United States, primarily engaged in the design, development, and marketing of a wide array of toys, games, and entertainment products. The company operates in various sectors, including action figures, dolls, and outdoor toys, and is well-known for its licensed merchandise associated with popular franchises such as Disney, Nintendo, and other major entertainment properties. Jakks Pacific also focuses on innovative play experiences, aiming to create engaging products that resonate with children and families alike.

How the Company Makes Money

Jakks Pacific generates revenue through multiple key streams, primarily from the sale of toys and related products to retailers and distributors around the world. The company's revenue model involves licensing agreements with major entertainment franchises, allowing it to produce and sell toys based on popular characters and brands, which can significantly enhance sales potential. Additionally, Jakks Pacific benefits from direct-to-consumer sales through e-commerce channels. Their strategic partnerships with well-known brands and entertainment companies help increase market visibility and drive sales, while seasonal product launches and targeted marketing campaigns further contribute to their earnings.

Jakks Pacific Financial Statement Overview

Summary

Jakks Pacific shows solid financial performance with improved profitability and cash generation. The company has managed to enhance its margins and maintain manageable debt levels. However, there are mild challenges in revenue growth and asset expansion.

Income Statement

Jakks Pacific demonstrates a strong financial performance with a consistent revenue increase from the previous fiscal year to the TTM period. The gross profit margin has improved to 32.32% in the TTM compared to the previous annual figure, indicating enhanced cost efficiency. The net profit margin has also shown improvement, reaching 6.45% from 4.91% in the prior year, showcasing better profitability. The EBIT and EBITDA margins are stable, reflecting efficient operational management. However, the revenue growth rate from the previous year is slightly modest at 3.35%, suggesting room for improvement in top-line growth.

Balance Sheet

The balance sheet reflects a stable financial position with a healthy debt-to-equity ratio of 0.24 in the TTM period, indicating manageable leverage. The return on equity has improved to 19.63%, highlighting increased profitability for shareholders. The equity ratio stands at 57.77%, showing a strong equity base. However, the total assets have decreased slightly compared to the previous year, which could impact future growth potential.

Cash Flow

Cash flow analysis indicates a positive trend with an increase in free cash flow to $39.02 million in the TTM period. The free cash flow growth rate is 40.85%, reflecting improved cash generation capabilities. The operating cash flow to net income ratio is 1.09, demonstrating efficient cash conversion from earnings. However, the free cash flow to net income ratio is lower at 0.85, suggesting some constraints in translating profits into free cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	691.04M	711.56M	796.19M	621.12M	515.87M
Gross Profit	213.02M	223.35M	211.29M	182.96M	149.76M
EBITDA	50.87M	59.98M	71.85M	49.02M	25.84M
Net Income	33.92M	38.41M	91.41M	-5.89M	-14.14M
Balance Sheet
Total Assets	444.87M	398.95M	399.30M	357.05M	329.37M
Cash, Cash Equivalents and Short-Term Investments	69.94M	72.35M	85.30M	44.52M	87.95M
Total Debt	56.52M	24.05M	87.76M	114.03M	183.17M
Total Liabilities	204.04M	202.84M	246.82M	299.15M	316.43M
Stockholders Equity	240.33M	195.41M	151.48M	56.57M	11.73M
Cash Flow
Free Cash Flow	27.70M	57.50M	75.71M	-14.10M	35.30M
Operating Cash Flow	38.95M	66.40M	86.10M	-5.88M	43.57M
Investing Cash Flow	-12.89M	-8.91M	-10.39M	-8.19M	-8.19M
Financing Cash Flow	-26.92M	-72.29M	-31.02M	-32.79M	-10.95M

Jakks Pacific Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.52
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JAKK, the sentiment is Negative. The current price of 17.52 is below the 20-day moving average (MA) of 17.60, below the 50-day MA of 19.41, and below the 200-day MA of 23.80, indicating a bearish trend. The MACD of -0.64 indicates Negative momentum. The RSI at 44.34 is Neutral, neither overbought nor oversold. The STOCH value of 61.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JAKK.

Jakks Pacific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAT	68 Neutral	$5.86B	11.57	25.39%	―	-1.72%	70.21%
JAKK	67 Neutral	$191.17M	5.06	17.82%	2.92%	1.31%	23.14%
JOUT	67 Neutral	$402.70M	―	-8.33%	3.31%	-3.56%	-407.47%
ESCA	65 Neutral	$175.45M	13.91	7.66%	4.77%	-6.65%	8.79%
Sector *	61 Neutral	$17.51B	12.51	-5.96%	3.09%	1.71%	-15.50%
HAS	61 Neutral	$11.38B	25.59	-81.67%	3.50%	-6.42%	45.85%
FNKO	40 Neutral	$159.45M	―	-32.24%	―	-9.07%	-38.09%

Jakks Pacific Corporate Events

Jakks Pacific Declares Quarterly Cash Dividend

On July 24, 2025, Jakks Pacific announced that its Board of Directors declared a quarterly cash dividend of $0.25 per common share. This dividend will be payable on September 30, 2025, to shareholders recorded by August 29, 2025.

Jakks Pacific Secures New $70 Million Credit Facility

On June 24, 2025, JAKKS Pacific, Inc. refinanced its existing $67.5 million asset-based revolving credit facility with a new $70 million cash flow-based first lien secured revolving credit facility from BMO Bank N.A., maturing in 2030. This refinancing provides JAKKS with improved covenants and increased liquidity, allowing the company to capitalize on growth opportunities and enhance shareholder value in a challenging global economic environment.

Jakks Pacific Holds Virtual Annual Stockholders Meeting

Jakks Pacific held its Annual Meeting of Stockholders virtually on June 20, 2025, where stockholders voted on three key matters. The election of three Class II Directors, the ratification of BDO USA as auditors, and an advisory vote on executive compensation were all approved, reflecting continued support for the company’s leadership and financial oversight.