POWAY, Calif., July 22, 2025 (GLOBE NEWSWIRE) -- Disguise, Inc., the leader in the global costume industry and a subsidiary of JAKKS Pacific, Inc. (NASDAQ: JAKK), is thrilled to unveil a new lineup of costumes inspired by NBCUniversal's highly anticipated 2025 film releases. The collection will feature characters from Wicked: For Good, the live-action retelling of How to Train Your Dragon, Gabby's Dollhouse: The Movie, and Jurassic World Rebirth. This new range expands Disguise's already extensive portfolio ...

Core Viewpoint - The consumer sector presents attractive growth stock opportunities, particularly as many stocks remain undervalued due to ongoing tariff concerns. Initial investments in these stocks can be beneficial for investors. Group 1: Amazon - Amazon's stock is currently attractively valued despite a rally from its lows, with a record Prime Day generating $24.1 billion in sales, more than double last year's Black Friday sales [3][4] - The company has made significant investments in logistics, automation, and AI, leading to improved operational efficiency and cost savings [4][5] - Amazon Web Services (AWS) continues to lead in cloud computing, with customers utilizing its services for AI model development, supported by custom chips for enhanced performance [5] Group 2: Alibaba - Alibaba's stock trades at a forward P/E of 11, with over 30% of its market cap in cash and investments, indicating it is undervalued [6][8] - The company's cloud business has seen AI-related revenue double for seven consecutive quarters, and partnerships with major companies like Apple could drive growth [6][7] - Alibaba is enhancing its e-commerce platforms and expanding international operations, with expectations of profitability in its international segment soon [7][8] Group 3: E.l.f. Beauty - E.l.f. Beauty's stock has faced a slowdown but is poised for transformation through its acquisition of Rhode, a fast-growing premium brand [9][10] - Rhode generated $212 million in sales with minimal marketing, indicating strong potential for growth as it enters retail partnerships [10][11] - The strategy to integrate premium brands is expected to yield better margins compared to mass-market products, presenting a long-term opportunity [12] Group 4: JAKKS Pacific - JAKKS Pacific has improved operations and profitability under new leadership, with shares up over 200% in five years despite a recent 30% decline due to tariff concerns [13][15] - The company reported a 26% sales increase in Q1, driven by popular licensed products, and is expected to maintain momentum with upcoming launches [14][15] - JAKKS is diversifying revenue through partnerships to create seasonal products, enhancing its market position [15] Group 5: Cava Group - Cava Group's stock is down nearly 50% from its highs, providing a favorable entry point for investors [16][18] - The company has achieved double-digit same-store sales growth for four consecutive quarters, driven by increased customer traffic [16][17] - Cava aims to expand its locations from under 400 to 1,000 by 2032, indicating significant growth potential in the fast-casual dining sector [18]

Company Overview - Jakks Pacific (JAKK) is anticipated to report a year-over-year decline in earnings, with a projected loss of $0.38 per share, reflecting a significant decrease of -158.5% compared to the previous year [3][12] - Revenue expectations for the quarter are set at $129.17 million, which indicates a decline of 13.1% from the same quarter last year [3] Earnings Estimates and Revisions - The consensus EPS estimate has been revised down by 13.35% over the last 30 days, indicating a reassessment by analysts regarding the company's earnings outlook [4] - The Most Accurate Estimate for Jakks is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +84.21%, suggesting a recent bullish sentiment among analysts [12] Earnings Surprise Potential - Historically, Jakks has beaten consensus EPS estimates in two out of the last four quarters, with a notable surprise of +95.83% in the last reported quarter [13][14] - Despite the positive Earnings ESP, the company currently holds a Zacks Rank of 5, which complicates the prediction of an earnings beat [12] Industry Context - Hasbro (HAS), a competitor in the same industry, is expected to report earnings of $0.76 per share, reflecting a year-over-year decline of -37.7%, with revenues projected at $872.98 million, down 12.3% from the previous year [18] - Hasbro's consensus EPS estimate has remained unchanged, but a lower Most Accurate Estimate has resulted in an Earnings ESP of -6.27%, indicating challenges in predicting an earnings beat [19]

Core Insights - JAKKS Pacific, Inc. will announce its second quarter and first half 2025 financial results on July 24, 2025, after the market closes [1] - A teleconference and webcast will be held to discuss the results, along with potential future plans and prospects [1] Financial Announcement Details - The teleconference is scheduled for 5:00 p.m. ET / 2:00 p.m. PT on July 24, 2025 [2] - A live webcast will be available on the company's "Investor Relations" page [2] - Participants are encouraged to join the call ten minutes early to avoid delays [2] Company Overview - JAKKS Pacific, Inc. is a leading designer, manufacturer, and marketer of toys and consumer products, headquartered in Santa Monica, California [3] - The company offers popular proprietary brands and a range of entertainment-inspired products featuring licensed properties [3] - JAKKS aims to positively impact children's lives through its products and charitable donations [3]

Core Viewpoint - JAKKS Pacific, Inc. has successfully refinanced its existing credit facility, securing a new $70 million cash flow-based revolving credit facility with BMO Bank NA, which will enhance liquidity and support the company's growth strategy [1][2][3]. Group 1: Credit Facility Details - The new credit facility replaces the previous $67.5 million revolving credit facility that was set to mature in June 2026 [2]. - The interest rate for the new facility is set at the Secured Overnight Financing Rate (SOFR) plus 150 basis points, with potential adjustments based on the company's net leverage ratio [2]. - This facility is secured by substantially all of the company's assets and can be utilized for working capital, capital expenditures, and other general corporate purposes [2]. Group 2: Management Commentary - The Chief Financial Officer of JAKKS Pacific highlighted that the new credit agreement offers improved covenants and increased liquidity, which is crucial given the seasonality of the business [3]. - The refinancing is expected to bolster the company's momentum in enhancing margins, cash flow, and EBITDA, ultimately driving shareholder value [3]. - The CFO expressed appreciation for the bank's support and confidence in the company's performance, emphasizing the flexibility the new facility provides to seize growth opportunities in a challenging economic environment [3]. Group 3: Company Overview - JAKKS Pacific, Inc. is a prominent designer, manufacturer, and marketer of toys and consumer products, headquartered in Santa Monica, California [4]. - The company offers a variety of proprietary brands and entertainment-inspired products, contributing positively to children's lives through its products and charitable efforts [4].

Core Insights - Investing in stocks based on valuation metrics, particularly the price-to-earnings (P/E) and price-to-sales (P/S) ratios, is a strategic approach to identify potential investment opportunities [1][3] - The P/S ratio is especially useful for evaluating unprofitable companies or those in early growth stages, as it reflects the value of revenue generated [3][4] Group 1: Price-to-Sales Ratio - A P/S ratio below 1 indicates that investors are paying less than a dollar for each dollar of revenue, making it a favorable investment [4] - The P/S ratio is preferred over the P/E ratio because sales figures are less susceptible to manipulation compared to earnings [5] - A company with high debt and a low P/S ratio may not be an ideal investment due to potential future financial obligations [5][6] Group 2: Screening Parameters - Companies should have a P/S ratio less than the median for their industry, a low P/E ratio, and a price above $5 to qualify as attractive investments [7][8] - Additional metrics such as Price/Book and Debt/Equity ratios should also be analyzed to ensure a comprehensive evaluation [6] Group 3: Company Highlights - JAKKS Pacific (JAKK) has a strong focus on innovation and partnerships, benefiting from acquisitions and a solid international presence, currently holding a Zacks Rank 2 and a Value Score of A [10][11] - Green Dot (GDOT) is positioned for growth with a strong balance sheet and partnerships with major companies like Walmart, also holding a Zacks Rank 2 and a Value Score of B [12][13] - Signet Jewelers (SIG) demonstrates strength in inventory management and strategic restructuring, leading to improved financial performance, currently holding a Value Score of A and a Zacks Rank 2 [14][15] - Gibraltar Industries (ROCK) focuses on operational improvements and has a solid growth outlook due to high demand in its Residential segment, currently holding a Value Score of B and a Zacks Rank 2 [16][17] - PCB Bancorp (PCB) is strategically expanding its services and optimizing its branch network, positioning itself for sustained growth, currently holding a Value Score of B and a Zacks Rank 2 [18][19]

Core Viewpoint - The article emphasizes the importance of value investing and highlights JAKKS Pacific (JAKK) as a strong value stock based on its financial metrics and Zacks Rank [2][4][6]. Company Summary - JAKKS Pacific (JAKK) currently holds a Zacks Rank of 2 (Buy) and has a Value grade of A, indicating strong potential for value investors [4]. - The stock is trading at a P/E ratio of 4.73, significantly lower than the industry average of 13.18, suggesting it may be undervalued [4]. - Over the past year, JAKK's Forward P/E has fluctuated between a high of 8.33 and a low of 4.12, with a median of 6.35 [4]. - JAKK has a P/CF ratio of 4.09, which is attractive compared to the industry's average P/CF of 12.22, further indicating potential undervaluation [5]. - The P/CF ratio for JAKK has ranged from a high of 8.68 to a low of 3.53 over the past year, with a median of 6.76 [5]. - Overall, JAKK is positioned as one of the market's strongest value stocks, supported by its earnings outlook and financial metrics [6].

Industry Overview - The Zacks Toys - Games – Hobbies industry is experiencing robust demand for smart toys, STEM toys, sports toys, and fashion dolls and accessories, with companies focusing on digital initiatives and marketing strategies to drive growth [1][3] - The industry includes companies that design, manufacture, and sell various games and toys, ranging from traditional action figures to video game platforms and military simulation games [2] Trends Impacting the Industry - STEM toys are gaining popularity as parents seek educational experiences that promote problem-solving and creativity, with significant growth potential in markets like China and Brazil [3] - Industry participants are expanding their presence in emerging markets in Eastern Europe, Asia, and Latin and South America, which offer greater revenue growth opportunities compared to developed markets [4] Sales and Market Performance - U.S. toy industry sales increased by 6% with a 3% rise in units sold through April 2025, driven by strong adult demand for trading cards and building sets, with adult buyers spending $1.8 billion in Q1 2025 [5] - The Zacks Toys – Games – Hobbies industry has outperformed the S&P 500 Index, rallying 13.4% compared to the S&P 500's 11.9% increase [9] Cost and Valuation Concerns - The industry faces cost inflation due to rising raw material prices and higher employee-related expenses, prompting firms to launch new products and shift towards technology-driven toys [6] - The industry is currently trading at a forward P/E of 13.05X, lower than the S&P 500's 21.94X and the sector's 19.89X, indicating potential undervaluation [12] Company Performance - JAKKS Pacific is benefiting from its Freight on Board business model and licensing initiatives, with shares gaining 18.9% in the past year and projected earnings growth of 9.5% for 2025 [15][22] - Mattel has seen strong performance from brands like Disney Princess and Barbie, with shares up 8% in the past year and 2025 earnings expected to remain stable at $1.62 [18][19] - Hasbro is experiencing growth from its MAGIC ecosystem and licensing operations, with shares increasing by 13.4% in the past year and a projected earnings increase of 5.2% for 2025 [21][22]

Those who know me best know that I have a few obsessions. I like playing Dungeons & Dragons. I like painting. I like writing. I like the soap opera “The Young & The Restless.” All of these obsessions pale in comparison to my strong desire to makeI'm a quant investment newsletter writer who marries fundamental analysis with the latest research in momentum. Over the past few years, I’ve developed a piece of software that helps me track the level of optimism and pessimism embedded in stock price. I seek to cha ...

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates can be challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Jakks Pacific (JAKK) is highlighted as a recommended stock with a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for growth investors, with double-digit growth being particularly attractive [4] - Jakks has a historical EPS growth rate of 18.5%, with projected EPS growth of 9.5% this year, significantly outperforming the industry average of 5.3% [5] Group 3: Asset Utilization - The asset utilization ratio, or sales-to-total-assets (S/TA) ratio, is an important indicator of efficiency in growth investing [6] - Jakks has an S/TA ratio of 1.63, indicating it generates $1.63 in sales for every dollar in assets, compared to the industry average of 0.86 [6] Group 4: Sales Growth - Sales growth is another key metric, with Jakks expected to achieve a sales growth of 2.1% this year, surpassing the industry average of 1.4% [7] Group 5: Earnings Estimate Revisions - Trends in earnings estimate revisions are correlated with stock price movements, with positive revisions being favorable [8] - Jakks has seen its current-year earnings estimates revised upward, with the Zacks Consensus Estimate increasing by 11.5% over the past month [9] Group 6: Overall Assessment - Jakks has achieved a Zacks Rank 1 due to favorable earnings estimate revisions and has earned a Growth Score of A based on multiple positive factors [10]