Core Insights - Funko's shares increased by 9.8% following the release of its third-quarter 2025 financial results, which showed a significant profit beat despite revenue falling short of expectations [1][2] Financial Performance - Net sales for Funko were reported at $250.9 million, a decline of 14.3% year-over-year, which missed analyst forecasts [2] - The company's adjusted earnings per share (EPS) were $0.06, exceeding the consensus estimate of a loss, indicating strong profitability [2] - Adjusted EBITDA reached $24.43 million, outperforming expectations by over 60%, reflecting effective cost management [2] Market Reaction - The stock closed at $3.33, marking a 10.3% increase from the previous close, indicating positive investor sentiment [3] - Funko's shares have shown extreme volatility, with 57 moves greater than 5% in the past year, suggesting that while today's movement is significant, it may not fundamentally alter market perception [4] Broader Market Context - The tech-heavy Nasdaq index fell approximately 1.4%, reflecting a wave of caution in the market, particularly affecting high-growth technology companies [5] - Leadership at Goldman Sachs and Morgan Stanley indicated a potential correction in equity markets over the next couple of years, viewing this cooling-off period as a healthy aspect of a long-term bull market [6]