Funko: Risks Are Real, But So Is The Upside

  • Funko shares have plunged, but I see this as a buying opportunity for risk-tolerant investors due to deep undervaluation and potential recovery. Fundamentals are currently weak, with falling revenue, rising losses, and increased net debt, but management is aggressively mitigating tariff impacts and cutting costs. Funko's exposure to large, growing markets and its shift away from China, position it well for long-term upside if macro and trade headwinds subside.