JAKKS PACIFIC INC (JAKK) Stock Fundamental Analysis
NASDAQ:JAKK - Nasdaq - US47012E4035 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to JAKK. JAKK was compared to 31 industry peers in the Leisure Products industry. JAKK scores excellent on profitability, but there are some minor concerns on its financial health. JAKK is cheap, but on the other hand it scores bad on growth. These ratings would make JAKK suitable for value investing!
1. Profitability
1.1 Basic Checks
JAKK had positive earnings in the past year.
JAKK had a positive operating cash flow in the past year.
In multiple years JAKK reported negative net income over the last 5 years.
JAKK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
JAKK's Return On Assets of 7.92% is amongst the best of the industry. JAKK outperforms 83.87% of its industry peers.
JAKK has a Return On Equity of 14.67%. This is amongst the best in the industry. JAKK outperforms 87.10% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.48%, JAKK belongs to the top of the industry, outperforming 87.10% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for JAKK is above the industry average of 8.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.92% | ||
| ROE | 14.67% | ||
| ROIC | 11.48% |
ROA(3y)13.13%
ROA(5y)6.53%
ROE(3y)31.16%
ROE(5y)-6.72%
ROIC(3y)12.52%
ROIC(5y)9.42%
1.3 Margins
With a decent Profit Margin value of 5.10%, JAKK is doing good in the industry, outperforming 74.19% of the companies in the same industry.
JAKK's Operating Margin of 5.74% is fine compared to the rest of the industry. JAKK outperforms 67.74% of its industry peers.
JAKK's Operating Margin has improved in the last couple of years.
JAKK has a Gross Margin (30.83%) which is comparable to the rest of the industry.
JAKK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.74% | ||
| PM (TTM) | 5.1% | ||
| GM | 30.83% |
OM growth 3Y74.61%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.74%
GM growth 5Y2.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so JAKK is still creating some value.
JAKK has more shares outstanding than it did 1 year ago.
JAKK has more shares outstanding than it did 5 years ago.
There is no outstanding debt for JAKK. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
JAKK has an Altman-Z score of 2.70. This is not the best score and indicates that JAKK is in the grey zone with still only limited risk for bankruptcy at the moment.
JAKK has a Altman-Z score (2.70) which is in line with its industry peers.
JAKK has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.7 |
ROIC/WACC1.29
WACC8.93%
2.3 Liquidity
JAKK has a Current Ratio of 1.80. This is a normal value and indicates that JAKK is financially healthy and should not expect problems in meeting its short term obligations.
JAKK has a Current ratio of 1.80. This is in the lower half of the industry: JAKK underperforms 64.52% of its industry peers.
A Quick Ratio of 1.44 indicates that JAKK should not have too much problems paying its short term obligations.
JAKK has a Quick ratio (1.44) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
JAKK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.47%.
Measured over the past years, JAKK shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.12% on average per year.
JAKK shows a decrease in Revenue. In the last year, the revenue decreased by -2.87%.
JAKK shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.91% yearly.
EPS 1Y (TTM)-19.47%
EPS 3Y28.12%
EPS 5YN/A
EPS Q2Q%35.58%
Revenue 1Y (TTM)-2.87%
Revenue growth 3Y3.62%
Revenue growth 5Y2.91%
Sales Q2Q%2.63%
3.2 Future
The Earnings Per Share is expected to grow by 1.61% on average over the next years.
JAKK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.19% yearly.
EPS Next Y-2.3%
EPS Next 2Y1.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.28%
Revenue Next 2Y2.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 5.42 indicates a rather cheap valuation of JAKK.
Based on the Price/Earnings ratio, JAKK is valued cheaper than 96.77% of the companies in the same industry.
When comparing the Price/Earnings ratio of JAKK to the average of the S&P500 Index (28.79), we can say JAKK is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 5.55, the valuation of JAKK can be described as very cheap.
100.00% of the companies in the same industry are more expensive than JAKK, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of JAKK to the average of the S&P500 Index (21.38), we can say JAKK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.42 | ||
| Fwd PE | 5.55 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than JAKK, based on the Enterprise Value to EBITDA ratio.
JAKK's Price/Free Cash Flow ratio is rather cheap when compared to the industry. JAKK is cheaper than 90.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.03 | ||
| EV/EBITDA | 3.07 |
4.3 Compensation for Growth
JAKK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.61%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.98%, JAKK is a good candidate for dividend investing.
The stock price of JAKK dropped by -29.84% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
JAKK's Dividend Yield is rather good when compared to the industry average which is at 4.75. JAKK pays more dividend than 83.87% of the companies in the same industry.
JAKK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.47.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.98% |
5.2 History
JAKK has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y1.61%
EPS Next 3YN/A
19.96
-0.13 (-0.65%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners55.62%
Inst Owner Change0.15%
Ins Owners21.11%
Ins Owner Change1.93%
Market Cap222.55M
Analysts82.5
Price Target43.86 (119.74%)
Short Float %3.57%
Short Ratio1.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.98% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.27%
Min EPS beat(2)10.02%
Max EPS beat(2)16.53%
EPS beat(4)3
Avg EPS beat(4)107.97%
Min EPS beat(4)-25.72%
Max EPS beat(4)431.05%
EPS beat(8)7
Avg EPS beat(8)85.2%
EPS beat(12)10
Avg EPS beat(12)105.81%
EPS beat(16)14
Avg EPS beat(16)96.81%
Revenue beat(2)1
Avg Revenue beat(2)-0.85%
Min Revenue beat(2)-2.21%
Max Revenue beat(2)0.5%
Revenue beat(4)3
Avg Revenue beat(4)3.59%
Min Revenue beat(4)-2.21%
Max Revenue beat(4)8.09%
Revenue beat(8)5
Avg Revenue beat(8)4.17%
Revenue beat(12)9
Avg Revenue beat(12)17.72%
Revenue beat(16)12
Avg Revenue beat(16)18.26%
PT rev (1m)4.03%
PT rev (3m)4.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-15.62%
EPS NY rev (1m)0%
EPS NY rev (3m)-14.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.46%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.42 | ||
| Fwd PE | 5.55 | ||
| P/S | 0.32 | ||
| P/FCF | 8.03 | ||
| P/OCF | 5.71 | ||
| P/B | 0.93 | ||
| P/tB | 1.09 | ||
| EV/EBITDA | 3.07 |
EPS(TTM)3.68
EY18.44%
EPS(NY)3.6
Fwd EY18.01%
FCF(TTM)2.48
FCFY12.45%
OCF(TTM)3.49
OCFY17.5%
SpS61.98
BVpS21.55
TBVpS18.25
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.92% | ||
| ROE | 14.67% | ||
| ROCE | 13.43% | ||
| ROIC | 11.48% | ||
| ROICexc | 15.03% | ||
| ROICexgc | 17.98% | ||
| OM | 5.74% | ||
| PM (TTM) | 5.1% | ||
| GM | 30.83% | ||
| FCFM | 4.01% |
ROA(3y)13.13%
ROA(5y)6.53%
ROE(3y)31.16%
ROE(5y)-6.72%
ROIC(3y)12.52%
ROIC(5y)9.42%
ROICexc(3y)17.46%
ROICexc(5y)13.62%
ROICexgc(3y)21.56%
ROICexgc(5y)17.58%
ROCE(3y)14.92%
ROCE(5y)11.24%
ROICexcg growth 3Y48.89%
ROICexcg growth 5YN/A
ROICexc growth 3Y54.9%
ROICexc growth 5YN/A
OM growth 3Y74.61%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.74%
GM growth 5Y2.98%
F-Score6
Asset Turnover1.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 111.95% | ||
| Cap/Sales | 1.63% | ||
| Interest Coverage | 83.9 | ||
| Cash Conversion | 78.32% | ||
| Profit Quality | 78.58% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 2.7 |
F-Score6
WACC8.93%
ROIC/WACC1.29
Cap/Depr(3y)104.6%
Cap/Depr(5y)93.91%
Cap/Sales(3y)1.4%
Cap/Sales(5y)1.42%
Profit Quality(3y)106.17%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.47%
EPS 3Y28.12%
EPS 5YN/A
EPS Q2Q%35.58%
EPS Next Y-2.3%
EPS Next 2Y1.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.87%
Revenue growth 3Y3.62%
Revenue growth 5Y2.91%
Sales Q2Q%2.63%
Revenue Next Year0.28%
Revenue Next 2Y2.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-32.81%
EBIT growth 3Y80.93%
EBIT growth 5YN/A
EBIT Next Year30.69%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-51.82%
FCF growth 3YN/A
FCF growth 5Y17.44%
OCF growth 1Y-41.35%
OCF growth 3YN/A
OCF growth 5Y12.31%