Funko (FNKO) Stock Forecast & Price Target

Funko Inc. is expected to benefit from relatively easier growth comparisons in 2026, following the anticipated headwinds in 2025, which could facilitate a return to growth. Additionally, strong attendance and interest at company panels suggest robust brand strength and consumer demand, particularly for exclusive products. Management changes and efforts to reduce outstanding debt are also seen as potential catalysts for near-term financial improvement.

The financial outlook for Funko Inc. appears negative, highlighted by a revised sales estimate of $188 million for 2Q25, marking a 24% decline year-over-year, compounded by a significant drop in point-of-sale data, which fell 33.9% during the same period. Additionally, the company's profitability is projected to worsen, with new EBITDA and EPS estimates indicating losses of $10.5 million and $0.41, respectively, in contrast to previous forecasts showing a profit. Furthermore, a decline in sales from Loungefly, which has diminished to $172 million from its peak of $253 million in 2022, raises concerns about the sustainability of Funko's revenue streams amidst higher product costs and limited growth in merchandise margins.