Funko Stock Bounces Back After Selloff.

Funko Stock Bounces Back After Selloff. The toy collectibles company faced a sharp 21.6% post-earnings decline, but analysts argue the worst has passed. Management projects flat to 3% revenue growth in 2026 with core collectibles expanding in the high single digits. Net debt dropped to $183.2 million and inventory levels improved significantly. The company extended its credit agreement, eliminating near-term going concern risks. With tariff mitigation strategies, cost reduction initiatives, and upcoming entertainment releases on the horizon, Funko is positioned for meaningful profitability gains and positive cash flow generation in 2026. Despite recent underperformance against the S&P 500, the fundamentals suggest recovery potential for patient investors.