Working Capital Advisors (UK) Ltd. Increases Stake in Funko Inc.
On October 11, 2023, Working Capital Advisors (UK) Ltd. added 1,509 shares to its holdings in Funko Inc. (NASDAQ:FNKO), a pop culture consumer products company. This transaction, which increased the firm's total shares to 7,094,186, had a 0.01% impact on its portfolio and raised its position in the company to 36.2%. The shares were purchased at a price of $7.25 each.
About Working Capital Advisors (UK) Ltd.
Working Capital Advisors (UK) Ltd. is a London-based investment firm. The firm's top holdings include Funko Inc. (NASDAQ:FNKO), Stitch Fix Inc. (NASDAQ:SFIX), Open Lending Corp. (NASDAQ:LPRO), and Hagerty Inc. (NYSE:HGTY). With an equity of $142 million, the firm primarily invests in the Consumer Cyclical and Financial Services sectors.
Transaction Details
The recent transaction represents a 0.02% change in the firm's holdings in Funko Inc. The firm now holds 13.70% of the company's shares. This acquisition aligns with the firm's investment strategy and strengthens its position in the Consumer Cyclical sector.
Overview of Funko Inc.
Funko Inc., a U.S.-based company, creates unique pop culture consumer products. The company holds licenses for tens of thousands of characters from popular movies, TV shows, video games, musicians, and sports teams. Its products are sold through a diverse network of retail customers across multiple retail channels, including specialty retailers, mass-market retailers, and e-commerce sites. As of October 12, 2023, the company has a market capitalization of $373.746 million.
Despite a PE percentage of 0.00, indicating a loss, the company's GF Score of 67/100 suggests a good future performance potential. However, the company's Financial Strength and Profitability Rank are 4/10 and 6/10, respectively, indicating room for improvement.
Funko Inc.'s Stock Performance
Since its IPO on November 2, 2017, Funko Inc.'s stock has decreased by 9.81%. The stock's year-to-date performance is -33.44%. Despite these declines, the company's Growth Rank is 7/10, suggesting potential for future growth. However, the company's GF Value Rank and Momentum Rank are 4/10 and 1/10, respectively, indicating a possible value trap and low momentum.
Comparison with the Largest Guru
Hotchkis & Wiley Capital Management LLC is the largest guru holding shares in Funko Inc. The recent transaction by Working Capital Advisors (UK) Ltd. has increased its position in the company, but it still holds a smaller percentage of shares compared to Hotchkis & Wiley Capital Management LLC.
Conclusion
In conclusion, Working Capital Advisors (UK) Ltd.'s recent acquisition of shares in Funko Inc. aligns with its investment strategy and strengthens its position in the Consumer Cyclical sector. Despite some financial weaknesses, Funko Inc. has potential for future growth. However, investors should be cautious due to the company's low GF Value Rank and Momentum Rank. This transaction is likely to have a significant impact on the firm's portfolio and Funko Inc.'s stock performance.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
