Funko, Inc.'s (NASDAQ:FNKO) Acting Chief Financial Officer, Yves Le Pendeven, has sold a portion of his company stock, according to a recent filing with the Securities and Exchange Commission. On April 2, 2024, Le Pendeven sold 4,134 shares of Funko's Class A common stock at a weighted average price of $6.1028 per share, totaling over $25,228.
The shares were sold in multiple transactions with prices ranging from $6.09 to $6.135. The sale was executed to cover taxes related to the vesting of Restricted Stock Units (RSUs) on March 29, 2024, as part of a pre-arranged Rule 10b5-1 trading plan established in June 2023.
Following the transaction, Le Pendeven still owns 27,983 shares of Funko's stock, indicating a continued investment in the company's future. The trading plan under which this sale was conducted allows executives to sell shares over a predetermined period of time, to manage stock sales as part of their personal financial planning strategies in an orderly and scheduled manner.
Investors often monitor insider sales as they may provide insights into an executive's view of the company's current valuation or future prospects. However, sales made under a 10b5-1 plan are preplanned trades that allow insiders to sell shares without the transactions being tied directly to any material non-public information they might possess.
Funko, Inc., headquartered in Everett, Washington, is known for its diverse range of pop culture consumer products, including the widely recognized Funko Pop! vinyl figures. The company's stock is traded under the ticker symbol FNKO on the NASDAQ exchange.
InvestingPro Insights
Recent market data from InvestingPro paints a challenging financial picture for Funko, Inc. (NASDAQ:FNKO). The company's adjusted market capitalization stands at $308.33 million, reflecting the impact of recent stock price movements. Notably, Funko's price-to-earnings (P/E) ratio is currently negative, at -1.82, with an adjusted P/E for the last twelve months as of Q4 2023 standing even lower at -2.18. This indicates that the company has been operating at a loss. Moreover, the company's revenue has seen a decline of 17.13% over the last twelve months, which may concern investors looking for growth prospects.
On the operational front, the company's gross profit margin remains at 31.17%, a silver lining in the context of its financial challenges. However, an InvestingPro Tip highlights that Funko operates with a significant debt burden and may face difficulties in making interest payments on its debt. This is a critical consideration for investors as it could impact the company's financial stability and future performance.
Another crucial InvestingPro Tip suggests that the stock is currently in oversold territory according to the Relative Strength Index (RSI), which could be of interest to potential investors seeking entry points. It is worth noting that Funko does not pay dividends, which may influence the investment decisions of income-focused shareholders.
For those looking for more detailed analysis and additional InvestingPro Tips, including insights into Funko's profitability and stock price trends, visit the dedicated page at Investing.com/pro/FNKO. There are 6 more tips available on InvestingPro, offering a deeper dive into the company's financial health and stock performance. To access these insights and more, consider using the coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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