Equity Research Focusing on the Consumer Sector, Small Cap Consumer Research

Small Cap Consumer Research

Equity research on small cap consumer names.

Equity Research Focusing on the Consumer Sector

Small Cap Consumer Research, LLC is a leading company-sponsored equity research provider focusing on the consumer sector (apparel, brand licensing and specialty retailing segments).

Equity Bottom-Up

<ul><li>We are reiterating our Buy rating and $30 price target for JAKKS Pacific after the company reported 3Q25 (September) results even worse than our "doomsday" scenario, as domestic revenue fell 40%, driven by uncertainty over tariffs and push back and cancelation of Freight on Board ("FOB") orders for the start of the Holiday season.</li><li>While JAKKS management once again did a strong job of controlling expenses, it was not enough against a 34% YoY revenue decline.</li><li>Further, management reiterated their decision to remain focused on the FOB model and to not take material inventory risks in 4Q.</li></ul>

We are reiterating our Buy rating and $30 price target for JAKKS Pacific after the company reported 3Q25 (September) results even worse than our "doomsday" scenario, as domestic revenue fell 40%, driven by uncertainty over tariffs and push back and cancelation of Freight on Board ("FOB") orders for the start of the Holiday season.While JAKKS management once again did a strong job of controlling expenses, it was not enough against a 34% YoY revenue decline.Further, management reiterated their decision to remain focused on the FOB model and to not take material inventory risks in 4Q.

JAKK: 3Q Review: Taking Safer Route in an Unsure World; Reiterate Buy, $30 PT