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Unlocking Jakks (JAKK) International Revenues: Trends, Surprises, and Prospects
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Have you looked into how Jakks Pacific (JAKK - Free Report) performed internationally during the quarter ending June 2024? Considering the widespread global presence of this toymaker, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.
In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.
International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.
While analyzing JAKK's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.
The recent quarter saw the company's total revenue reaching $148.62 million, marking a decline of 11% from the prior-year quarter. Next, we'll examine the breakdown of JAKK's revenue from abroad to comprehend the significance of its international presence.
Decoding JAKK's International Revenue Trends
Latin America accounted for 2.2% of the company's total revenue during the quarter, translating to $3.24 million. Revenues from this region represented a surprise of -57.77%, with Wall Street analysts collectively expecting $7.67 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $8 million (8.9%) and $3.07 million (1.8%) to the total revenue, respectively.
Canada generated $6.29 million in revenues for the company in the last quarter, constituting 4.2% of the total. This represented a surprise of +1.91% compared to the $6.17 million projected by Wall Street analysts. Comparatively, in the previous quarter, Canada accounted for $3.37 million (3.7%), and in the year-ago quarter, it contributed $6.8 million (4.1%) to the total revenue.
Of the total revenue, $1.61 million came from Australia and New Zealand during the last fiscal quarter, accounting for 1.1%. This represented a surprise of -14.52% as analysts had expected the region to contribute $1.88 million to the total revenue. In comparison, the region contributed $1.35 million, or 1.5%, and $1.76 million, or 1.1%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, Middle East and Africa contributed $0.12 million in revenue, making up 0.1% of the total revenue. When compared to the consensus estimate of $0.46 million, this meant a surprise of -74.78%. Looking back, Middle East and Africa contributed $0.23 million, or 0.3%, in the previous quarter, and $0.66 million, or 0.4%, in the same quarter of the previous year.
Of the total revenue, $1.27 million came from Asia during the last fiscal quarter, accounting for 0.9%. This represented a surprise of -35.96% as analysts had expected the region to contribute $1.98 million to the total revenue. In comparison, the region contributed $0.97 million, or 1.1%, and $1.83 million, or 1.1%, to total revenue in the previous and year-ago quarters, respectively.
Europe accounted for 6.9% of the company's total revenue during the quarter, translating to $10.26 million. Revenues from this region represented a surprise of -38.13%, with Wall Street analysts collectively expecting $16.59 million. When compared to the preceding quarter and the same quarter in the previous year, Europe contributed $5.74 million (6.4%) and $16.64 million (10%) to the total revenue, respectively.
Projected Revenues in Foreign Markets
For the current fiscal quarter, it is anticipated by Wall Street analysts that Jakks will report a total revenue of $292.74 million, which reflects a decline of 5.5% from the same quarter in the previous year. The revenue contributions are expected to be 5.6% from Latin America ($16.36 million), 3.7% from Canada ($10.92 million), 1.2% from Australia and New Zealand ($3.44 million), 0.2% from Middle East and Africa ($0.71 million), 1.2% from Asia ($3.63 million) and 10.2% from Europe ($29.74 million).
For the entire year, the company's total revenue is forecasted to be $681.18 million, which is a reduction of 4.3% from the previous year. The revenue contributions from different regions are expected as follows: Latin America will contribute 5.9% ($39.86 million), Canada 3.8% ($25.53 million), Australia and New Zealand 1.2% ($8.36 million), Middle East and Africa 0.3% ($1.77 million), Asia 1.2% ($8.33 million) and Europe 9.7% ($65.82 million) to the total revenue.
Final Thoughts
Jakks' reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.
In an era of growing international ties and escalating geopolitical disputes, financial analysts on Wall Street pay keen attention to these developments to fine-tune their earnings estimations for businesses operating across borders. It's important to note, however, that a range of additional variables, like a company's local market status, also play a crucial role in shaping these forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short -term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
With an impressive externally audited track record, our proprietary stock rating tool - the Zacks Rank - harnesses the power of earnings estimate revisions and serves as an effective indicator of a stock's near-term price performance.
Over the past month, the stock has seen an increase of 25.1% in its value, whereas the Zacks S&P 500 composite has posted a decrease of 2.9%. The Zacks Consumer Discretionary sector, Jakks' industry group, has descended 2.9% over the identical span. In the past three months, there's been an increase of 22.8% in the company's stock price, against a rise of 5.9% in the S&P 500 index. The broader sector has declined by 2.2% during this interval.
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Unlocking Jakks (JAKK) International Revenues: Trends, Surprises, and Prospects
Have you looked into how Jakks Pacific (JAKK - Free Report) performed internationally during the quarter ending June 2024? Considering the widespread global presence of this toymaker, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.
In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.
International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.
While analyzing JAKK's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.
The recent quarter saw the company's total revenue reaching $148.62 million, marking a decline of 11% from the prior-year quarter. Next, we'll examine the breakdown of JAKK's revenue from abroad to comprehend the significance of its international presence.
Decoding JAKK's International Revenue Trends
Latin America accounted for 2.2% of the company's total revenue during the quarter, translating to $3.24 million. Revenues from this region represented a surprise of -57.77%, with Wall Street analysts collectively expecting $7.67 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $8 million (8.9%) and $3.07 million (1.8%) to the total revenue, respectively.
Canada generated $6.29 million in revenues for the company in the last quarter, constituting 4.2% of the total. This represented a surprise of +1.91% compared to the $6.17 million projected by Wall Street analysts. Comparatively, in the previous quarter, Canada accounted for $3.37 million (3.7%), and in the year-ago quarter, it contributed $6.8 million (4.1%) to the total revenue.
Of the total revenue, $1.61 million came from Australia and New Zealand during the last fiscal quarter, accounting for 1.1%. This represented a surprise of -14.52% as analysts had expected the region to contribute $1.88 million to the total revenue. In comparison, the region contributed $1.35 million, or 1.5%, and $1.76 million, or 1.1%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, Middle East and Africa contributed $0.12 million in revenue, making up 0.1% of the total revenue. When compared to the consensus estimate of $0.46 million, this meant a surprise of -74.78%. Looking back, Middle East and Africa contributed $0.23 million, or 0.3%, in the previous quarter, and $0.66 million, or 0.4%, in the same quarter of the previous year.
Of the total revenue, $1.27 million came from Asia during the last fiscal quarter, accounting for 0.9%. This represented a surprise of -35.96% as analysts had expected the region to contribute $1.98 million to the total revenue. In comparison, the region contributed $0.97 million, or 1.1%, and $1.83 million, or 1.1%, to total revenue in the previous and year-ago quarters, respectively.
Europe accounted for 6.9% of the company's total revenue during the quarter, translating to $10.26 million. Revenues from this region represented a surprise of -38.13%, with Wall Street analysts collectively expecting $16.59 million. When compared to the preceding quarter and the same quarter in the previous year, Europe contributed $5.74 million (6.4%) and $16.64 million (10%) to the total revenue, respectively.
Projected Revenues in Foreign Markets
For the current fiscal quarter, it is anticipated by Wall Street analysts that Jakks will report a total revenue of $292.74 million, which reflects a decline of 5.5% from the same quarter in the previous year. The revenue contributions are expected to be 5.6% from Latin America ($16.36 million), 3.7% from Canada ($10.92 million), 1.2% from Australia and New Zealand ($3.44 million), 0.2% from Middle East and Africa ($0.71 million), 1.2% from Asia ($3.63 million) and 10.2% from Europe ($29.74 million).For the entire year, the company's total revenue is forecasted to be $681.18 million, which is a reduction of 4.3% from the previous year. The revenue contributions from different regions are expected as follows: Latin America will contribute 5.9% ($39.86 million), Canada 3.8% ($25.53 million), Australia and New Zealand 1.2% ($8.36 million), Middle East and Africa 0.3% ($1.77 million), Asia 1.2% ($8.33 million) and Europe 9.7% ($65.82 million) to the total revenue.
Final Thoughts
Jakks' reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.In an era of growing international ties and escalating geopolitical disputes, financial analysts on Wall Street pay keen attention to these developments to fine-tune their earnings estimations for businesses operating across borders. It's important to note, however, that a range of additional variables, like a company's local market status, also play a crucial role in shaping these forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short -term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
With an impressive externally audited track record, our proprietary stock rating tool - the Zacks Rank - harnesses the power of earnings estimate revisions and serves as an effective indicator of a stock's near-term price performance.
Jakks currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Exploring Recent Trends in Jakks' Stock Price
Over the past month, the stock has seen an increase of 25.1% in its value, whereas the Zacks S&P 500 composite has posted a decrease of 2.9%. The Zacks Consumer Discretionary sector, Jakks' industry group, has descended 2.9% over the identical span. In the past three months, there's been an increase of 22.8% in the company's stock price, against a rise of 5.9% in the S&P 500 index. The broader sector has declined by 2.2% during this interval.