- JAKKS Pacific, Inc. executed a 2Q21 debt refinancing that is triggering the conversion of its convertible notes in early September and saving the company ~$5 million in interest.
- Operationally, it should be the beneficiary of a much stronger Halloween season and the releases of Raya and the Last Dragon and Encanto in 2021.
- With no debt due for 5 years, leverage at 1.4xs, significant beneficial owner buying through an arbitrage unwind, and an EV/TTM Adj. EBITDA of 3.7, JAKKS merited investigation.
- A full investment analysis follows in the paragraphs below.
For further details see:
Digging Into JAKKS Pacific After Its Huge Recent Rally