2/9/21 Update: Additional info posted here

Funko is a good company with solid performance that is still trading at a reasonable price. Check out my DD below:
​
Funko (FNKO)
Share Price (1/28/21) : $11.97
Share Price (09/16/19) : $27.86
Short Interest (1/26/21) : 14%
Next Earnings Release: March 2021
Funko Inc. is an American company that manufactures licensed pop culture collectibles, best known for its licensed vinyl figurines and bobbleheads. They have over 1,000 licenses across music, video games, film, TV, sports and many other pop culture properties. Some of their most popular licensed brands include Marvel, Disney, Star Wars, Pokemon, Fortnite, NBA, NFL, MLB, DC Comics, and a variety of anime properties.
Several points below support the belief that Funko’s revenue grew during the 2020 holiday season and could continue well into 2021:
· Increasing search traffic for Funko products
· Direct sales growth is driving increased revenue and profitability
· Parents are buying more gifts for their kids due to COVID
· People have more disposable income from staying at home and not going out
· Expansion of new products and licensees continuing through 2021
· Collectible investments like Funko POP! figures are exploding in value and popularity
· Recent analyst commentary, valuation, and financials are positive
FUNKO’S SEARCH TRAFFIC REACHES AN ALL-TIME HIGH IN Q4 2020
“Funko” google trends search traffic was up 20-30% in Q4 2020 (vs. Q4 2019)
Searches for “Funko” were up 2x in December vs the beginning of November 2020
After falling in December, “Funko” searches are trending back up to all-time-high levels
FUNKO’S DIRECT SALES INITIATIVES DRIVING HIGHER REVENUE & MARGIN
Funko Direct Sales (B2C) grew significantly in Q3 and likely to continue into Q4
· B2C business as a percentage of sales increased to 8% in Q3 2020 from 4% during the prior year.
· Funko’s e-commerce site grew over 150% vs. the prior year in Q3 2020
· The number of SKU’s on Funko’s e-commerce site rose tenfold since June 2020
“We went from only 200 of our own products [on our website] as late as June this year, to now well over 2,000 products available on our website.” – Funko CEO, Brian Mariotti
Funko’s first ever Selena Pop! sold out online in just 40 minutes.
Funko’s Q3 2020 Gross Profit % and Operating Margin % were near all-time-highs for the company
· Funko’s Q3 Gross Profit Percentage of 38.6% was its second highest ever (behind only Q1 2020)
· Funko’s Q3 Operating Profit Percentage of 10.8% was its second highest ever (behind only Q4 2018)
· As Funko continues to grow it’s B2C e-commerce sales in Q4 and beyond, it is possible that gross profit and operating profit percentages could rise as well
Retail customers were able to shift their Brick & Mortar inventory to their e-commerce channels to Funko unit sales
· Funko resellers who didn’t sell online were severely impacted by Brick & Mortar closures during COVID stay-at-home orders. As 2020 progressed, some of these retailers were able to create online stores (e.g.- Shopify, Amazon, eBay, etc.) through which they could sell their Funko inventory.
· Larger retailers that already had an omni-channel presence were able to shift their sales inventory from their Brick & Mortar stores to online fulfilment.
Funko has also created a mini-Pop! factory at its headquarters where customers can make their own custom Funko at a price of $25 each
· According to Funko, you can customize your Pop! using thousands of combinations. It’s “Think Build-A-Bear meets Funko Pop!” according to CEO Brian Mariotti.
· With a $25 price point, the margins are likely higher than the average Pop! figure that retails for between $10 to $15
PARENTS BUYING MORE GIFTS FOR THEIR KIDS DUE TO COVID
Parents likely splurged on their kids out of guilt of having shelter at home because of restrictions and to keep them occupied while they had to work at home.
· “Faced with rising transmission of the virus, state restrictions on retailers and heightened political and economic uncertainty, consumers chose to spend on gifts that lifted the spirits of their families and friends and provided a sense of normalcy given the challenging year. We believe President-elect Biden’s stimulus proposal, with direct payments to families and individuals, and further aid for small businesses and tools to keep businesses open, will keep the economy growing.” NRF President Matthew Shay
· “2020 was an unprecedented year for the U.S. toy industry. The growth we’ve seen in the toy industry speaks to the fact that parents are willing to put their children’s happiness above all else. The industry’s resiliency is very much underpinned by the reality that, in times of hardship, families look to toys to help keep their children engaged, active, and delighted. Put simply, toys are a big part of the happiness equation.” Juli Lennett - VP, U.S. Toys at NPD
Toy sales were strong in 2020 as US retail sales of toys was up 16% vs 2019; driven by pandemic spending
· According to NPD, “Much of the growth in 2020 was directly correlated to the COVID-19 pandemic and the changing consumer behavior associated with widespread lockdowns and school closures, the disposable income diverted from other types of entertainment to toys, as well as the onset of federal stimulus checks.”
Consumer spending on toys increased measurably due to lockdowns; with strong performance continuing through the holidays
· Per NPD, “While toy sales through mid-March 2020 were flat vs. 2019, widespread lockdown measures led to an abrupt increase in sales. This was further amplified by the distribution of stimulus checks beginning in April, resulting in the strongest month of growth for the year in May (+38%). Toy industry growth peaked again in October with an increase of 33% when the holiday season kicked off with Amazon Prime Day along with other retailer deals the same week.”
Key retail sources reporting significant sales growth during Q4 2020 suggest Funko sales performance was strong
· Target Q4 sales were fantastic showing signs of retail strength with a consumer that overlaps well with the Funko
> Overall comparable sales were up 17.2%
> Comparable digital sales were up over 100%
> Store-originated comparable sales were up 4.2%
> Store traffic was up 4.3%
> Average ticket size was up 12.3%
· GameStop Q4 sales were solid; showing additional potential for Funko sales
> Same store sales were up 4.8% in Q4 2020
> Online sales increased 309% in Q4 2020
· According to the NRF, 2020 Holiday Retail Sales were up 8.3% compared to the prior year despite the pandemic
> A surge in online shopping drove the increase (rising 32% vs. 2019)
> The increase of 8.3% was over double the average increase of 3.5% that the industry had seen over the last five years.
MORE DISPOSABLE INCOME TO SPEND AT HOME BY NOT GOING OUT
The National Retail Federation (NRF) says that strong retail performance has been driven by consumers with stimulus checks and extra savings from not going out or traveling
· “There was a massive boost to consumer wallets this season. Consumers were able to splurge on holiday gifts because of increased money in their bank accounts from the stimulus payments they received earlier in the year and the money they saved by not traveling, dining out, or attending entertainment events” – NRF Chief Economist Jack Kleinhenz.
Spending on “experiences” fell significantly in 2020
· The US Travel Association forecasts that spending on travel fell $500 billion in 2020 from $1.1 trillion in 2019
> The industry has lost about 40% of its direct travel jobs (about 3.5 million jobs) in 2020; driven by a reduction in business travel
> Foreign visitors to the US fell about 75% in 2020; driving a $119 billion reduction in travel spending
· Concert spending is down dramatically
> Live Nation reported a 98% decline in concert revenue in Q2 2020 and a 95% decline in concert revenue in Q3 2020
> About 5.2 million tickets were refunded in Q3 2020 and 23.3 million tickets had been refunded so far in 2020 (as of the end of Q3)
· Movie theater attendance is down substantially
> AMC theaters saw a 97% decline in attendance and a 91% decline in revenue in Q3 2020
> Cinemark saw a 96% decline in revenue
> Marcus Corporation (which also owns hotels and restaurants) saw a 84% decline in revenue
> Studio Movie Grill filed for bankruptcy
· Other anecdotal information points to more stay-at-home activity decreasing recreational spending
> Chuck E Cheese’s declared bankruptcy
> Dave & Busters is considering bankruptcy and plans layoffs of +1,000
> CiCi’s Pizza declares bankruptcy
> Starbucks saw fewer customers, reduced store hours, increased store closures, and a 5% decline in revenues in Q4 2020. This has led them to plan a shift to more “to-go” formats
> Many Las Vegas Hotels and Casinos have decided to close “part-time” during the week due to lower attendance and travel.
These include Encore, Rio, Linq, Planet Hollywood, Mandalay Bay, Park MGM, and Mirage
The majority of food buffets at the major hotels and casinos have been shuttered for the time being
Stimulus checks and other government programs to support consumer spending provide tailwinds for retail activity
· The US government authorized more than $10,000 per person in stimulus spending in 2020 over the course of five relief bills totaling $3.5 trillion
· More stimulus spending is expected; including a potential $1.9 trillion package that could include an additional $1,400 in stimulus checks
MORE SKUS / LICENSES ARE GROWING AND EXPECTED TO CONINUE STRONG
Active properties continue to rise and are expected to grow well into the future
· The number of active properties in Q3 2020 grew 15% over 2019
· Active properties grew from 644 in Q2 to 715 in Q3 2020
· The potential universe for Funko Pops! is limitless as new films, tv shows, musicians, anime characters, sports stars, and other media properties are created every year.
Some of the hot properties for this year and beyond
· Star Wars: Baby Yoda, Mandalorian, Rey, Valentine’s Day, etc.
· Marvel: WandaVision, Deadpool, Lucha Libre, Spiderman, Venom
· Anime: Dragon Ball Z, Naruto, Bakugan, My Hero Academia
· Films: Harry Potter, The Goonies, The Mummy, Fast & Furious
· TV: The Office, Umbrella Academy, The Queen’s Gambit, The Simpsons
· Sports: NFL, NBA, MLB, WWE
· Others: Disney, Pokemon, etc.
Retail exclusives can grow the potential universe of licenses and increase retailer buy-in
· For example: A retailer like GameStop could lobby Funko to make a GameStop exclusive of the WallStreetBets Kid like this person suggested here. (The exclusive Pop! would be made into a limited edition and sold only to GameStop to sell at their stores)
COLLECTIBLE INVESTMENTS ARE GROWING IN VALUE & POPULARITY
· Funko: The average Pops! Figure has a retail price from between $10 and $15 which allows most people an affordable entry point into collecting. Over time some Pops! Figures increase substantially in price; from $50 to $100 to even several thousand dollars. While some collectors buy Pops! as primarily an investment, many more buy them as a way to show their fandom. Whether they are avid Star Wars, Harry Potter, Pokemon, Sports, or Anime fans; collectors build large collections and show them off to friends.
· Sports Cards: To those paying attention, sports cards have been on a massive run with some cards worth more than your parent’s house and your sister’s car. Since the pandemic started, the demand for sports collectibles from basketball to football to soccer (and many others) has skyrocketed. Countless videos of box-breaks and pack openings have become the norm on social media. Some of these boxes are being purchased for tens of thousands with “hits” ranging from several hundred to hundreds of thousands.
· Collector’s Universe: This company that grades sports cards and other collectibles has tripled in value since June 2020. The number of sports collectors grading cards has exploded as demand rises. The popularity of grading sports cards is expected to maintain as prices continue to rise and the hobby becomes more mainstream.
ANALYST COMMENTARY AND FINANCIALS ARE A POSTIVE FOR THE STOCK
Piper Sandler: Upgraded Funko from “Neutral” to “Overweight” (raising their price target from $6 to $12).
· Analyst Erin Murphy sees evidence of “subsequent revenue pillars” with their recent launch of Snapsies at 800 Target stores; along with an expansion into board games and its digital efforts, which include a newly launched website in six European countries.
Valuation Comparison: Market Cap / Revenue (TTM)
· Funko: MC - $604 million / Rev - $640 million (0.9x sales)
· Mattel: MC - $6.27 billion / Rev - $4.43 billion (1.4x sales)
· Hasbro: MC - $13.13 billion / Rev - $5.17 billion (2.5x sales)
Key Financial Trends For Funko
· Q3 2020 EPS (Adjusted) = $0.31
> Third highest ever (only Q4 2018 & Q3 2019 were higher)
· Q3 2020 Revenue = $191 million
> Fourth highest ever (only Q4 2018, Q3 2019, and Q4 2019 were higher)
· Q3 2020 Revenue increase vs prior quarter of 94%
> Q1 and Q2 2020 saw significant declines due to COVID
> Q3 2020 only down 14% vs Q3 2019 despite Q2 2020 being down 49%
> Q3 2020 strength driven by Funko adapting quickly to online in the US market. (Q4 2020 revenue growth could be aided substantially by Funko’s development of their e-commerce shop in Europe.)
· Q3 2020 SG&A was reduced 20% vs. the prior year as Funko rationalizes costs and adjusts to focus more on D2C e-commerce
TL;DR
After a tough summer, Funko sales have rocketed back in Q3 to near where they were pre-pandemic; setting up a potentially historic earnings for Q4 2020. Google search activity suggests that Funko is as popular as ever and is set up well for a strong year in 2021. People are spending less on “going out;” instead buying things to use at home and presents for their kids. As time passes, Funko’s status as a popular collectible only continues to gain momentum.
Their direct sales initiative allows Funko to capture additional margin by sidestepping traditional brick and mortar retail to reach their customers. Investments in collectible products like Pops! and sports cards continue to increase in popularity and price. And the company continues to release even more products beyond Pops!; including games and apparel. While some Wall Street Analysts have already begun to take notice, a strong Q4 earnings announcement can drive even more attention to the stock.
Positions: Long Shares & Calls
Disclosure: I am long FNKO. This is not investment advice. I reserve the right to buy or sell FNKO without updating this thread. Do your own research and share (or not share) with the community in this thread. Thank you to the others on Reddit that shared this idea earlier.
Feedback: If you have any additional information, ideas, or critiques please make sure to comment. It is great to get the perspective of others when making an investment. Also that information can be incorporated into future posts and updates.
Previous DD: Herman Miller

Hi all,
To celebrate the return of Undervalued to the Reddit community, I decided to put together a quick DD and post it on a stock that I have had my eye on for a little while. It's still a "work-in-progress" and I may potentially update it later on Reddit with more information or detail if I have time at some point in the future.
If you have any opinions, thoughts, or additional information, please share it. Positive. Negative. Neutral. All information is helpful and informative to the community. (I thought the feedback received from my first DD posted to this sub was quite helpful and I look forward to what you have to say.)
Thank you to u/BuyLowSellNever for turning the sub back on; allowing us to share and discuss ideas with the broader community in a thoughtful and respectful manner. Best wishes. - LA

Funko (FNKO)
Share Price (1/28/21) : $11.97
Share Price (09/16/19) : $27.86
Short Interest (1/26/21) : 14%
Next Earnings Release: March 2021
Funko Inc. is an American company that manufactures licensed pop culture collectibles, best known for its licensed vinyl figurines and bobbleheads. They have over 1,000 licenses across music, video games, film, TV, sports and many other pop culture properties. Some of their most popular licensed brands include Marvel, Disney, Star Wars, Pokemon, Fortnite, NBA, NFL, MLB, DC Comics, and a variety of anime properties.
Several points below support the belief that Funko’s revenue grew during the 2020 holiday season and could continue well into 2021:
· Increasing search traffic for Funko products
· Direct sales growth is driving increased revenue and profitability
· Parents are buying more gifts for their kids due to COVID
· People have more disposable income from staying at home and not going out
· Expansion of new products and licensees continuing through 2021
· Collectible investments like Funko POP! figures are exploding in value and popularity
· Recent analyst commentary, valuation, and financials are positive
FUNKO’S SEARCH TRAFFIC REACHES AN ALL-TIME HIGH IN Q4 2020
“Funko” google trends search traffic was up 20-30% in Q4 2020 (vs. Q4 2019)
Searches for “Funko” were up 2x in December vs the beginning of November 2020
After falling in December, “Funko” searches are trending back up to all-time-high levels
FUNKO’S DIRECT SALES INITIATIVES DRIVING HIGHER REVENUE & MARGIN
Funko Direct Sales (B2C) grew significantly in Q3 and likely to continue into Q4
· B2C business as a percentage of sales increased to 8% in Q3 2020 from 4% during the prior year.
· Funko’s e-commerce site grew over 150% vs. the prior year in Q3 2020
· The number of SKU’s on Funko’s e-commerce site rose tenfold since June 2020
“We went from only 200 of our own products [on our website] as late as June this year, to now well over 2,000 products available on our website.” – Funko CEO, Brian Mariotti
Funko’s first ever Selena Pop! sold out online in just 40 minutes.
Funko’s Q3 2020 Gross Profit % and Operating Margin % were near all-time-highs for the company
· Funko’s Q3 Gross Profit Percentage of 38.6% was its second highest ever (behind only Q1 2020)
· Funko’s Q3 Operating Profit Percentage of 10.8% was its second highest ever (behind only Q4 2018)
· As Funko continues to grow it’s B2C e-commerce sales in Q4 and beyond, it is possible that gross profit and operating profit percentages could rise as well
Retail customers were able to shift their Brick & Mortar inventory to their e-commerce channels to Funko unit sales
· Funko resellers who didn’t sell online were severely impacted by Brick & Mortar closures during COVID stay-at-home orders. As 2020 progressed, some of these retailers were able to create online stores (e.g.- Shopify, Amazon, eBay, etc.) through which they could sell their Funko inventory.
· Larger retailers that already had an omni-channel presence were able to shift their sales inventory from their Brick & Mortar stores to online fulfilment.
Funko has also created a mini-Pop! factory at its headquarters where customers can make their own custom Funko at a price of $25 each
· According to Funko, you can customize your Pop! using thousands of combinations. It’s “Think Build-A-Bear meets Funko Pop!” according to CEO Brian Mariotti.
· With a $25 price point, the margins are likely higher than the average Pop! figure that retails for between $10 to $15
PARENTS BUYING MORE GIFTS FOR THEIR KIDS DUE TO COVID
Parents likely splurged on their kids out of guilt of having shelter at home because of restrictions and to keep them occupied while they had to work at home.
· “Faced with rising transmission of the virus, state restrictions on retailers and heightened political and economic uncertainty, consumers chose to spend on gifts that lifted the spirits of their families and friends and provided a sense of normalcy given the challenging year. We believe President-elect Biden’s stimulus proposal, with direct payments to families and individuals, and further aid for small businesses and tools to keep businesses open, will keep the economy growing.” NRF President Matthew Shay
· “2020 was an unprecedented year for the U.S. toy industry. The growth we’ve seen in the toy industry speaks to the fact that parents are willing to put their children’s happiness above all else. The industry’s resiliency is very much underpinned by the reality that, in times of hardship, families look to toys to help keep their children engaged, active, and delighted. Put simply, toys are a big part of the happiness equation.” Juli Lennett - VP, U.S. Toys at NPD
Toy sales were strong in 2020 as US retail sales of toys was up 16% vs 2019; driven by pandemic spending
· According to NPD, “Much of the growth in 2020 was directly correlated to the COVID-19 pandemic and the changing consumer behavior associated with widespread lockdowns and school closures, the disposable income diverted from other types of entertainment to toys, as well as the onset of federal stimulus checks.”
Consumer spending on toys increased measurably due to lockdowns; with strong performance continuing through the holidays
· Per NPD, “While toy sales through mid-March 2020 were flat vs. 2019, widespread lockdown measures led to an abrupt increase in sales. This was further amplified by the distribution of stimulus checks beginning in April, resulting in the strongest month of growth for the year in May (+38%). Toy industry growth peaked again in October with an increase of 33% when the holiday season kicked off with Amazon Prime Day along with other retailer deals the same week.”
Key retail sources reporting significant sales growth during Q4 2020 suggest Funko sales performance was strong
· Target Q4 sales were fantastic showing signs of retail strength with a consumer that overlaps well with the Funko
> Overall comparable sales were up 17.2%
> Comparable digital sales were up over 100%
> Store-originated comparable sales were up 4.2%
> Store traffic was up 4.3%
> Average ticket size was up 12.3%
· GameStop Q4 sales were solid; showing additional potential for Funko sales
> Same store sales were up 4.8% in Q4 2020
> Online sales increased 309% in Q4 2020
· According to the NRF, 2020 Holiday Retail Sales were up 8.3% compared to the prior year despite the pandemic
> A surge in online shopping drove the increase (rising 32% vs. 2019)
> The increase of 8.3% was over double the average increase of 3.5% that the industry had seen over the last five years.
MORE DISPOSABLE INCOME TO SPEND AT HOME BY NOT GOING OUT
The National Retail Federation (NRF) says that strong retail performance has been driven by consumers with stimulus checks and extra savings from not going out or traveling
· “There was a massive boost to consumer wallets this season. Consumers were able to splurge on holiday gifts because of increased money in their bank accounts from the stimulus payments they received earlier in the year and the money they saved by not traveling, dining out, or attending entertainment events” – NRF Chief Economist Jack Kleinhenz.
Spending on “experiences” fell significantly in 2020
· The US Travel Association forecasts that spending on travel fell $500 billion in 2020 from $1.1 trillion in 2019
> The industry has lost about 40% of its direct travel jobs (about 3.5 million jobs) in 2020; driven by a reduction in business travel
> Foreign visitors to the US fell about 75% in 2020; driving a $119 billion reduction in travel spending
· Concert spending is down dramatically
> Live Nation reported a 98% decline in concert revenue in Q2 2020 and a 95% decline in concert revenue in Q3 2020
> About 5.2 million tickets were refunded in Q3 2020 and 23.3 million tickets had been refunded so far in 2020 (as of the end of Q3)
· Movie theater attendance is down substantially
> AMC theaters saw a 97% decline in attendance and a 91% decline in revenue in Q3 2020
> Cinemark saw a 96% decline in revenue
> Marcus Corporation (which also owns hotels and restaurants) saw a 84% decline in revenue
> Studio Movie Grill filed for bankruptcy
· Other anecdotal information points to more stay-at-home activity decreasing recreational spending
> Chuck E Cheese’s declared bankruptcy
> Dave & Busters is considering bankruptcy and plans layoffs of +1,000
> CiCi’s Pizza declares bankruptcy
> Starbucks saw fewer customers, reduced store hours, increased store closures, and a 5% decline in revenues in Q4 2020. This has led them to plan a shift to more “to-go” formats
> Many Las Vegas Hotels and Casinos have decided to close “part-time” during the week due to lower attendance and travel.
These include Encore, Rio, Linq, Planet Hollywood, Mandalay Bay, Park MGM, and Mirage
The majority of food buffets at the major hotels and casinos have been shuttered for the time being
Stimulus checks and other government programs to support consumer spending provide tailwinds for retail activity
· The US government authorized more than $10,000 per person in stimulus spending in 2020 over the course of five relief bills totaling $3.5 trillion
· More stimulus spending is expected; including a potential $1.9 trillion package that could include an additional $1,400 in stimulus checks
MORE SKUS / LICENSES ARE GROWING AND EXPECTED TO CONINUE STRONG
Active properties continue to rise and are expected to grow well into the future
· The number of active properties in Q3 2020 grew 15% over 2019
· Active properties grew from 644 in Q2 to 715 in Q3 2020
· The potential universe for Funko Pops! is limitless as new films, tv shows, musicians, anime characters, sports stars, and other media properties are created every year.
Some of the hot properties for this year and beyond
· Star Wars: Baby Yoda, Mandalorian, Rey, Valentine’s Day, etc.
· Marvel: WandaVision, Deadpool, Lucha Libre, Spiderman, Venom
· Anime: Dragon Ball Z, Naruto, Bakugan, My Hero Academia
· Films: Harry Potter, The Goonies, The Mummy, Fast & Furious
· TV: The Office, Umbrella Academy, The Queen’s Gambit, The Simpsons
· Sports: NFL, NBA, MLB, WWE
· Others: Disney, Pokemon, etc.
COLLECTIBLE INVESTMENTS ARE GROWING IN VALUE & POPULARITY
· Funko: The average Pops! Figure has a retail price from between $10 and $15 which allows most people an affordable entry point into collecting. Over time some Pops! Figures increase substantially in price; from $50 to $100 to even several thousand dollars. While some collectors buy Pops! as primarily an investment, many more buy them as a way to show their fandom. Whether they are avid Star Wars, Harry Potter, Pokemon, Sports, or Anime fans; collectors build large collections and show them off to friends.
· Sports Cards: To those paying attention, sports cards have been on a massive run with some cards worth more than your parent’s house and your sister’s car. Since the pandemic started, the demand for sports collectibles from basketball to football to soccer (and many others) has skyrocketed. Countless videos of box-breaks and pack openings have become the norm on social media. Some of these boxes are being purchased for tens of thousands with “hits” ranging from several hundred to hundreds of thousands.
· Collector’s Universe: This company that grades sports cards and other collectibles has tripled in value since June 2020. The number of sports collectors grading cards has exploded as demand rises. The popularity of grading sports cards is expected to maintain as prices continue to rise and the hobby becomes more mainstream.
ANALYST COMMENTARY AND FINANCIALS ARE A POSTIVE FOR THE STOCK
Piper Sandler: Upgraded Funko from “Neutral” to “Overweight” (raising their price target from $6 to $12).
· Analyst Erin Murphy sees evidence of “subsequent revenue pillars” with their recent launch of Snapsies at 800 Target stores; along with an expansion into board games and its digital efforts, which include a newly launched website in six European countries.
Valuation Comparison: Market Cap / Revenue (TTM)
· Funko: MC - $604 million / Rev - $640 million (0.9x sales)
· Mattel: MC - $6.27 billion / Rev - $4.43 billion (1.4x sales)
· Hasbro: MC - $13.13 billion / Rev - $5.17 billion (2.5x sales)
Key Financial Trends For Funko
· Q3 2020 EPS (Adjusted) = $0.31
> Third highest ever (only Q4 2018 & Q3 2019 were higher)
· Q3 2020 Revenue = $191 million
> Fourth highest ever (only Q4 2018, Q3 2019, and Q4 2019 were higher)
· Q3 2020 Revenue increase vs prior quarter of 94%
> Q1 and Q2 2020 saw significant declines due to COVID
> Q3 2020 only down 14% vs Q3 2019 despite Q2 2020 being down 49%
> Q3 2020 strength driven by Funko adapting quickly to online in the US market. (Q4 2020 revenue growth could be aided substantially by Funko’s development of their e-commerce shop in Europe.)
· Q3 2020 SG&A was reduced 20% vs. the prior year as Funko rationalizes costs and adjusts to focus more on D2C e-commerce
TL;DR
After a tough summer, Funko sales have rocketed back in Q3 to near where they were pre-pandemic; setting up a potentially historic earnings for Q4 2020. Google search activity suggests that Funko is as popular as ever and is set up well for a strong year in 2021. People are spending less on “going out;” instead buying things to use at home and presents for their kids. As time passes, Funko’s status as a popular collectible only continues to gain momentum.
Their direct sales initiative allows Funko to capture additional margin by sidestepping traditional brick and mortar retail to reach their customers. Investments in collectible products like Pops! and sports cards continue to increase in popularity and price. And the company continues to release even more products beyond Pops!; including games and apparel. While some Wall Street Analysts have already begun to take notice, a strong Q4 earnings announcement can drive even more attention to the stock.
Positions: Long Shares & Calls
Disclosure: I am long FNKO. This is not investment advice. I reserve the right to buy or sell FNKO without updating this thread. Do your own research and share (or not share) with the community in this thread. Thank you to the others on Reddit that shared this idea earlier.
Feedback: If you have any additional information, ideas, or critiques please make sure to comment. It is great to get the perspective of others when making an investment. Also that information can be incorporated into future posts and updates.

2/9/21 Update: Additional info posted here

2/9/21 Update: Additional info posted here

Funko is a good company with solid performance that is still trading at a reasonable price.
Check out my DD below:
Funko (FNKO)
Share Price (02/01/21) : $12.90
Share Price (09/16/19) : $27.86
Short Interest (1/26/21) : 14%
Next Earnings Release: March 2021
Funko Inc. is an American company that manufactures licensed pop culture collectibles, best known for its licensed vinyl figurines and bobbleheads. They have over 1,000 licenses across music, video games, film, TV, sports and many other pop culture properties. Some of their most popular licensed brands include Marvel, Disney, Star Wars, Pokemon, Fortnite, NBA, NFL, MLB, DC Comics, and a variety of anime properties.
Several points below support the belief that Funko’s revenue grew during the 2020 holiday season and could continue well into 2021:
· Increasing search traffic for Funko products
· Direct sales growth is driving increased revenue and profitability
· Parents are buying more gifts for their kids due to COVID
· People have more disposable income from staying at home and not going out
· Expansion of new products and licensees continuing through 2021
· Collectible investments like Funko POP! figures are exploding in value and popularity
· Recent analyst commentary, valuation, and financials are positive
FUNKO’S SEARCH TRAFFIC REACHES AN ALL-TIME HIGH IN Q4 2020
“Funko” google trends search traffic was up 20-30% in Q4 2020 (vs. Q4 2019)
Searches for “Funko” were up 2x in December vs the beginning of November 2020
After falling in December, “Funko” searches are trending back up to all-time-high levels
FUNKO’S DIRECT SALES INITIATIVES DRIVING HIGHER REVENUE & MARGIN
Funko Direct Sales (B2C) grew significantly in Q3 and likely to continue into Q4
· B2C business as a percentage of sales increased to 8% in Q3 2020 from 4% during the prior year.
· Funko’s e-commerce site grew over 150% vs. the prior year in Q3 2020
· The number of SKU’s on Funko’s e-commerce site rose tenfold since June 2020
“We went from only 200 of our own products [on our website] as late as June this year, to now well over 2,000 products available on our website.” – Funko CEO, Brian Mariotti
Funko’s first ever Selena Pop! sold out online in just 40 minutes.
Funko’s Q3 2020 Gross Profit % and Operating Margin % were near all-time-highs for the company
· Funko’s Q3 Gross Profit Percentage of 38.6% was its second highest ever (behind only Q1 2020)
· Funko’s Q3 Operating Profit Percentage of 10.8% was its second highest ever (behind only Q4 2018)
· As Funko continues to grow it’s B2C e-commerce sales in Q4 and beyond, it is possible that gross profit and operating profit percentages could rise as well
Retail customers were able to shift their Brick & Mortar inventory to their e-commerce channels to Funko unit sales
· Funko resellers who didn’t sell online were severely impacted by Brick & Mortar closures during COVID stay-at-home orders. As 2020 progressed, some of these retailers were able to create online stores (e.g.- Shopify, Amazon, eBay, etc.) through which they could sell their Funko inventory.
· Larger retailers that already had an omni-channel presence were able to shift their sales inventory from their Brick & Mortar stores to online fulfilment.
Funko has also created a mini-Pop! factory at its headquarters where customers can make their own custom Funko at a price of $25 each
· According to Funko, you can customize your Pop! using thousands of combinations. It’s “Think Build-A-Bear meets Funko Pop!” according to CEO Brian Mariotti.
· With a $25 price point, the margins are likely higher than the average Pop! figure that retails for between $10 to $15
PARENTS BUYING MORE GIFTS FOR THEIR KIDS DUE TO COVID
Parents likely splurged on their kids out of guilt of having shelter at home because of restrictions and to keep them occupied while they had to work at home.
· “Faced with rising transmission of the virus, state restrictions on retailers and heightened political and economic uncertainty, consumers chose to spend on gifts that lifted the spirits of their families and friends and provided a sense of normalcy given the challenging year. We believe President-elect Biden’s stimulus proposal, with direct payments to families and individuals, and further aid for small businesses and tools to keep businesses open, will keep the economy growing.” NRF President Matthew Shay
· “2020 was an unprecedented year for the U.S. toy industry. The growth we’ve seen in the toy industry speaks to the fact that parents are willing to put their children’s happiness above all else. The industry’s resiliency is very much underpinned by the reality that, in times of hardship, families look to toys to help keep their children engaged, active, and delighted. Put simply, toys are a big part of the happiness equation.” Juli Lennett - VP, U.S. Toys at NPD
Toy sales were strong in 2020 as US retail sales of toys was up 16% vs 2019; driven by pandemic spending
· According to NPD, “Much of the growth in 2020 was directly correlated to the COVID-19 pandemic and the changing consumer behavior associated with widespread lockdowns and school closures, the disposable income diverted from other types of entertainment to toys, as well as the onset of federal stimulus checks.”
Consumer spending on toys increased measurably due to lockdowns; with strong performance continuing through the holidays
· Per NPD, “While toy sales through mid-March 2020 were flat vs. 2019, widespread lockdown measures led to an abrupt increase in sales. This was further amplified by the distribution of stimulus checks beginning in April, resulting in the strongest month of growth for the year in May (+38%). Toy industry growth peaked again in October with an increase of 33% when the holiday season kicked off with Amazon Prime Day along with other retailer deals the same week.”
Key retail sources reporting significant sales growth during Q4 2020 suggest Funko sales performance was strong
· Target Q4 sales were fantastic showing signs of retail strength with a consumer that overlaps well with the Funko
> Overall comparable sales were up 17.2%
> Comparable digital sales were up over 100%
> Store-originated comparable sales were up 4.2%
> Store traffic was up 4.3%
> Average ticket size was up 12.3%
· GameStop Q4 sales were solid; showing additional potential for Funko sales
> Same store sales were up 4.8% in Q4 2020
> Online sales increased 309% in Q4 2020
· According to the NRF, 2020 Holiday Retail Sales were up 8.3% compared to the prior year despite the pandemic
> A surge in online shopping drove the increase (rising 32% vs. 2019)
> The increase of 8.3% was over double the average increase of 3.5% that the industry had seen over the last five years.
MORE DISPOSABLE INCOME TO SPEND AT HOME BY NOT GOING OUT
The National Retail Federation (NRF) says that strong retail performance has been driven by consumers with stimulus checks and extra savings from not going out or traveling
· “There was a massive boost to consumer wallets this season. Consumers were able to splurge on holiday gifts because of increased money in their bank accounts from the stimulus payments they received earlier in the year and the money they saved by not traveling, dining out, or attending entertainment events” – NRF Chief Economist Jack Kleinhenz.
Spending on “experiences” fell significantly in 2020
· The US Travel Association forecasts that spending on travel fell $500 billion in 2020 from $1.1 trillion in 2019
> The industry has lost about 40% of its direct travel jobs (about 3.5 million jobs) in 2020; driven by a reduction in business travel
> Foreign visitors to the US fell about 75% in 2020; driving a $119 billion reduction in travel spending
· Concert spending is down dramatically
> Live Nation reported a 98% decline in concert revenue in Q2 2020 and a 95% decline in concert revenue in Q3 2020
> About 5.2 million tickets were refunded in Q3 2020 and 23.3 million tickets had been refunded so far in 2020 (as of the end of Q3)
· Movie theater attendance is down substantially
> AMC theaters saw a 97% decline in attendance and a 91% decline in revenue in Q3 2020
> Cinemark saw a 96% decline in revenue
> Marcus Corporation (which also owns hotels and restaurants) saw a 84% decline in revenue
> Studio Movie Grill filed for bankruptcy
· Other anecdotal information points to more stay-at-home activity decreasing recreational spending
> Chuck E Cheese’s declared bankruptcy
> Dave & Busters is considering bankruptcy and plans layoffs of +1,000
> CiCi’s Pizza declares bankruptcy
> Starbucks saw fewer customers, reduced store hours, increased store closures, and a 5% decline in revenues in Q4 2020. This has led them to plan a shift to more “to-go” formats
> Many Las Vegas Hotels and Casinos have decided to close “part-time” during the week due to lower attendance and travel.
These include Encore, Rio, Linq, Planet Hollywood, Mandalay Bay, Park MGM, and Mirage
The majority of food buffets at the major hotels and casinos have been shuttered for the time being
Stimulus checks and other government programs to support consumer spending provide tailwinds for retail activity
· The US government authorized more than $10,000 per person in stimulus spending in 2020 over the course of five relief bills totaling $3.5 trillion
· More stimulus spending is expected; including a potential $1.9 trillion package that could include an additional $1,400 in stimulus checks
MORE SKUS / LICENSES ARE GROWING AND EXPECTED TO CONINUE STRONG
Active properties continue to rise and are expected to grow well into the future
· The number of active properties in Q3 2020 grew 15% over 2019
· Active properties grew from 644 in Q2 to 715 in Q3 2020
· The potential universe for Funko Pops! is limitless as new films, tv shows, musicians, anime characters, sports stars, and other media properties are created every year.
Some of the hot properties for this year and beyond
· Star Wars: Baby Yoda, Mandalorian, Rey, Valentine’s Day, etc.
· Marvel: WandaVision, Deadpool, Lucha Libre, Spiderman, Venom
· Anime: Dragon Ball Z, Naruto, Bakugan, My Hero Academia
· Films: Harry Potter, The Goonies, The Mummy, Fast & Furious
· TV: The Office, Umbrella Academy, The Queen’s Gambit, The Simpsons
· Sports: NFL, NBA, MLB, WWE
· Others: Disney, Pokemon, etc.
Retail exclusives can grow the potential universe of licenses and increase retailer buy-in
· For example: A retailer like GameStop could lobby Funko to make a GameStop exclusive of the WallStreetBets Kid like this person suggested here. (The exclusive Pop! would be made into a limited edition and sold only to GameStop to sell at their stores)
COLLECTIBLE INVESTMENTS ARE GROWING IN VALUE & POPULARITY
· Funko: The average Pops! Figure has a retail price from between $10 and $15 which allows most people an affordable entry point into collecting. Over time some Pops! Figures increase substantially in price; from $50 to $100 to even several thousand dollars. While some collectors buy Pops! as primarily an investment, many more buy them as a way to show their fandom. Whether they are avid Star Wars, Harry Potter, Pokemon, Sports, or Anime fans; collectors build large collections and show them off to friends.
· Sports Cards: To those paying attention, sports cards have been on a massive run with some cards worth more than your parent’s house and your sister’s car. Since the pandemic started, the demand for sports collectibles from basketball to football to soccer (and many others) has skyrocketed. Countless videos of box-breaks and pack openings have become the norm on social media. Some of these boxes are being purchased for tens of thousands with “hits” ranging from several hundred to hundreds of thousands.
· Collector’s Universe: This company that grades sports cards and other collectibles has tripled in value since June 2020. The number of sports collectors grading cards has exploded as demand rises. The popularity of grading sports cards is expected to maintain as prices continue to rise and the hobby becomes more mainstream.
ANALYST COMMENTARY AND FINANCIALS ARE A POSTIVE FOR THE STOCK
Piper Sandler: Upgraded Funko from “Neutral” to “Overweight” (raising their price target from $6 to $12).
· Analyst Erin Murphy sees evidence of “subsequent revenue pillars” with their recent launch of Snapsies at 800 Target stores; along with an expansion into board games and its digital efforts, which include a newly launched website in six European countries.
Valuation Comparison: Market Cap / Revenue (TTM)
· Funko: MC - $604 million / Rev - $640 million (0.9x sales)
· Mattel: MC - $6.27 billion / Rev - $4.43 billion (1.4x sales)
· Hasbro: MC - $13.13 billion / Rev - $5.17 billion (2.5x sales)
Key Financial Trends For Funko
· Q3 2020 EPS (Adjusted) = $0.31
> Third highest ever (only Q4 2018 & Q3 2019 were higher)
· Q3 2020 Revenue = $191 million
> Fourth highest ever (only Q4 2018, Q3 2019, and Q4 2019 were higher)
· Q3 2020 Revenue increase vs prior quarter of 94%
> Q1 and Q2 2020 saw significant declines due to COVID
> Q3 2020 only down 14% vs Q3 2019 despite Q2 2020 being down 49%
> Q3 2020 strength driven by Funko adapting quickly to online in the US market. (Q4 2020 revenue growth could be aided substantially by Funko’s development of their e-commerce shop in Europe.)
· Q3 2020 SG&A was reduced 20% vs. the prior year as Funko rationalizes costs and adjusts to focus more on D2C e-commerce
TL;DR
After a tough summer, Funko sales have rocketed back in Q3 to near where they were pre-pandemic; setting up a potentially historic earnings for Q4 2020. Google search activity suggests that Funko is as popular as ever and is set up well for a strong year in 2021. People are spending less on “going out;” instead buying things to use at home and presents for their kids. As time passes, Funko’s status as a popular collectible only continues to gain momentum.
Their direct sales initiative allows Funko to capture additional margin by sidestepping traditional brick and mortar retail to reach their customers. Investments in collectible products like Pops! and sports cards continue to increase in popularity and price. And the company continues to release even more products beyond Pops!; including games and apparel. While some Wall Street Analysts have already begun to take notice, a strong Q4 earnings announcement can drive even more attention to the stock.
Positions: Long Shares & Calls
Disclosure: I am long FNKO. This is not investment advice. I reserve the right to buy or sell FNKO without updating this thread. Do your own research and share (or not share) with the community in this thread. Thank you to the others on Reddit that shared this idea earlier.
Feedback: If you have any additional information, ideas, or critiques please make sure to comment. It is great to get the perspective of others when making an investment. Also that information can be incorporated into future posts and updates.
Previous DD: Herman Miller

2/9/21 Update: Additional info posted here

Hi everyone.
Funko is a great stock that I believe will do well this year. Internet search traffic for Funko has been increasing and is at all-time highs over the last couple of months. The company is selling more of their toys directly to customers through their e-commerce shop (which allows them to capture higher retail revenues than wholesale revenues). And demand for collectibles and toys continues to be strong.
Here is a DD I wrote on the company below. I would love to get your thoughts.

Funko (FNKO)
Share Price (1/28/21) : $11.97
Share Price (09/16/19) : $27.86
Short Interest (1/26/21) : 14%
Next Earnings Release: March 2021
Funko Inc. is an American company that manufactures licensed pop culture collectibles, best known for its licensed vinyl figurines and bobbleheads. They have over 1,000 licenses across music, video games, film, TV, sports and many other pop culture properties. Some of their most popular licensed brands include Marvel, Disney, Star Wars, Pokemon, Fortnite, NBA, NFL, MLB, DC Comics, and a variety of anime properties.
Several points below support the belief that Funko’s revenue grew during the 2020 holiday season and could continue well into 2021:
· Increasing search traffic for Funko products
· Direct sales growth is driving increased revenue and profitability
· Parents are buying more gifts for their kids due to COVID
· People have more disposable income from staying at home and not going out
· Expansion of new products and licensees continuing through 2021
· Collectible investments like Funko POP! figures are exploding in value and popularity
· Recent analyst commentary, valuation, and financials are positive
FUNKO’S SEARCH TRAFFIC REACHES AN ALL-TIME HIGH IN Q4 2020
“Funko” google trends search traffic was up 20-30% in Q4 2020 (vs. Q4 2019)
Searches for “Funko” were up 2x in December vs the beginning of November 2020
After falling in December, “Funko” searches are trending back up to all-time-high levels
FUNKO’S DIRECT SALES INITIATIVES DRIVING HIGHER REVENUE & MARGIN
Funko Direct Sales (B2C) grew significantly in Q3 and likely to continue into Q4
· B2C business as a percentage of sales increased to 8% in Q3 2020 from 4% during the prior year.
· Funko’s e-commerce site grew over 150% vs. the prior year in Q3 2020
· The number of SKU’s on Funko’s e-commerce site rose tenfold since June 2020
“We went from only 200 of our own products [on our website] as late as June this year, to now well over 2,000 products available on our website.” – Funko CEO, Brian Mariotti
Funko’s first ever Selena Pop! sold out online in just 40 minutes.
Funko’s Q3 2020 Gross Profit % and Operating Margin % were near all-time-highs for the company
· Funko’s Q3 Gross Profit Percentage of 38.6% was its second highest ever (behind only Q1 2020)
· Funko’s Q3 Operating Profit Percentage of 10.8% was its second highest ever (behind only Q4 2018)
· As Funko continues to grow it’s B2C e-commerce sales in Q4 and beyond, it is possible that gross profit and operating profit percentages could rise as well
Retail customers were able to shift their Brick & Mortar inventory to their e-commerce channels to Funko unit sales
· Funko resellers who didn’t sell online were severely impacted by Brick & Mortar closures during COVID stay-at-home orders. As 2020 progressed, some of these retailers were able to create online stores (e.g.- Shopify, Amazon, eBay, etc.) through which they could sell their Funko inventory.
· Larger retailers that already had an omni-channel presence were able to shift their sales inventory from their Brick & Mortar stores to online fulfilment.
Funko has also created a mini-Pop! factory at its headquarters where customers can make their own custom Funko at a price of $25 each
· According to Funko, you can customize your Pop! using thousands of combinations. It’s “Think Build-A-Bear meets Funko Pop!” according to CEO Brian Mariotti.
· With a $25 price point, the margins are likely higher than the average Pop! figure that retails for between $10 to $15
PARENTS BUYING MORE GIFTS FOR THEIR KIDS DUE TO COVID
Parents likely splurged on their kids out of guilt of having shelter at home because of restrictions and to keep them occupied while they had to work at home.
· “Faced with rising transmission of the virus, state restrictions on retailers and heightened political and economic uncertainty, consumers chose to spend on gifts that lifted the spirits of their families and friends and provided a sense of normalcy given the challenging year. We believe President-elect Biden’s stimulus proposal, with direct payments to families and individuals, and further aid for small businesses and tools to keep businesses open, will keep the economy growing.” NRF President Matthew Shay
· “2020 was an unprecedented year for the U.S. toy industry. The growth we’ve seen in the toy industry speaks to the fact that parents are willing to put their children’s happiness above all else. The industry’s resiliency is very much underpinned by the reality that, in times of hardship, families look to toys to help keep their children engaged, active, and delighted. Put simply, toys are a big part of the happiness equation.” Juli Lennett - VP, U.S. Toys at NPD
Toy sales were strong in 2020 as US retail sales of toys was up 16% vs 2019; driven by pandemic spending
· According to NPD, “Much of the growth in 2020 was directly correlated to the COVID-19 pandemic and the changing consumer behavior associated with widespread lockdowns and school closures, the disposable income diverted from other types of entertainment to toys, as well as the onset of federal stimulus checks.”
Consumer spending on toys increased measurably due to lockdowns; with strong performance continuing through the holidays
· Per NPD, “While toy sales through mid-March 2020 were flat vs. 2019, widespread lockdown measures led to an abrupt increase in sales. This was further amplified by the distribution of stimulus checks beginning in April, resulting in the strongest month of growth for the year in May (+38%). Toy industry growth peaked again in October with an increase of 33% when the holiday season kicked off with Amazon Prime Day along with other retailer deals the same week.”
Key retail sources reporting significant sales growth during Q4 2020 suggest Funko sales performance was strong
· Target Q4 sales were fantastic showing signs of retail strength with a consumer that overlaps well with the Funko
> Overall comparable sales were up 17.2%
> Comparable digital sales were up over 100%
> Store-originated comparable sales were up 4.2%
> Store traffic was up 4.3%
> Average ticket size was up 12.3%
· GameStop Q4 sales were solid; showing additional potential for Funko sales
> Same store sales were up 4.8% in Q4 2020
> Online sales increased 309% in Q4 2020
· According to the NRF, 2020 Holiday Retail Sales were up 8.3% compared to the prior year despite the pandemic
> A surge in online shopping drove the increase (rising 32% vs. 2019)
> The increase of 8.3% was over double the average increase of 3.5% that the industry had seen over the last five years.
MORE DISPOSABLE INCOME TO SPEND AT HOME BY NOT GOING OUT
The National Retail Federation (NRF) says that strong retail performance has been driven by consumers with stimulus checks and extra savings from not going out or traveling
· “There was a massive boost to consumer wallets this season. Consumers were able to splurge on holiday gifts because of increased money in their bank accounts from the stimulus payments they received earlier in the year and the money they saved by not traveling, dining out, or attending entertainment events” – NRF Chief Economist Jack Kleinhenz.
Spending on “experiences” fell significantly in 2020
· The US Travel Association forecasts that spending on travel fell $500 billion in 2020 from $1.1 trillion in 2019
> The industry has lost about 40% of its direct travel jobs (about 3.5 million jobs) in 2020; driven by a reduction in business travel
> Foreign visitors to the US fell about 75% in 2020; driving a $119 billion reduction in travel spending
· Concert spending is down dramatically
> Live Nation reported a 98% decline in concert revenue in Q2 2020 and a 95% decline in concert revenue in Q3 2020
> About 5.2 million tickets were refunded in Q3 2020 and 23.3 million tickets had been refunded so far in 2020 (as of the end of Q3)
· Movie theater attendance is down substantially
> AMC theaters saw a 97% decline in attendance and a 91% decline in revenue in Q3 2020
> Cinemark saw a 96% decline in revenue
> Marcus Corporation (which also owns hotels and restaurants) saw a 84% decline in revenue
> Studio Movie Grill filed for bankruptcy
· Other anecdotal information points to more stay-at-home activity decreasing recreational spending
> Chuck E Cheese’s declared bankruptcy
> Dave & Busters is considering bankruptcy and plans layoffs of +1,000
> CiCi’s Pizza declares bankruptcy
> Starbucks saw fewer customers, reduced store hours, increased store closures, and a 5% decline in revenues in Q4 2020. This has led them to plan a shift to more “to-go” formats
> Many Las Vegas Hotels and Casinos have decided to close “part-time” during the week due to lower attendance and travel.
These include Encore, Rio, Linq, Planet Hollywood, Mandalay Bay, Park MGM, and Mirage
The majority of food buffets at the major hotels and casinos have been shuttered for the time being
Stimulus checks and other government programs to support consumer spending provide tailwinds for retail activity
· The US government authorized more than $10,000 per person in stimulus spending in 2020 over the course of five relief bills totaling $3.5 trillion
· More stimulus spending is expected; including a potential $1.9 trillion package that could include an additional $1,400 in stimulus checks
MORE SKUS / LICENSES ARE GROWING AND EXPECTED TO CONINUE STRONG
Active properties continue to rise and are expected to grow well into the future
· The number of active properties in Q3 2020 grew 15% over 2019
· Active properties grew from 644 in Q2 to 715 in Q3 2020
· The potential universe for Funko Pops! is limitless as new films, tv shows, musicians, anime characters, sports stars, and other media properties are created every year.
Some of the hot properties for this year and beyond
· Star Wars: Baby Yoda, Mandalorian, Rey, Valentine’s Day, etc.
· Marvel: WandaVision, Deadpool, Lucha Libre, Spiderman, Venom
· Anime: Dragon Ball Z, Naruto, Bakugan, My Hero Academia
· Films: Harry Potter, The Goonies, The Mummy, Fast & Furious
· TV: The Office, Umbrella Academy, The Queen’s Gambit, The Simpsons
· Sports: NFL, NBA, MLB, WWE
· Others: Disney, Pokemon, etc.
COLLECTIBLE INVESTMENTS ARE GROWING IN VALUE & POPULARITY
· Funko: The average Pops! Figure has a retail price from between $10 and $15 which allows most people an affordable entry point into collecting. Over time some Pops! Figures increase substantially in price; from $50 to $100 to even several thousand dollars. While some collectors buy Pops! as primarily an investment, many more buy them as a way to show their fandom. Whether they are avid Star Wars, Harry Potter, Pokemon, Sports, or Anime fans; collectors build large collections and show them off to friends.
· Sports Cards: To those paying attention, sports cards have been on a massive run with some cards worth more than your parent’s house and your sister’s car. Since the pandemic started, the demand for sports collectibles from basketball to football to soccer (and many others) has skyrocketed. Countless videos of box-breaks and pack openings have become the norm on social media. Some of these boxes are being purchased for tens of thousands with “hits” ranging from several hundred to hundreds of thousands.
· Collector’s Universe: This company that grades sports cards and other collectibles has tripled in value since June 2020. The number of sports collectors grading cards has exploded as demand rises. The popularity of grading sports cards is expected to maintain as prices continue to rise and the hobby becomes more mainstream.
ANALYST COMMENTARY AND FINANCIALS ARE A POSTIVE FOR THE STOCK
Piper Sandler: Upgraded Funko from “Neutral” to “Overweight” (raising their price target from $6 to $12).
· Analyst Erin Murphy sees evidence of “subsequent revenue pillars” with their recent launch of Snapsies at 800 Target stores; along with an expansion into board games and its digital efforts, which include a newly launched website in six European countries.
Valuation Comparison: Market Cap / Revenue (TTM)
· Funko: MC - $604 million / Rev - $640 million (0.9x sales)
· Mattel: MC - $6.27 billion / Rev - $4.43 billion (1.4x sales)
· Hasbro: MC - $13.13 billion / Rev - $5.17 billion (2.5x sales)
Key Financial Trends For Funko
· Q3 2020 EPS (Adjusted) = $0.31
> Third highest ever (only Q4 2018 & Q3 2019 were higher)
· Q3 2020 Revenue = $191 million
> Fourth highest ever (only Q4 2018, Q3 2019, and Q4 2019 were higher)
· Q3 2020 Revenue increase vs prior quarter of 94%
> Q1 and Q2 2020 saw significant declines due to COVID
> Q3 2020 only down 14% vs Q3 2019 despite Q2 2020 being down 49%
> Q3 2020 strength driven by Funko adapting quickly to online in the US market. (Q4 2020 revenue growth could be aided substantially by Funko’s development of their e-commerce shop in Europe.)
· Q3 2020 SG&A was reduced 20% vs. the prior year as Funko rationalizes costs and adjusts to focus more on D2C e-commerce
TL;DR
After a tough summer, Funko sales have rocketed back in Q3 to near where they were pre-pandemic; setting up a potentially historic earnings for Q4 2020. Google search activity suggests that Funko is as popular as ever and is set up well for a strong year in 2021. People are spending less on “going out;” instead buying things to use at home and presents for their kids. As time passes, Funko’s status as a popular collectible only continues to gain momentum.
Their direct sales initiative allows Funko to capture additional margin by sidestepping traditional brick and mortar retail to reach their customers. Investments in collectible products like Pops! and sports cards continue to increase in popularity and price. And the company continues to release even more products beyond Pops!; including games and apparel. While some Wall Street Analysts have already begun to take notice, a strong Q4 earnings announcement can drive even more attention to the stock.
Positions: Long Shares & Calls
Disclosure: I am long FNKO. This is not investment advice. I reserve the right to buy or sell FNKO without updating this thread. Do your own research and share (or not share) with the community in this thread. Thank you to the others on Reddit that shared this idea earlier.
Feedback: If you have any additional information, ideas, or critiques please make sure to comment. It is great to get the perspective of others when making an investment. Also that information can be incorporated into future posts and updates.

TL;DR - I use the craft beer industry as a way to understand Capitalist Propaganda, how Capitalism and Socialism are inextricably linked to each other, and how through the use of propaganda, companies use the "illusion of choice" to coerce you into believing that you prefer the products that are most favorable to them. In order to change this into the consumer's favor, you need to be an informed consumer in the free market, and raise class consciousness to overthrow the tyranny of Capitalist Propaganda, that is called "Marketing".
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You can't understand Capitalist Propaganda unless you have a solid understanding of what Capitalism is beyond the literal definition of the word, which is just an abstract ideal. Propaganda plays off of the discrepancies between the ideals of Capitalism, like the free market, which is another abstract ideal, and the reality of Capitalism in practice in America, which can be characterized as Trickle Down Economics. Capitalism sought to be a pragmatic alternative to its economic predecessors, a fact which drives Capitalist Propaganda. However, through layers of abstraction throughout the years, it has become more of a religion, as critics refer to the increasingly ideological concept as "Supply Side Jesus", meaning you give all the money to the rich, it'll trickle down to the poor, and they can "vote" on the actions of the capitalists through monetary interactions in the free market.
Capitalist Propaganda is engrained in America, because at the time of our founding, Adam Smith wrote "Wealth of Nations", which is considered the Bible of the Free Market. This groundbreaking work utilized Newton's Laws of Physics, which were en vogue at the time, to describe how interactions in the marketplace would balance each other out, just as the laws of Newtonian Physics do.
The very noble purpose of Wealth of Nations was not create the oligarchy we have today, but to do the opposite. He wanted to describe a system that would protect individual freedoms and be truly democratic. Just as Lenin and Stalin bastardized the works of Marx, so too have capitalists in America bastardized the intentions of Adam Smith.
Capitalism and Socialism are best learned side by side, in my opinion, to avoid falling into the trappings of either ideology that our brains like to do. Which one is better? It depends on the market, but the answer is almost always somewhere in between.
Through learning how Socialist concepts can be applied to problems in Capitalism, you can cut through the propaganda and will see for yourself that these problems can be solved if we just drop the labels and do what's best for society and the individual. The problem is always finding the proper balance.
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WHAT? CAPITALISM AND SOCIALISM ARE JOINED AT THE HIP?
Yep. You can never live in a pure economic system. Purity is always an illusion. If you want something to be pure, you have to put a lot of energy into making it that way. Nature likes to mix stuff up. This is why ideologies around racial purity and fascism always fail. There are people who want a "pure" economic system, but they are usually the people at the top and would only get richer from more purity while the rest of society loses freedom and slowly starves.
In a nutshell, Capitalism promotes laws that benefit those with money, while Socialism promotes a safety net that benefits everyone. Every single human is born into Socialism. As a baby, you need food, someone else works for it and gives it to you, but then at some point, you are expected to exchange labor for capital, and buy your own food. See? The two are forever bound as the yin and yang. You can also grow your own food, but for that you need land, which is capital.
These interactions are very tricky. I only want to tell you enough so that you can start to see Capitalist Propaganda, because right now, you're like a fish in water that can't see water. I often use this line to describe a person who can't see their own homegrown propaganda. The best way I found to study Capitalism is by relating it Socialism, the "air" above the "water" of Capitalism, if that makes sense.
I always find it best to look at a microcosm to understand these concepts. And today, that microcosm is beer.
Mmmm....Beeeeeeeeeerrrrrrr.....
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CONFLICT OF INTEREST AND THE ILLUSION OF CHOICE
Before I poison your mind with my own propaganda, picture you're on vacation and you walk into a bar and want to order a beer. If you really want to understand the power of propaganda in your own life, really think of this before we break this all down. Really think, what makes you decide which beer to order? Do you like to look at the labels on the tap or bottle? That's obvious propaganda. It has absolutely nothing to do with the taste or quality of the beer itself, but sways your opinion toward logos you've seen before, which is why you see so many beer advertisements, which means that money that could've gone into quality is instead going into propaganda, and you're already biased towards an inferior product. Interesting. You really can't help being swayed by marketing, but at least you can be conscious of that fact, and that's important in order to be an informed consumer.
Do you ask the bartender for a recommendation? Why would you do that? You don't know the bartender any better than the beers in front of you. How do you know they aren't paid more to offer you a beer that sucks and is 12 years old and the owner wants to get rid of it? Do you ask for a certain style of beer? Do you ask for a local beer? And once you finally narrow it down to a few choices, do you ask for samples so you can make up your own mind? You should always do this. Then we get into "flavor propaganda", which we'll discuss later. Jeez. Did you every realize there was so much complexity behind being an informed consumer and just ordering a simple beer? Maybe you'll give in and just tell the bartender to pour whatever. Choice is difficult sometimes.
If you really visualize this and take a minute to let this sink in, you'll start to understand how external forces hijack the processor in your mind to manufacture desire through the illusion of choice. However, your health and enjoyment of the beer is not the goal for these external forces, they only want you to purchase. The perfect example is fast food. They know their product sucks, but they know you'll keep buying it, but that doesn't keep them from lying about how delicious it is in their ads. There is far more at play behind the curtain. There is a science behind addicting you to things, this is reinforced by a corporate tax and subsidy system that contorts the free market pushing centralization of production through homogenization and use of chemicals to hide the homogenization, and simply because there is more than one option, they make you feel like you have choice. This, in a nutshell, is how the illusion of choice works in the free market. It's not about what YOU want. The producer manipulates you to think you want what they have. Through this, they deceive Americans into buying products with a list of ingredients that a person would never freely choose to consume. So if you want to order a beer with no shit in it, then you're shit out of luck in America. You could in Germany, but we'll discuss that later.
While you're standing at that bar, you aren't conscious of the fact that your interests are in direct opposition to those of the bar owner's. Capitalists hide this fact with their perfect smiles, but Marx described this in detail. You want the best beer for the cheapest price, and the bar owner wants to sell you the cheapest beer at the highest price you'll pay. It doesn't stop there. The bar owner flips roles in the same situation with the beer distributor, who does the same with maybe another level of distribution, and continues to the brewer, then goes to the brewer versus supplier, supplier to farmer, and even though you'd think it stops there, the farmer has to deal with suppliers of equipment and seeds, and on and on.
Add to this list their auxiliary staff of HR, drivers, managers, brewers, bottle/keg makers, and of course owners, none of them care whether you actually like the beer you're drinking as long as you keep buying more. That's the big driver here.
Did you ever realize that every time you buy a beer, your own capital is partially responsible for creating and sustaining all of these jobs involved? You, my dear beer drinker, are the true job creator. Budweiser can brew all they want, it means nothing without buyers, who are the true engines of capitalism. Instead, you're treated as a rube by suits in a boardroom somewhere.
Capitalist Propaganda tells us the billionaires are job creators, but this is a lie. Jeff Bezos can't drink enough beer to sustain all these jobs. So why do we let him hoard all the money? Wouldn't the economy do better if we spread out Jeff's money so more people could buy more beers and more jobs would be created? According to Socialist Economics, yes. That's actually, quite simply, a Socialist Free Market. Did you even know that existed? The power hungry greedy people who are too lazy for manual labor go to such great lengths to make sure you don't learn it. They want you to think that only Capitalism allows you choice in the market. I'm sure you can guess why they say that.
Capitalism maintains itself by exulting the wealthy who use their economic power to punch down. The only way this system won't fall into fascism and fail is if the consumers start to punch back. Where Marx envisioned the Dictatorship of the Proletariat as they usurped power from the Bourgeoisie, a modern alternative is just teaching people to understand the system we live in, so that we can just start making changes in the way we live and to whom we give our money.
See that? Capitalism and Socialism can get along nicely, so long as the consumers are informed.
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CLASS CONSCIOUSNESS AND THE ALIENATION OF LABOR CAUSING LONELINESS IN SOCIETY
What I described within the previous section is what Marx called "Alienation of Labor". Each step in the process of making your beer is isolated from the others, so no one feels ownership over the end product or a true connection to the consumer, or job creator. Even the bartender selling it is alienated from the profit of their labor in serving the beer, so they only focus on the service aspect of giving you the beer, because that is where they earn their tip. They can't really fix anything about a shitty beer other than to offer you a different brand. The capitalist owner is usually not there. Their only interaction is setting the rules for everyone in the bar to follow, and pay themselves more than everyone who has to follow those rules. This is part of the conflict between the classes. I'm not saying it's right or wrong, I'm just pointing it out. The bar owner themself has to spend money on propaganda to attract customers that could be spent in other places, so has to find ways to cut costs. Unfortunately, they buy cheaper beer...and this is why you end up with IPAs. No one is connected to the products, so they only look at prices and find the cheapest, passable product. This is the race to the bottom of Capitalism.
Compare this to when brewpubs were a new thing. The brewer would come out and talk to you about the beer, you would give feedback that could effect future batches and it connected everyone to each other through commerce. It makes business "social" and I think nearly everyone enjoys that, but it is losing out in competition with chain breweries that enforce isolation and make cookie cutter propaganda and cookie cutter business models so they can turn owners into managers and suck all the profit back their corporate headquarters and offshore accounts. They kill the experience and make everything transactional. And all the kitsch they hang around their cookie cutter chain bar is just to hide the fact that no one in that place cares about anything other than not getting fired. Everyone is effectually alienated from everyone else. It's worth a read to check out this page on Marx's Theory of Alienation.
This alienation is the root of a lot of misery in society. Humans are communal animals forced to live in a society of individuality and alienation. As they mope around, they seek an escape. And that is why advertising is so nefarious. It seeks to manipulate you in that state. Imagine driving home from your alienating job to you empty home, but looking up and see a billboard with bunch of actors laughing and drinking beer. They take pictures that make these actors look like friends. It's just for show. They aren't selling beer to those laughing people in the picture. They're tempting lonely people to drown their sorrows. Capitalist Propaganda is used so your brain doesn't understand what it wants. It wants friends, then sees the words Bud Light. So when the bartenders asks...Make it a Bud Light. Look at how much money they spend to manipulate and capitalize on people's suffering.
Propaganda in Communist countries is controlled by the government, so it's clear who the enemy of your freedom is. Capitalist Propaganda hides behind the layers of complexity of the same economy you rely on to survive, so you never know what's propaganda or where it's coming from. Marketers find every way imaginable to get their disinformation in front of your eyes, even enlisting your friends on Facebook in annoying MLM schemes. Propaganda invaded everything that can be legally monetized. It's in the media, and not just commercials anymore. There's product placement, stories injected into the news, and even movies and social media created an entire industry of "lifestyle propaganda", telling you how to live your life and indulge in overconsumption. It's REALLY hard to get away from Capitalist Propaganda. There is so much money and research behind it and so much depth, even this long post is only barely scratching the surface. I just want to open your eyes to it.
I can't make you see all this. No one can. I can only describe it as best as I can. What you will experience when you understand this is what I call "Economic Enlightenment", similar to what Marx called "Class Consciousness". Once it happened to me, the world looked amazing, and the shitty propagandists selling us false hope all look like clowns in a very odd circus of vanity, despair and mediocrity.
Once I understood this, I saw clearly how we are increasingly trapped in a form of Corporate Slavery, led by seriously ridiculous oligarchs like Mark Zuckerberg, who thinks he's the reincarnation of Augustus Caesar or something. That's why he has that haircut! This is a guy who stole a company and hired "screen psychologists" from Las Vegas to get you hooked on Facebook the same as casinos do with slot machines. He wants to be the funnel for propaganda throughout the world. He wants to be the kingmaker, decide what people buy, who they like, what views they hold. He can only do this because so many companies spend so much money to put their propaganda on that platform. They can only have this much money because the free market is not actually free. It's bought and paid for on platforms like Facebook and Amazon. The money that was supposed to "trickle down" is instead being spent on Capitalist Propaganda on these platforms, to get the proletariate to trickle their money up through endless, nonsensical online purchasing and local businesses who send the town's money to people who can't do anything with it but buy up properties that increase your rent and cost of living.
When people get drunk on the power of propaganda, they forget the lessons of the past. Propagandists always fall prey to their own delusions over time. In reality, your life is better without Facebook. There isn't anything on there that is healthy. Even if you just want to talk to a few friends, you are going to fall for the propaganda there. You can't help it. And if your bar advertises on Facebook, just think, that money could've gone into purchasing higher quality beer then sold at the same price, instead of going to Mark Zuckerberg so he can drop $30 million to buy the houses around him so no one can spy on him while he spies on you. You really gotta watch out for a guy who combines spying and propaganda all into a single app and thinks he's going to bring 200 years of peace to America. History is littered with knuckleheads like that. It's best to get off Facebook and encourage everyone else to do the same. Zuck only wants to lead himself to the Promised Land, and he's using your ignorance to fuel his own delusions by deluding you into thinking you want what he has to offer.
Let's get back to beer.
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IPAs AND THE FREE MARKET VS THE RACE TO THE BOTTOM
I like beer. When I worked in Germany, it was easy to walk into a bar and, like Farva, just order a liter o' beer. Often, there would only be two choices, light color or dark. As a matter of fact, even at the most famous beer festival in the world, Oktoberfest, people mostly drink the same standard type of beer, and no one complains about the lack of choice. It's quite easy. You can order with one finger. No need to see a menu or ask what's in it. It's simply beer. This worked for centuries. Consumers are fine with it. Prost! Have you ever shared a story like this and people say, "Oh, that would never work in America. Americans want choice." Yeah. Because we are flooded with Capitalist Propaganda.
So if consumer choice isn't pushing for a selection, why would a free market call for it? Imagine there are two bars and one of those bars says "30 beers on tap" and the other doesn't. You're more likely to choose it, and the other bar will have to compete in some way, often by copying. This forms trends, and people mistake this for something customers wanted. Trends are always marketing. Don't believe me? What happened to fidget spinners? So now you have a bunch of beers that no one asked for, yet will now demand. Competition creates more Capitalist Propaganda to create demand for something you never even wanted, but makes you think you do. And that's the best propaganda. You think you are thinking for yourself. This is the fallacy of consumer choice.
If you want to understand just how important that last paragraph is, consider this, "consumer choice" is the same propaganda they used to get you to carry around a device that spies on you 24/7 and sends that data to people you don't know, and you can't stop it, can you? You chose that. You wanted it. Not only that, but you paid $1,000 for the device to opt into their spying program, for the privilege of being mind controlled by the propaganda their AI selects for you. Did you read the Terms of Service? As bad as you may have thought Communist Propaganda was, Capitalist Propaganda is far better, and far stealthier. You believe you have freedom of choice. But your only choice is usually take it, or leave it. Oh, you need it for work? Maybe find a different job. Or just succumb to mass surveillance, and next year, you can drop another grand on a device with a marginally better camera.
There is a way to free yourself. You just have to understand the nature of propaganda. It took me a while, but I eventually broke free. Under Socialism, there would be laws against the exploitation of consumers. Capitalist Propaganda tells you that this takes away your freedom. This is a lie. Regulations give you the freedom to not have to worry whether the beer you're drinking has poison in it.
Germany has a lot of regulations on beer. It has the Reinheitsgebot (purity order), a law passed in 1516 that states that beer can only consist of water, hops and barley. Note, this is a different use of the word "purity" from earlier, as beer is itself a mixture of things. Historically there have also been regulations where beer could only be sold regionally, so no matter what part of Germany you were in, you only got a certain brand of beer at the bar, but it didn't matter because they all had the same ingredients. They could make wheat beers or unfiltered, but they were generally variations of pilsners and lagers. One meaning of the word "Lager" in German is "storage", meaning the beer was brewed in a way that it could be stored, allowing them to brew in bigger batches and store it.
Lagers use a more complex brewing process, so only larger breweries would make them, but this worked because of protected territories. America has a similar system, because each state has its own regulations on alcohol, but this is changing as corporate lawyers fight to homogenize the rules favorable to them, but the consumer loses control. Big brands tend to be lagers as they have general appeal to a wide audience. Did you notice this is the second time I pointed out that corporations create homogeneity? Without regulations, corporations create Fascism. That is why I tell people that we already live in the NWO but corporations rule the world instead of governments. Why do you think so few conspiracy theorists make this connection? Propagandists are paid a lot of money to keep even our small community confused about the reality of what's happening. Now, check out conspiracy and you'll see what I mean. They are spreading propaganda for the NWO over there and don't even know it. I tried to point that out and they finally banned me. Oh well. They'll figure it out in their own time.
In America, in 1978 it became legal to brew beer at home. This is what led to the explosion of new beers in the US decades later. Americans don't have purity laws, so could test new recipes. But people didn't generally like IPAs before, so how did they become so popular that they control 30% of the market? Marketing, of course. Create the market and tell people what they want.
IPA stands for India Pale Ale. It was invented by the British as an easy way to make a beer that they could drink in India. People only drank it out of necessity, as the other beers couldn't make the trip. IPAs are very easy to make and very forgiving, because if you mess it up, it already tasted bad anyway. As people started trying to get into microbrews, they often didn't have the capital to make lagers at small scale, and also wanted a simpler process so they didn't have to hire or train expert brewers, IPAs are cheap and easy to make at smaller scale.
In order to make it drinkable, brewers experimented with many different flavorings. This created a cult following of craft IPAs, where people would drive hours to stand in line for hours to try the newest concoction. The trendy nature of the craft beer world kept people training their palate to adapt to the taste of an IPA, making people start to actually like them. The flavorings made people think they were different, so even if they didn't like it, marketing tactics kept people coming back to try the latest blend. Your palate can adapt A LOT. Swedish people love Surströmming, but watch this video of Americans trying it for the first time. They tried to get me to eat it several times, but I would rather sit in a sauna until Tuesday to avoid smelling it while watching them eat it. It really smells that bad.
IPAs enticed people with popular, aromatic ingredients like bananas and pineapple. This is what I call "flavor propaganda". It's not bad in and of itself, but it can be easily misused to cover issues with quality or hide the taste of preservatives. Since we don'e have laws like Germany, you're left to rely on the knowledge and honesty of the bartender to find out. They don't make this info readily available, which is another form of Disinformation.
So if you think you actually like IPAs, just remember, you are just like a Swede eating rotten fish. A lot of propaganda went in to making IPAs popular, but it's the cheapest, easiest product to make that can be sold at the highest price, so they become popular. This is what business students call a business plan. To overcome the bad taste, IPAs were marketed as "classy" to shame you if you choose the more expensive to produce and more appealing pilsners and lagers, which were given a bad name due to being associated with major brands like Bud Light. This makes it harder to market microbrew lagers, which can only fetch a certain price due to association. And this is what is referred to as the "race to the bottom" in Capitalism.
Instead of trying to innovate ways to produce the beers you want, they just figure out how to get you to pay more for an inferior product, just like they do with BBQ. They make you think you want it. From this you can understand why "food" is full of junk that you wouldn't feed your dog. Whatever legal poison helps cheapen the product is considered "smart business", another propaganda term designed to hide the reality of doing immoral and harmful things to other humans for profit. If you make money on it, it's good. As if there aren't better choices we could come up with if there truly were a free market with an informed consumer.
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STRENGTHEN THE FREE MARKET BY BEING AN INFORMED CONSUMER
We don't need a Communist Revolution to make positive changes, so take off your ski masks and put your Antifa flags down. I like microbrew culture and still enjoy IPAs, but understanding the marketplace is how I do my part as an informed consumer and job creator to help create the world that I want to live in. I encourage you to do the same. Vote with your dollars. Don't let the Zuck-type sociopathic, corporate people in a distant land decide what you consume by looking at ads on his platform. Visit local breweries and talk to the brewmaster. Don't reinforce alienation from labor. Connect with the people who make the things you buy. Support independent entrepreneurship. These are the paths to a brighter future where we share in the abundance of wealth.
Discover Economic Enlightenment for yourself and realize that We The People are ultimately in control. Wealth inequality is greater than it was in France before the French Revolution. Don't let this train take us into the depths where another Lenin will arise and spend the night shooting people.
How you choose to spend your money today is what decides what will become the society of tomorrow. And remember, you always have the choice to buy nothing at all. I never saw a billboard that said that.
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LET THEM DRINK BEER!
I hope this gave you a glimpse behind the curtain of Capitalist Propaganda. Propaganda isn't just political, it has invaded everything and it's at full blast right now. I hope you can piece together how Capitalist Propaganda is actually designed to make you subservient by controlling what you want so they can maximize their own profit and teach you to accept whatever they offer, the homogenization of choice. However, your life is your own and you should remain in control of all aspects of it, including your desires.
Richard Wolff is an economist who studied at three elite universities in America and discusses how he was not able to even learn about Socialist Economics in the ivory tower, even though Capitalist Propaganda calls universities leftist. He found no department in America that is even willing to teach it or study it. Capitalist Propaganda censors these ideas, especially at the university. People in power don't want the serfs to learn about themselves. Check him out on YouTube. You'll realize that unchecked Capitalism leads to Fascism and Slavery, which is why they want to get rid of the minimum wage, so that we can return to sharecropping which is already increasingly happening in America under different names, like "student debt", "mortgages" and "insurance". Don't you think it's odd that a person has to go into debt so they can generate profits for corporations who really ought to be paying for this education themselves? If you have to go into debt before they'll hire you, it's much easier to negotiate against you.
If you want to see other examples of propaganda, check out this random tweet from one of America's Top Capitalist Propagandists. These are very odd pictures, and the only thing I can see in them is that they must be promoting those outfits, likely the blue dress, maybe those men's outfits as well. One thing you know is that she didn't become a billionaire by letting any single opportunity to enrich herself at the expense of others pass her by. I didn't look it up, but I am certain they sell that blue dress, or whoever does paid her to post this.
That's the main reason celebrities use social media. It's marketing. Their whole schtick is to sell garments made in a sweatshop in a foreign country by people who can't even afford a beer to Americans who are facing bankruptcy and homelessness themselves.
Read the replies of the tweet. These people have influence that vastly outsizes their understanding of their impact on the world. There are guillotines in the comments. There usually are. I'm seeing them a lot lately.
This type of propaganda is everywhere. And it's destroying America. Just like propaganda led to the demise of Nazi Germany, we could be looking at the same thing, but worse. It could start off as famine.
If you're having trouble deciding between the beers you are being offered, it's probably because you don't want anything at all, in which case the proper choice is: nothing. Or, try tap water. Maybe you're just thirsty. Now ask yourself, when you envisioned yourself at a bar, did you ever think to order water instead? Did you entertain the idea that you didn't even want a beer. That's the power of suggestion.
What if the rest of the world just cut America off from the means of production outsourced to areas with cheap labor? We would have our own famine and likely war. And if we have a revolution here, with the masses in the country being so disinformed about everything and not having any sort of class consciousness at the moment and instead stuck in alienation, the leader that rises here will likely lead to something horrifying. And we censor ourselves from pointing out the simple fact, that the only way America will survive is to tax the deluded royalty like Kim and Mark back to reality, so they can't indulge their reckless, childish delusions by selling off the very fabric of our nation to the highest bidder.
That doesn't make me a Socialist, that just makes me honest.
Enjoy your beer!
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Thanks for reading and I hope I helped you understand how you can empower yourself. I'm excited about the one I wrote for Election Day tomorrow to keep our NOPOL spirits up while all the politics clouds the airwaves. Cheers!

Missed ya, boys. Let's go.
One of the most important things in a game to me in the places you atually go through. Platformer, shooter, visual novel, every genre should have some places that really pop and make you feel alive in them. Of course, I'll start with my own favorites:
Danganronpa V3 - Ultimate Academy for Gifted Juveniles: I've mentioned a few times that I much prefer Hope's Peak and Towa City in terms of how their atmosphere captures their game's story and the series in general the best, and I'm also not necessairly a fan of the muted color scheme the game has, either. However, in terms of pure content, this place wins by a mile. Particularly the Casino and the Love Hotel for how their colors are very bright, warming, and glamorous. The place really shines in the FTEs because of the characters and how they interact with the protagonists in their labs. Salmon Team is my personal hubworld for when I have nothing better to do and just want to relax.
Oddworld: Abe's Oddyssey - Rupture Farms: The world Abe has to go through is absolutely evil. Death at every corner, animals being hunted for food products. This is a place I would never want to live in, but I don't think I've seen a setting be implemented better in a story. I especially love the look of the outside world. It looks absolutely beautiful, especially during the night.
Sonic the Hedgehog 2 - Casino Night Zone: Ah yes, everyone's introduction to underage gambling. Fun. A common theme in my favorite stages is that they take place largely at night. This is because these night levels often have these bright colorful lightshows that make the place look like Las Vegas or Tokyo, which look absolutely gorgeous. This is a humble zone, but probably my favorite in the classic series for its strong level design, multiple ways to earn rings when you're not going to the goal, the way it's actually designed like a casino with its gimmicks, and of course, in typical Sonic fashion, the music.
Super Mario Oddyssey - New Donk City: Probably my most obvious choice if you've seen my Top 10 Favorite Games list, this was the first place I've been to in a game where I truly felt alive and immersed. After beating the stage's boss, the level becomes this urban utopia, full of things to do and things to explore. The city is jam-packed with sights to see, people to talk to, and the fanservice is through the roof, particularly with Pauline. Because Mario is invincible to fall damage, you can explore even the highest places of the city to your absolute will. And of course, best of all, the Jump Up Superstar sequence, which is one of my favorite moments of any game I have ever played.
Personal Favorite: Crash Bandicoot 4 - Off Beat: And here is my absolute favorite setting in any game I have ever played. This level is as close to perfection as you can possibly get for me. The night sky is breathtaking. The bright lights contrasting them, much like Casino Night, make this place pop out. The place is seemingly endless with activity, and there are creative enemies and locals seeping out of every angle. Many things you do in the level make you feel like a superhero when you do them right, espeiialy the ending grinding section. And of course, and I must stress this: THE MUSIC.

Even if the Legion were to win the Second Battle of Hoover Dam and conquer the Mojave Wasteland, they'd merely be buying themselves a little extra time and simply stall their inevitable demise. Note that the following analysis assumes that the Legion won the Second Battle of Hoover Dam and that the Courier died in Goodsprings.
To start off this analysis, let's begin with a run-down of the respective weapons, equipment and gear of the respective ranks of the NCR and the Legion going into the Second Battle of Hoover Dam. Beginning with the NCR garrison at Hoover Dam. The NCR Trooper comprises the core of the Republic's colossal armies and is the prime component of the NCR Army. A superb combination of volunteers and conscripts whose degrees of training, motivation, combat experience and access to equipment vary across the ranks, they're some of the most disciplined, most professional soldiers in all of the Wastes.
They're outfitted with modern military-grade ballistic vests that offer excellent protection against small arms fire, shrapnel and melee weapons alongside steel helmets. The NCR Army battalion that's stationed at Hoover Dam in particular is fully comprised of battle-hardened, fully-trained volunteer veteran NCR Troopers that are armed with 5.56 × .45mm NATO Marksman Carbines, 5mm Assault Rifles, 12-gauge Riot Shotguns and .308 Sniper Rifles to supplement their standard-issued 5.56 × .45mm NATO Service Rifles.
The NCR Patrol Ranger is one of the finest, most elite warriors in both the NCR military and the Wastelands, overall. Having survived a brutal training regimen that's so ludicrously difficult that 8-out-of-10 aspiring recruits wash-out, these purely volunteer harbingers of death have little to no equals in terms of skill, fighting prowess and strength.
They're outfitted with a suit of hand-made First-Generation Combat sporting a knife sheath, a hydration pouch and spiked spurs for unarmed combat that is impervious to any and all small arms fire, shrapnel and melee attacks. They're armed with 5.56 × .45mm NATO Marksman Carbines, .308 Sniper Rifles and .44 Magnum Trail Carbines.
The NCR Heavy Trooper is not only the elite heavy shock infantry of the NCR Army, but is also the proverbial sledgehammer through which the Republic may crush its enemies and obliterate all that may threaten its values.
Having earned their distinctive armor through immense sacrifice in blood, sweat and most of their young lives, they're the absolute best-trained, best-equipped, most battle-hardened, most professional, most skilled, most fanatically-devoted warriors in the whole of the NCR Armed Forces (rivaled only by the legendary NCR Veteran Rangers). Warriors that are more than willing to fight to their absolute last breath in defense of the Republic and all that it represents.
They're outfitted with NCR Salvaged Power Armor, suits of T-45d Power Armor that were captured from the Brotherhood of Steel during the Brotherhood War that have had their joint servomotors removed and their back-mounted power cylinders replaced with custom-built energy modules and built-in air-conditioning units so that Power Armor Training wouldn't be needed to wear them.
And while they're no longer legitimate suits of Power Armor in that they're no longer powered, they're still some of the absolute best and most protective suits of armor within the Republic's entire mammoth arsenal. Completely invulnerable to all but the most powerful conventional firearms, highly-advanced energy weapons, specialized ammunition and high-powered explosives, they can truly absorb Hellish amounts of punishment. They're armed with 5.56 × .45mm NATO Light Machine Guns, 5mm Miniguns, Heavy Incinerators, Flamers and Missile Launchers (albeit rarely).
The NCR Veteran Ranger is a living, breathing legend walking amongst the ruins and ashes of the Old World, drawing inspiration and hope from soldiers and citizens of the Republic as well as fear and terror from enemies and all those who dare to oppose the NCR.
Fabled for their unmatched fighting prowess, envied for their flawlessly unequalled marksmanship technique, feared for their unrivaled warfighting skills, awe-inspiring for their unsurpassed pugilist talent and legendary for their innate mastery over hardcore survivalist skills, the NCR Veteran Rangers are the absolute finest, best-trained, most battle-hardened, most professional, most skilled, most-elite and all-around most bad-ass warriors in not only the entire history of the Republic military, but also the whole of the Western Wastes, as well.
Centurions and Praetorian Guards of Caesar's Legion, Knights and Paladins of the Brotherhood of Steel and even the Republic's very own NCR Heavy Troopers have learned to shudder in terror and fear at the mere mention of the mythical phenoms of the Wastelands that are the NCR Veteran Rangers
These fabled guardian angels of the Republic are outfitted with the equally legendary Black Armor, a hyper-advanced suit of Third-Generation Combat Armor consisting of a highly-flexible vest of incredibly-rigid high-impact armored plating with adjustable straps on both the sides and the shoulders and a built-in throat protector that's mounted on the vest.
Combined with the state-of-the-art rounded-shell ballistic helmet sporting built-in lamps and infrared/visible light projectors as well as the complimentary highly-sophisticated armored mask with built-in low-light optics, an incorporated locking mechanism that joins the mask itself with the helmet shell, ear covers with built-in membranes that confer additional protection without inhibiting the wearer's hearing and built-in air filters, the mythical Black Armor is well-deserving of its stellar reputation.
As you can see, the NCR's forces are extremely heavily-armed, well-equipped and armed to the teeth with the absolute latest in top-of-the-line, high-powered firearms and state-of-the-art, highly-sophisticated energy weapons as well as superbly well-protected with an abundance of different varieties of military-grade body armors with varying degrees of effectiveness and even Salvaged Power Armor.
Now it's time for an evaluation of the Legion's weapons and technology. The Recruit Legionary is the primary foot soldier of Caesar's army and comprises the vast majority of the Legion's ranks. Trained and conditioned from before they could walk to become the perfect warriors, Recruit Legionaries are incredibly well-conditioned and in phenomenal physical shape, owing to a savagely intense training regimen that even the NCR Rangers would envy. Despite said conditioning, however, they're still the equivalent of literal cannon fodder with little-to-no actual skill in firearms usage and maintenance.
They're outfitted with a suit of makeshift featherweight armor that consists of sports equipment with bits and pieces of scrap metal atop a cloth tunic that's all lashed together with leather straps. An armor that's so weak that it couldn't even protect its wearer against the likes of a straight razor.
They're armed primarily with a "Machete" (what's really a lawnmower blade that's lashed to a stick) and "Throwing Spears" (what's really even bigger sticks with pieces of sharpened scrap metal fastened and jabbed into the tips), though they can rarely get their hands on firearms (albeit damn near broken ones) such as .357 Magnum Revolvers, .357 Magnum Cowboy Repeaters, 9mm Pistols, 20-gauge Single Shotguns, 20-gauge Caravan Shotguns, 5.56 × .45mm NATO Varmint Rifles and 10mm Pistols.
The Prime Legionary is the centerpiece of the Legion's fighting force and the core component of any Legion formation. Having survived 5 years in Caesar's forces, a remarkable accomplishment in and of itself, Prime Legionaries are no longer mere cannon fodder but are now the main frontline fighting force of the Legion. With the accompanying improvement in weapons and equipment as well as adequate firearms skills to make the promotion that much sweeter.
They're outfitted with the exact same armor as before, only with a slight improvement in protection. It still can't protect the wearer from shit, however. They're armed with the standard-issued "Machetes" and "Throwing Spears" though they also have much better access to more advanced weapons than before.
Melee weapons, such as Machete Gladius', Power Fists and Chainsaws, and firearms (of decent quality), such as 10mm SMGs, 12-gauge Sawn-Off Shotguns .44 Magnum Revolvers and .308 Hunting Rifles are all available to them in significant quantities.
The Veteran Legionary is the oldest, most experienced, most elite warrior within the lesser ranks of the Legion and is also the precise scalpel to the blunt, destructive warhammer of the Recruit and Prime Legionaries.
Having survived a full decade in Caesar's service, a monumental achievement in its own right, Veteran Legionaries are the elite rapid reaction force of the Legion that's tasked with neutralizing particularly tough adversaries that their lesser counterparts can't defeat and typically remain in reserve until otherwise needed for tipping the scales of a pivotal battle or campaign in the Legion's favor.
As they're the oldest Legionaries (a lot of whom have been with Caesar since day 1), they're also the most experienced, most capable Legionaries who are in their absolute prime in regards to martial prowess and physical resilience. They're second only to Centurions in terms of skill and experience, which is reflected in their improved access to superior weapons and equipment. They can also use and maintain firearms with frightening levels of efficiency.
They're outfitted with the same armor as before, though with even better protection. Still couldn't protect you from anything meaningful, though. They're armed with the usual standard kit in addition to melee weapons such as Fire Axes and Power Fists as well as firearms (of mint condition and with virtually unlimited access to) such as .44 Magnum Revolvers, .308 Hunting Rifles, 5.56 × .45mm NATO Marksman Carbines and 12.7mm SMGs.
The Decanus of the Legion is the lesser officer beneath the Centurion and is responsible for tactical small-unit operations and squad-level leadership. While not too different from ordinary Legionaries in terms of skill, equipment and even appearance, they still have slightly better access to weapons hence they deserve a separate segment.
Recruit Decanii can get access to 9mm SMGs and 10mm SMGs unlike Recruit Legionaries, Prime Decanii aren't any different from Prime Legionaries and Veteran Decanii can get access to 12.7mm Pistols unlike Veteran Legionaries (not a real improvement, I know). Everything else is exactly the same.
The Centurion is the absolute apex of the Legion's strength and the top field commanders of Caesar's armies, second in authority only to Legate Lanius and Caesar himself amongst a tiny select few of other superiors.
Having survived 15-20 years of a long, arduous life of fighting in Caesar's name (a completely unimaginable phenomenon, indeed) before finally earning the treasured armor of the Centurion (which they can decorate with the trophies of their fallen enemies at their leisure), Centurions are the absolute most elite, most skilled, most battle-hardened and ultimately the most dangerous warriors in the entirety of the Legion.
To even BEGIN to qualify for Centurion status, one must have fought in and survived numerous Legion campaigns as well as slain countless opponents in battle alongside the time requirement. All to ensure that only the finest of Caesar's warriors ever reach that level of authority in his Legion.
As the oldest, most experienced warriors in Caesar's army, the Centurions comprise the old guard of Caesar's army, most of them having served their lord since the very beginning. Their status all but ensures that they're reserved for only the absolute deadliest, most lethal of assignments that even Veteran Legionaries can't handle. They're ultimately only deployed if absolutely necessary.
In order to ensure that his Centurions can both accomplish their missions without even the slightest chance of failure and protect themselves without difficulty, Caesar has granted them unlimited access to the absolute finest weapons in his Legion's arsenal and has seen to it that they have acquired the absolute sharpest firearms skills that money can buy as a corresponding reward for their reaching Centurion status.
They're outfitted with Centurion armor which, while legendary amongst the Legion, really isn't that special. It's actually just Veteran Legionary armor with some cool decorations on it at the end of day.
Pieces of T-45d Power Armor on the right arm, the sleeve from a suit of NCR Ranger Patrol Armor and the pauldrons from an Armored Vault Suit on the left arm, the boots and shin guards from a suit of First-Generation Combat Armor on the lower legs, the crotch/thigh guards from a suit of NCR Ranger Patrol Armor on the upper legs, gloves from a suit of Leather Armor on the hands and a Super Mutant Brute chestplate on the torso, to be exact.
Realistically speaking, Centurion armor would be just about useless against virtually any weapon in the NCR's arsenal. Even a single 5.56 × .45mm NATO round fired from a basic Service Rifle would most certainly do the job, flawlessly.
They're armed with basic melee weapons such as Machete Gladius' and Chainsaws as well as high-tech melee weapons such as Thermic Lances (which are actually just repurposed metalworking tools) and Super Sledges in addition to powerful firearms such as .308 Hunting Rifles, 12-gauge Hunting Shotguns, 5.56 x .45mm NATO Marksman Carbines and even .50 BMG Anti-Materiel Rifles (albeit rarely).
Now we must now examine what will inevitably be a huge problem for the Legion even if they were to win the Second Battle of Hoover Dam. The Legion, even though it does in fact have access to some top-of-the-line weapons, only has them in an extremely limited capacity and strictly reserves them for only the highest-ranking, most elite Legion forces and field commanders.
The overwhelming bulk of the Legion's troops have little-to-no real firearms and what pitifully little that they can get their hands on are in extremely piss-poor condition. Not that it would matter, considering the fact that they don't have the proper training that's necessary to actually use them, much less maintain them.
The vast majority of Caesar's troops rely almost entirely on primitive makeshift melee weapons and their own martial prowess to fight their battles, which inevitably means that the Legion has to avoid direct engagement with NCR forces, instead relying on subterfuge and guerilla warfare to combat the Republic.
And it gets even worse for the Legion when one considers that the higher that its troops advance up the totem pole, the fewer Legionaries that it finds at the higher levels. A direct consequence of the Legion's overprioritization of quality and individual skill in combat is that it inevitably results in an extremely small cadre of elite warriors and field commanders surrounded by a sea of lesser soldiers and officers.
Combined with the fact that the Legion is only 34 years-old by the events of F:NV (meaning that even if one were to ignore things like inevitable attrition all throughout the Legion's war-filled history of expansion and conquest, they still wouldn't have that many Veteran Legionaries/Decanii and Centurions) as well as the fact that attrition over the years must be taken into account (the First Battle of Hoover Dam and the Legion's invasion of Colorado alone absolutely devastated their elite ranks), it's only obvious that the Legion's elite forces are relatively puny.
Furthermore, we know for a fact that there's enough Veteran Legionaries/Decanii for them to form a few of their own exclusive Centuria (a Century is 80-men-strong, I might add), with the Red Okie Centuria being a prime example of this. This definitely suggests that the Legion has at least a couple hundred Veteran Legionaries/Decanii at its disposal. As for Centurions, it's a little known fact that they're so incredibly rare in the Legion that they're actually explicitly ordered to not enter combat until absolutely necessary (i.e self-defense or if they're ordered into battle by a superior).
This, along with the fact that they're never really seen in any meaningful numbers in-game until the Second Battle of Hoover Dam, strongly suggests that there might only be at most several dozen Centurions in the whole of the Legion (there definitely wouldn't be over 100 of them). Either way, however, the Legion's elite forces are so pathetically tiny that they couldn't possibly justify the Legion having any meaningful amount of high-end weaponry.
The NCR, on other hand, doesn't have these problems as 1. the NCR prioritizes protection and firepower above all else for their forces and 2. even their most basic troops have exclusive access to essentially unlimited supplies of all manner of firearms and explosives as well as highly superb protection in the form of military-grade body armor.
Meaning that the NCR not only has a hopelessly insurmountable edge in firepower, technology and protection over the Legion, but that soldiers of the NCR also have a far higher life expectancy than their Legion counterparts, as well. All but ensuring that the NCR has a vastly higher volume of surviving battle-hardened combat veterans relative to the Legion that enables for the Republic to easily distribute extremely invaluable, ultimately irreplaceable combat experience and lessons learned in battle across the entirety of their military to a far greater extent than the Legion.
Scores of battle-hardened NCR Troopers that distinguish themselves on the battlefield go on to enlist with the NCR Rangers upon receiving an invitation to do so (fun fact: the vast majority of NCR Ranger recruits and even NCR Rangers themselves are/were NCR Troopers who earned their new status while serving in the NCR Army), earn the coveted Salvaged Power Armor and become NCR Heavy Troopers or earn promotions to positions of authority in the NCR Army (prime examples being Colonel Cassandra Moore and Colonel James Hsu). All of the above information will have colossal long-term consequences for the Legion, at the end of the day.
With that out of the way, let's move on to the main argument itself. The most positive estimates of the Legion's total numbers and military strength would be at best 5,000-8,000 troops. Then we must take into account the fact that the Legion is going to suffer massive losses (easily numbering into the thousands) taking Hoover Dam from the NCR as the NCR garrison here is extremely well-defended, well-supplied and heavily-fortified by both an entire battalion of elite, battle-hardened NCR Troopers and God only knows how many NCR Patrol Rangers, NCR Heavy Troopers and NCR Veteran Rangers.
Combined with the fact that General Oliver's Compound is extremely well-defended with force fields, a turret system, NCR Veteran Rangers, NCR Heavy Troopers, elite NCR Troopers and an absolute labyrinth that's filled to the brim with all manner of booby traps ranging from rigged shotguns, bear traps and mines of all types to grenade bouquets and overhanging objects (and given that you see a pile of fresh Legionary and Centurion corpses at your feet whenever you enter the Compound during the "Veni, Vidi, Vici" quest it's more than safe to assume that Legion casualties will be extremely massive just securing this area alone), this only serves to bolster my claim that thousands of the Legion's troops will perish at Hoover Dam even if they were to take it.
With only a mere fraction of their original number (that 5,000-8,000 will have been massively depleted after the Second Battle of Hoover Dam), now the Legion has to set out and secure the rest of the Mojave Wasteland, which will prove to be completely impossible over time. The Legion will find next to no tribes to assimilate as they exterminate the Powder Gangers, Fiends, Vipers, Jackals and the Kings in all of their endings.
And while the Legion still has the Great Khans and the Boomers, they won't help much. The Great Khans are down to little more than a pitiful rag-tag band of holdouts after both their ass-whipping at the hands of Mr. House and their decimation at Bitter Springs by the NCR. A fact that only gets worse when we subtract the women and female children (breeding stock), the elderly, the sick and the disabled (killed off immediately) as well as mention the fact that the Frumentarius Karl does say in his journal that the Legion would have to decimate most of the tribe, anyways. Meaning that the Legion will at most get a couple paltry handful of warriors from them.
As for the Boomers (assuming that the "Volare!" quest isn't completed) will prove to be more than a huge cost than a real benefit to the Legion. The Boomers' artillery alone would kill hundreds, if not thousands, of Legionaries with the Boomers themselves, armed to the teeth with Missile Launchers, Fat Mans, Grenade Machine Guns, Grenade Launchers, Grenade Rifles, 5.56 x 45mm. Marksman Carbines and 5mm Assault Carbines in addition to Mr. Gutsy combat robots and Sentry Bots, killing hundreds and even thousands more before the Legion finally conquer them.
Also consider that the Boomers, who worship their artillery and weapons with a near religious reverence, will by no means let their weapons fall into the hands of savages. Thus we could easily see them sabotaging their artillery (how hard would it be to load an artillery shell and lob a frag grenade down the barrel, after all?; and given that the Boomers only have 3-4 artillery pieces it wouldn't take long to do) and munitions stockpiles (just a few bricks of C4 could easily destroy all of the Boomers' weapons and ammunition supplies) to keep them out of Legion hands, which only adds insult to injury.
Even worse for the Legion is that when we subtract those Boomers that died in battle (most likely all of the adult males), the women and female children, the elderly, sick and disabled the Legion will have only a handful of male children to their name (remember that the Boomers are a really puny tribe that depend entirely on their firepower to survive) which means that they will have achieved nothing despite their massive losses incurred from conquering Nellis Air Force Base.
Then we also consider the fact that the Legion doesn't enslave civilized communities or Independent Towns unless under extraordinary circumstances (as evidenced by Siri over at the Fort who hailed from an Independent Town in New Mexico and was a medical student there prior to its destruction by the Legion).
Of course, it wouldn't matter as even if they did, the entire New Vegas area is completely evacuated by the NCR in the event of a Legion victory at Hoover Dam as evidenced by Arcade Gannon's Legion ending where he's convinced to remain in Freeside (all of Freeside, North Vegas, Westside, East Vegas and the Strip, which is really just a resort for NCR tourists rather than an actual community, are evacuated with those few that don't make it out, Arcade included, being killed by the Legion).
And when we consider that Nelson was butchered, Camp Searchlight irradiated and Nipton destroyed by the Legion with Goodsprings being left alone and Primm just falling under Legion authority (no point in enslaving the town anyways considering how it's just one big retirement home alongside Goodsprings which is also evacuated by all save a few old, stubborn folks) then it's blatantly clear that the Legion will have very few civilized people left to enslave.
With an even smaller fraction of survivors thanks to their conquest of Nellis AFB (in addition to hundreds more casualties against the Mojave Chapter of the Brotherhood of Steel, the Kings and what's left of House's Securitron police force and the Chairmen) the Legion will soon realize its folly and discover that both holding the Mojave Wasteland and continuing their advance West is literally impossible.
The Legion's logistical situation and acquisition of supplies will soon prove to be an insurmountable nightmare within mere weeks of their occupation of the Mojave. The loss of Nipton, Camp Searchlight and Nelson will serve to severely hamstring the Legion's logistics with the eventual deaths of New Vegas, Primm and Goodsprings only complicating the Legion's supply lines even further.
As 99% of the Strip's revenue comes from NCR tourists and soldiers on leave and given how the Legion will most likely tear down the casinos and ban whores, booze, chems and gambling under Caesar's law, the Strip will eventually shrivel up and die due to loss of revenue. North Vegas, East Vegas, Westside, Freeside, Primm and Goodsprings, which are entirely dependent on Republic trade and commerce for survival, will eventually suffer the same fate as NCR trade and business abandon the region out of both fear and hatred for the Legion.
Especially after the Legion's successful assassination of President Kimball which will see him martyred and ensure that the NCR will cut off all ties to the fallen Mojave Wasteland. With all of the Mojave's communities and towns dying off, the Legion's supply lines will crumble and face imminent collapse within only a few months time (Hoover Dam isn't a viable supply route as while it does allow the Legion to cross the Colorado River in force it's just too far to provide adequate, long-term support) which will only serve to doom the Legion's occupation of the Mojave Wasteland.
We must also take into account that the Legion will need every last man, Denarius and resource at its disposal if it so much as hopes to hold the region and continue the advance West. Which will force Caesar to relinquish the Legion's entire empire East of the Colorado in order to do so. In Legate Lanius’ own words, the Legion's expansion campaigns in the East have been faltering badly as Caesar's obsession with Hoover Dam, New Vegas and the West has seen the Legion's full strength syphoned off towards Hoover Dam as part of Caesar's plan to overrun Hoover Dam, conquer New Vegas and eventually invade the West.
Imagine the Hell that the Legion will have trying to secure the Mojave Wasteland, which will prove to be so bad that the Legion heartlands will have to be left defenseless, lawless and chaotic just to even begin to make such an ambitious feat even remotely feasible. Some would probably argue that Caesar would surely never abandon the East just for the tiniest, southernmost tip of Nevada and just one little city but I'd advise you to reconsider.
Caesar explicitly states that while the Legion does have their own cities back East, NONE OF THEM are ANYTHING like New Vegas. Why is that such a big deal, one might ask? It's simple, really. While the Mojave Wasteland was relatively untouched by the nuclear holocaust that was the Great War, thanks to the quick and decisive actions of Robert Edwin House, New Vegas is at best a total dump and at worst an absolute shithole.
Filled to the brim with disease, essentially overrun with Raiders, bandits and common criminals of all stripes, absolutely crushed beneath the iron heel of a colossal drug-addiction crisis, bursting at the seams with abject misery and poverty and rampant with starvation, New Vegas is without a doubt little more than a massive dumpster fire.
Things are so bad in that cursed place that you actually have children chasing rats in the streets just to survive, locals constantly complaining about hunger pains and withdrawals and scum ranging from the Fiends to random little hooligan punks constantly ransacking the place.
Westside, the South Vegas ruins, East Vegas, North Vegas and Freeside are all Hellish nightmares that are almost completely hopeless causes, at the end of the day. Even if one takes into account the diamond in the rock, the New Vegas Strip, you still wouldn't find many reasons to be impressed.
What you have is a tiny wealthy resort community that still looks like a dump (though it's still a major improvement from the rest of New Vegas), has highly dilapidated infrastructure (the Tops Casino still has a giant hole on the side of the building) and is surrounded by a wall that's held together with spit, grit and a whole lotta' duct tape.
And while the Strip is safe, orderly and prosperous by the standards of the Mojave Wasteland (a very shit standard, I might add), it's ultimately a very terrible place by the standards of the rest of the post-apocalyptic world (i.e. NCR territory and lands under Legion control). If Legion cities can't even match the standards of that shithole, what does that say about Caesar's willingness to hold them? Especially in light of what he'd be gaining in return?
Furthermore, Caesar often tends to view himself as a mere barbaric king of the Gauls, with his Legion being nothing but one big nomadic tribe of savages without a true home or purpose in his eyes, which is extremely depressing. Caesar sees New Vegas as a true city, a true capital, a true home for both himself and his Legion, a true Rome that he can rule over and could preside over a true empire in. And the West as that very true empire that he so desperately relishes.
Do you honestly believe that Caesar wouldn't trade his current empire (which he clearly holds in very low esteem and almost regrets ever conquering it) for his new Rome and a stepping stone towards eventually conquering his new Roman Empire (the stepping stone being the Mojave Wasteland)? He'd trade the whole of the East for New Vegas and the Mojave Wasteland in a heartbeat and in doing so will seal the Legion's fate and imminent doom.
With the Legion having completely relinquished the East (and therefore cutting themselves off from their resource base, source of revenue/income and escape route, in the process) their supply lines and logistical network in chaos and having absolutely no source of replenishment and reinforcements for their ranks, the Legion will slowly but surely disintegrate, trapped in a permanent holding pattern in the Mojave that'll bleed them dry and drain them of all their resources.
The NCR, meanwhile, will have simply dug in at the Mojave Outpost and fortified their defenses there. They'd have most certainly brought in the 3 VB-02 Vertibirds (which are armed with Gatling Lasers, Missile Launcher racks and Mini Nuke Launchers and outfitted with heavy armor) that were conducting combat air patrols of the NCR military base just a few miles away from the Mojave Outpost.
Far from stopping there, however, Colonel Royez (who's outfitted with the Scorched Sierra Power Armor which is a fully-operational suit of heavily-modified T-45d Power Armor upgraded with onboard medical systems capable of healing any injury and an improved back-mounted power pack from a suit of T-51b Power Armor that will be capable of resisting nearly all of the Legion's weapons and armed with a Plasma Caster chock full of overcharged Microfusion Cells so incredibly strong that it can kill a lvl. 50 Courier in Power Armor with just 2-3 hits!) and his men (NCR Heavy Troopers armed to the teeth with Gatling Lasers, Plasma Casters and Tesla Cannons as well as NCR Troopers armed with Tri-Beam Laser Rifles, Multiplas Rifles, Laser Rifles and Plasma Rifles) will also redeployed there from the same military camp, as well.
Republic artillery pieces can also be deployed there to help bolster the outpost's defenses, as well. A massive network of bunkers, pillboxes and trenches all along the hill below the outpost as well as machine gun nests, sniper nests, minefields and razorwire can also be established to further enhance the impregnable defensive perimeter of the new frontline. Once all of this is done, the NCR will then proceed to flood the outpost with tens of thousands of NCR Troopers, NCR Heavy Troopers, NCR Veteran Rangers
And when coupled with the fact that the Mojave Outpost is atop a high hill, is flanked by mountain ranges on both sides (which will completely prevent the Legion from attacking its flanks and rear), is right on the border with fully-controlled Republic territory (which will make it impossibly easy to keep well-supplied and will also ensure that Republic reinforcements are plentiful and easily available) and the fact that one could see everything up to Primm and Nipton from the Mojave Outpost (that particular area is also wide-open, completely exposed and lacks any real cover which means that any Legion force of any meaningful size would be spotted from miles away day or night which in turn will prevent Legion surprise attacks), the Mojave Outpost will truly become a 100% impregnable fortress.
To make things even worse for the Legion, there's absolutely no bypassing the Mojave Outpost either as the only areas that can allow such a short cut around the Long 15 are completely and literally impassable. The Big Empty is often described as a wall to any living thing approaching it, the Divide is little more than a death trap and is completely avoided by the Legion for obvious reasons and Death Valley is so inhospitable that even the NCR, with its fleet of military cargo trucks and Vertibirds, flat out avoids that area out of habit.
Any army stupid enough to try and cross through these areas will not return alive under any circumstances. Which in turn ensures that only through the Long 15 can the Legion hope to invade the West and given that the Mojave Outpost is purely impenetrable and that the Mojave Wasteland is completely entrapped with mountains and the Colorado River, the Legion will be completely trapped in the Mojave Wasteland and will never be freed from their holding pattern there.
The NCR simply bides its time and let's the Legion wear itself out and tear itself apart trying to hold the Mojave Wasteland, occasionally fending off Legion assaults on the Mojave Outpost whilst inflicting heavy losses on the Legion, launching several limited-scale offensives here and there so as to deplete the Legion's ranks even further and deploying NCR Veteran Rangers into the Mojave Wasteland so as to ambush Legion supply caravans and patrols to worsen the Legion's logistical nightmare.
After almost a year, the Legion will finally be vulnerable, it's forces stretched absolutely thin down to their absolute breaking point, their supply lines and logistics completely exhausted and expended alongside their supplies as a whole, the Legion's ranks reduced to little more than a tiny skeleton crew, the Legion completely scattered across the entire Mojave Wasteland unable to guard it or defend it any longer and the Colorado River at its back, with absolutely no way of escaping their inevitable demise.
At this moment, the NCR finally attacks with a full-scale assault across the entirety of the Mojave, completely and utterly destroying the Legion in its entirety and killing/capturing Caesar himself as Republic forces swarm across New Vegas and wipe out his Legion all around him within mere hours, days if the Legion is lucky. And so the NCR-Legion War finally draws to a close, with the back of the Legion broken forever and ceasing to exist.
Either way the Legion is fucked with a Legion defeat at the Second Battle of Hoover Dam being a mercy killing at best for the Legion.
(Sources are down below in the comments section).

Pre Market Brief for Wednesday August 19th 2020

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Stock Futures:

• Pre-Market Trading
• Stock futures open flat after S&P 500's record close
• Asia Pacific stocks mixed; Japan’s exports in July slide on-year
• European markets set to open slightly higher after record highs on Wall Street

Tuesday 08/18/2020 News and Markets Recap:

• Your Pre Market Brief for 08/18/2020
• Market Recap

Wednesday August 19th 2020 Economic Calendar (All times are Eastern)

• 07:00 AM MBA 30-Year Mortgage Rate 14/AUG
• 07:00 AM MBA Mortgage Applications 14/AUG
• 10:30 AM EIA Crude Oil Stocks Change 14/AUG
• 10:30 AM EIA Gasoline Stocks Change 14/AUG
• 10:30 AM EIA Distillate Stocks Change 14/AUG
• 10:30 AM EIA Cushing Crude Oil Stocks Change 14/AUG
• 10:30 AM EIA Refinery Crude Runs Change 14/AUG
• 10:30 AM EIA Heating Oil Stocks Change 14/AUG
• 10:30 AM EIA Distillate Fuel Production Change 14/AUG
• 10:30 AM EIA Gasoline Production Change 14/AUG
• 10:30 AM EIA Crude Oil Imports Change 14/AUG
• 01:00 PM 20-Year Bond Auction
• 02:00 PM FOMC Minutes

News Heading into Wednesday August 19th 2020
NOTE: PLEASE DO NOT YOLO THE VARIOUS TICKERS WITHOUT DOING RESEARCH. THE TIME STAMPS ON THE FOLLOWING ARTICLES MAY BE LATER THAN OTHERS ON THE WEB. THE CREATOR OF THIS THREAD COMPILED THE FOLLOWING IN A QUICK MANNER AND DOES NOT ATTEST TO THE VERACITY OF THE INFORMATION BELOW. YOU ARE RESPONSIBLE FOR VETTING YOUR OWN SOURCES AND DOING YOUR OWN DD.

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• QHRC Quest Resource Holding to Present Virtually and Host 1x1 Investor Meetings at the 11th Annual Midwest Ideas Investor Conference on August 26th & 27th
• REV C Citi Resigns Role on Brigade CLO Deal Amid Escalating Loan Feud
• REV C Citigroup wins freeze on funds mistakenly sent to Revlon creditors
• RDFN Late-Summer Housing Market is Unseasonably Hot, Prices Up 10% and Pending Sales Up 13%
• RPAI Retail Properties Of America Prices $400.0 Million Offering Of Senior Unsecured Notes
• SRNE Sorrento Therapeutics -10.4% after CFO's ouster
• STAR iStar Pricing $400 Million of Senior Unsecured Notes
• CWT California Water Service Group Honored as Silver Stevie® Award Winner for COVID-19 Employer Response
• JNPR Archdiocese of Brisbane Selects Juniper Networks to Provide AI-Driven Wi-Fi Solutions Across Its Operations
• ROP Roper Technologies Prices Public Offering Of $300 Million Senior Unsecured Notes Due 2022, $700 Million Senior Unsecured Notes Due 2025, $700 Million Senior Unsecured Notes Due 2027 And $1 Billion Senior Unsecured Notes Due 2031
• TTEK Tetra Tech Wins $29.7 Million USAID Renewable Energy Contract
• SPKE Spark Energy Announces Class A Common Stock Share Buyback Program
• DMYD dMY Technology Group II Announces Closing of Underwriters’ Over-Allotment Option in Connection with its Initial Public Offering
• GVA Granite Inliner receives C$12M sewer maintenance project in Canada
• BPYU Brookfield Property REIT Inc. Announces Final Results of Tender Offer
• KKR KKR prices $750M senior notes
• GSIT GSI Technology to Participate in the LD 500 Virtual Conference on September 3, 2020
• ADI Analog Devices Appoints Dr. Laurie H. Glimcher to Board of Directors
• DNB Dun and Bradstreet adds Jackson to expanded board
• STNG Scorpio Tankers Announces Purchase of Common Shares by Scorpio Services Holding
• MDC Richmond American Debuts New Models at Popular Folsom Masterplan
• HAL Halliburton wins contact to bring cloud-based tech to Thailand offshore rigs
• FLUX Flux Power Announces Closing of $12.4 Million Underwritten Public Offering Including Full Exercise of Over-Allotment Option
• FISV Fiserv Announces Pricing of Secondary Offering of Common Stock by New Omaha Holdings
• EBC Eastern Bank Announces Commencement of Stock Offering
• RRR Station Casinos offers "Cashless Gaming" with "PlayOn" at Las Vegas Properties
• ICMB Investcorp Credit Management BDC Schedules Earnings Release of Fourth Quarter Ended June 30, 2020
• GLDD US Department of Defense awards new contracts to GLDD
• SWN Southwestern Energy prices senior notes offering
• ORCC Mindbody, Software Maker for Gyms, Slapped With Higher Loan Cost
• CALB California Bank of Commerce Adds Veteran Bankers to Growing Team
• AMZN Amazon pushes sellers to meet two-day delivery guarantees so more people can get Prime-eligible products
• SSP Triton Digital Releases Webcast Metrics Rankings for the Top Digital Audio Properties for June 2020
• MJCO Majesco Taps into the Minds of ’s Most Influential Industry Leaders Shaping the Future of Insurance
• RRC Range Announces Pricing of Upsized $300 Million Offering of Additional 9.250% Senior Notes Due 2026 and Amends Terms of Tender Offers
• IRTC iRhythm Technologies launches equity offering
• ALBO Albireo Reports Topline Results from Phase 2 Trial of Elobixibat in NAFLD/NASH
• CXO Concho Resources Publishes Inaugural 2020 Sustainability Report
• PSN Parsons completes requirements for operations at SWPF
• LE Lands' End works out deal for more financial breathing room
• SABR Sabre falls after $250M convertible, common stock offerings
• HDS HD Supply Holdings Announces Fiscal 2020 Second-Quarter Earnings Release Date and Conference Call
• HHC The Howard Hughes® Announces Closing Of An Offering Of $750,000,000 Senior Notes Due 2028
• GASS STEALTHGAS Announces the Date for the Release of the Second Quarter and Six Months 2020 Financial and Operating Results, Conference Call and Webcast
• AFG American Financial Group Increases Annual Common Stock Dividend by 11%; Fifteenth Consecutive Year of Dividend Increases
• RXT Onica Introduces Contact Center Intelligence Solution Built on Amazon Web Services
• MRCY Mercury Systems awarded patent for cyberattack protection technology
• PRTS Announces Closing of Public Offering of Common Stock and Full Exercise of the Underwriters' Over-Allotment Option
• PLV Permianville Royalty Trust Announces Monthly Operational Update
• WM Waste Management Announces Cash Dividend
• EYEN Eyenovia under pressure on planned equity offering
• JKHY Jack Henry and Associates falls 6% after earnings report, downside EPS forecast
• MASI New Studies Investigate the Accuracy of Noninvasive, Continuous Hemoglobin Monitoring with Masimo SpHb® on Neonates

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COVID-19 Stats and News:

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• Universities begin U-turns as campus life brings outbreaks
• Coronavirus gut check: How small businesses are surviving
• Treasury yields hold steady as investors monitor stimulus deal

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