Is JAKKS Pacific, Inc. overvalued or undervalued?

As of 14 November 2025, the valuation grade for JAKKS Pacific, Inc. has moved from attractive to very expensive, indicating a shift towards overvaluation. The company appears to be overvalued based on its P/E ratio of 5, which is significantly lower than the industry average, and an EV to EBITDA ratio of 2.85, which also suggests a premium compared to peers. Additionally, the PEG ratio stands at 0.36, further highlighting a potential overvaluation relative to growth expectations.
In comparison to its peers, Malibu Boats, Inc. has a P/E ratio of 41.72, and Sturm, Ruger & Co., Inc. shows a P/E of 141.55, both indicating that JAKKS Pacific is trading at a much lower valuation multiple. The recent stock performance against the S&P 500 is not available, but the significant disparity in valuation ratios reinforces the notion that JAKKS Pacific is overvalued in the current market landscape.