NEW YORK (TheStreet) --With Halloween weekend upon us, consumers are projected to spend $3 billion on costumes alone and a total of $8.4 billion on items for the holiday overall, according to data from the National Retail Federation.
One company capitalizing on Halloween is Party City. (PRTY) - Get ReportOf Party City's total yearly revenue about 20% stems from Halloween. This year, Party City has opened up 275 pop-up stores called "Halloween City" and has hired an additional 35,000 temporary employees in preparation.
"Halloween for us represents almost 25% of our total retail revenues and about 20% of our total revenues," Party City CEO James Harrison said during Friday morning's "Squawk Box" on CNBC.
However, the competition has remapped up. Many consumers now opt to shop at e-commerce outlets like Amazon.com (AMZN) for Halloween.
"Amazon is a competitor during Halloween no doubt about it, but [what] we do at Party City is we take something thematically and really blow it out with multiple options," Harrison noted.
He explained that Party City gives consumers the unique experience of taking costumes to the next level. "We give you the opportunity to be much more creative," Harrison said.
It does this by offering a myriad of accessories, and separate items to enhance the originality of consumer's costumes.
Separately, TheStreet Ratings rates PARTY CITY HOLDCO INC as a Hold with a ratings score of C. The primary factors that have impacted TheStreet Ratings rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.
The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth and good cash flow from operations. However, as a counter to these strengths, TheStreet Ratings finds that the company has favored debt over equity in the management of its balance sheet."
TheStreet Ratings objectively rated this stock according to its risk-adjusted total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
You can view the full analysis from the report here: PRTY