Mattel (NASDAQ:MAT) Shares Gap Up – Here’s Why

Mattel, Inc. (NASDAQ:MAT)’s share price gapped up prior to trading on Wednesday. The stock had previously closed at $15.93, but opened at $16.42. Mattel shares last traded at $16.1570, with a volume of 1,852,696 shares trading hands.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Odeon Capital Group initiated coverage on Mattel in a research note on Thursday, July 16th. They set a “buy” rating on the stock. Argus reissued a “buy” rating and issued a $22.00 price objective on shares of Mattel in a research note on Tuesday, August 25th. Weiss Ratings cut Mattel from a “hold (c-)” rating to a “sell (d+)” rating in a report on Tuesday, August 11th. Citigroup lowered their price target on shares of Mattel from $16.00 to $15.00 and set a “neutral” rating for the company in a report on Friday, July 10th. Finally, Roth Capital decreased their target price on Mattel from $16.00 to $15.00 and set a “neutral” rating for the company in a research note on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, five have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $17.80.

Mattel Stock Up 2.4%

The stock has a fifty day moving average of $14.39 and a 200 day moving average of $14.44. The company has a debt-to-equity ratio of 1.17, a current ratio of 1.90 and a quick ratio of 1.26. The firm has a market capitalization of $4.66 billion, a P/E ratio of 11.99, a price-to-earnings-growth ratio of 1.76 and a beta of 0.70.

Mattel (NASDAQ:MAT) last announced its quarterly earnings data on Tuesday, August 4th. The company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.03). Mattel had a net margin of 7.79% and a return on equity of 16.20%. The business had revenue of $1.13 billion during the quarter, compared to the consensus estimate of $1.10 billion. During the same quarter last year, the company earned $0.19 EPS. The firm’s revenue for the quarter was up 10.5% compared to the same quarter last year. Mattel has set its FY 2026 guidance at 1.270-1.390 EPS. On average, research analysts anticipate that Mattel, Inc. will post 1.31 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Roberto Isaias sold 39,083 shares of the stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $15.02, for a total transaction of $587,026.66. Following the completion of the transaction, the executive vice president owned 144,390 shares in the company, valued at approximately $2,168,737.80. This represents a 21.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 1.90% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Entropy Technologies LP increased its position in Mattel by 1.7% during the first quarter. Entropy Technologies LP now owns 74,291 shares of the company’s stock valued at $1,079,000 after acquiring an additional 1,265 shares during the last quarter. State of Michigan Retirement System grew its stake in shares of Mattel by 1.9% during the 1st quarter. State of Michigan Retirement System now owns 74,833 shares of the company’s stock valued at $1,087,000 after purchasing an additional 1,400 shares during the period. SJS Investment Consulting Inc. increased its position in shares of Mattel by 2,959.6% during the 1st quarter. SJS Investment Consulting Inc. now owns 1,744 shares of the company’s stock valued at $25,000 after purchasing an additional 1,687 shares during the last quarter. Oregon Public Employees Retirement Fund increased its position in shares of Mattel by 3.2% during the 1st quarter. Oregon Public Employees Retirement Fund now owns 63,758 shares of the company’s stock valued at $926,000 after purchasing an additional 2,000 shares during the last quarter. Finally, Integrated Wealth Concepts LLC bought a new position in shares of Mattel in the 2nd quarter worth approximately $37,000. 97.15% of the stock is currently owned by hedge funds and other institutional investors.

About Mattel

Mattel, Inc (NASDAQ:MAT) is a global toy and entertainment company that designs, manufactures and markets a broad portfolio of toys, games and related consumer products. Its brands include Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, Matchbox, UNO, MEGA, Masters of the Universe and Magic 8 Ball.

The company develops products across categories such as dolls, vehicles, preschool toys, building sets, games and outdoor play. Mattel also extends its brands through entertainment content, digital gaming, consumer products, live experiences and licensing partnerships.

Founded in 1945, Mattel serves consumers in markets around the world through retail, e-commerce and other distribution channels.