Critical Review: Mattel (NASDAQ:MAT) & Parks! America (OTCMKTS:PRKA)

Mattel (NASDAQ:MAT) and Parks! America (OTCMKTS:PRKA) are both consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, profitability, valuation and analyst recommendations.

Earnings & Valuation

This table compares Mattel and Parks! America”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mattel	$5.35 billion	0.80	$397.58 million	$1.36	11.05
Parks! America	N/A	N/A	N/A	$0.00	30,483.24

Mattel has higher revenue and earnings than Parks! America. Mattel is trading at a lower price-to-earnings ratio than Parks! America, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Mattel and Parks! America’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mattel	7.79%	16.20%	5.37%
Parks! America	N/A	N/A	N/A

Institutional & Insider Ownership

97.2% of Mattel shares are owned by institutional investors. 1.9% of Mattel shares are owned by insiders. Comparatively, 61.0% of Parks! America shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Mattel and Parks! America, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mattel	2	6	4	2	2.43
Parks! America	0	0	0	0	0.00

Mattel currently has a consensus price target of $17.33, indicating a potential upside of 15.32%. Given Mattel’s stronger consensus rating and higher probable upside, research analysts clearly believe Mattel is more favorable than Parks! America.

Summary

Mattel beats Parks! America on 10 of the 12 factors compared between the two stocks.

About Mattel

Mattel, Inc., a toy and family entertainment company, designs, manufactures, and markets toys and consumer products in North America, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The company operates through North America, International, and American Girl segments. It offers dolls and accessories, as well as books, content, gaming, and lifestyle products for children under the Barbie, American Girl, Disney Princess and Disney Frozen, Monster High, and Polly Pocket brands; die-cast vehicles, tracks, playsets, and accessories for kids, adults, and collectors under the Hot Wheels, Hot Wheels Monster Trucks, Hot Wheels Mario Kart, Matchbox, and Cars brand names; and infant, toddler, and preschool products comprising content, toys, live events, and other consumer products under the Fisher-Price, Little People and Imaginext, and Thomas & Friends, and Power wheels brands. The company also provides action figures, building sets, games, and other products under the Masters of the Universe, MEGA, UNO, Jurassic World, Minecraft, WWE, Lightyear, and Star Wars; and licensor partner brands, including Disney Pixar, Microsoft, NBCUniversal, and WWE. It sells its products directly to consumers through its catalog, website, and proprietary retail stores; retailers, including omnichannel retailers, discount and free-standing toy stores, chain stores, department stores, and other retail outlets; and wholesalers, as well as through agents and distributors. Mattel, Inc. was founded in 1945 and is headquartered in El Segundo, California.

About Parks! America

Parks! America, Inc., through its subsidiaries, engages in acquiring, developing, and operating local and regional theme parks and attractions in the United States. The company owns and operates three Wild Animal Safari theme parks located in Pine Mountain, Georgia; Strafford, Missouri; and Bryan/College Station, Texas. The company was formerly known as Great American Family Parks, Inc. and changed its name to Parks! America, Inc. in June 2008. Parks! America, Inc. is based in Pine Mountain, Georgia.