Mattel (NASDAQ:MAT) Sees Strong Trading Volume – What’s Next?

Shares of Mattel, Inc. (NASDAQ:MAT) saw an uptick in trading volume on Thursday. 23,412,209 shares changed hands during trading, an increase of 388% from the previous session’s volume of 4,798,625 shares. The stock last traded at $14.9660 and had previously closed at $12.66.

Mattel News Summary

Here are the key news stories impacting Mattel this week:

• Positive Sentiment: Authentic Brands Group is reportedly in private discussions about acquiring Mattel at a valuation of approximately $6 billion or more. The potential offer represents a substantial premium to Mattel’s recent market value, although no deal has been announced and discussions may not result in a transaction. Reuters report on Authentic Brands Group takeover interest
• Positive Sentiment: The takeover report triggered unusually heavy trading and temporary volatility-related LULD pauses in Mattel shares, indicating strong investor interest and speculation about a possible strategic transaction.
• Neutral Sentiment: Mattel named former Condé Nast CEO and current board member Roger Lynch as chairman and CEO, effective October 2. Lynch’s consumer-media and brand experience could support Mattel’s efforts to expand its entertainment properties, but the abrupt change also creates near-term execution uncertainty. CNBC report on Roger Lynch becoming Mattel CEO
• Negative Sentiment: Outgoing CEO Ynon Kreiz is leaving to become co-CEO of the combined Paramount-Warner Bros. Discovery, while Mattel faces declining Barbie sales and broader brand and holiday-season headwinds. Investors may view his departure as a sign that a turnaround is still needed. New York Post report on Mattel’s leadership change and Barbie sales

Analyst Ratings Changes

Several brokerages recently commented on MAT. Weiss Ratings cut Mattel from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, August 11th. Odeon Capital Group assumed coverage on shares of Mattel in a research note on Thursday, July 16th. They issued a “buy” rating for the company. Roth Capital reduced their price objective on shares of Mattel from $16.00 to $15.00 and set a “neutral” rating for the company in a report on Tuesday, July 14th. Citigroup lowered their target price on shares of Mattel from $16.00 to $15.00 and set a “neutral” rating on the stock in a research note on Friday, July 10th. Finally, The Goldman Sachs Group lowered shares of Mattel from a “neutral” rating to a “sell” rating and dropped their price target for the stock from $15.00 to $12.00 in a research report on Thursday, July 9th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, five have issued a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $17.80.

Mattel Trading Up 18.2%

The company has a debt-to-equity ratio of 1.17, a quick ratio of 1.26 and a current ratio of 1.90. The stock has a market cap of $4.28 billion, a P/E ratio of 11.05, a P/E/G ratio of 1.45 and a beta of 0.72. The company has a 50-day simple moving average of $14.32 and a 200-day simple moving average of $14.44.

Mattel (NASDAQ:MAT) last announced its earnings results on Tuesday, August 4th. The company reported $0.01 earnings per share 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 analyst estimates of $1.10 billion. During the same quarter last year, the business posted $0.19 earnings per share. The business’s quarterly revenue 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, sell-side analysts forecast that Mattel, Inc. will post 1.31 EPS for the current fiscal year.

Insider Buying and Selling at Mattel

In other news, EVP Roberto Isaias sold 39,083 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $15.02, for a total transaction of $587,026.66. Following the transaction, the executive vice president directly 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 1.90% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Entropy Technologies LP grew its holdings in shares of Mattel by 1.7% during the first quarter. Entropy Technologies LP now owns 74,291 shares of the company’s stock worth $1,079,000 after purchasing an additional 1,265 shares during the last quarter. State of Michigan Retirement System raised its holdings in Mattel by 1.9% in the 1st quarter. State of Michigan Retirement System now owns 74,833 shares of the company’s stock valued at $1,087,000 after buying an additional 1,400 shares during the last quarter. SJS Investment Consulting Inc. boosted its position in Mattel by 2,959.6% during the 1st quarter. SJS Investment Consulting Inc. now owns 1,744 shares of the company’s stock worth $25,000 after buying an additional 1,687 shares during the period. Oregon Public Employees Retirement Fund grew its holdings in Mattel by 3.2% during the 1st quarter. Oregon Public Employees Retirement Fund now owns 63,758 shares of the company’s stock worth $926,000 after acquiring an additional 2,000 shares during the last quarter. Finally, Integrated Wealth Concepts LLC bought a new stake in Mattel during the 2nd quarter worth approximately $37,000. Institutional investors own 97.15% of the company’s stock.

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.