Mattel (NASDAQ:MAT) Issues Earnings Results

Mattel (NASDAQ:MAT) issued its earnings results on Tuesday. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.04 by ($0.03), FiscalAI reports. The firm had revenue of $1.13 billion during the quarter, compared to analysts’ expectations of $1.10 billion. Mattel had a return on equity of 15.83% and a net margin of 7.79%.The company’s quarterly revenue was up 10.5% compared to the same quarter last year. During the same period last year, the business posted $0.19 earnings per share. Mattel updated its FY 2026 guidance to 1.270-1.390 EPS.

Here are the key takeaways from Mattel’s conference call:

• Mattel reported strong top-line growth, with second-quarter net sales up 10% as reported and 9% in constant currency, led by North America, vehicles, challenger categories, and digital games. The company said positive consumer demand has continued into the third quarter and reiterated its full-year 2026 guidance.
• Hot Wheels grew 12% and continues to gain share, while action figures benefited from Masters of the Universe, Toy Story 5, WWE, and DC; Masters of the Universe gross billings more than tripled year to date. Mattel also cited continued potential in Hot Wheels, building sets, and adult collector markets.
• Mattel163 contributed approximately $49 million of revenue and $14 million of adjusted operating income in the quarter, with the acquisition performing in line with expectations. The company expects digital games, including the planned global launch of UNO Wild in early 2027, to become an increasingly important growth driver.
• Profitability weakened in the quarter: adjusted gross margin fell to 48.6%, adjusted operating income declined to $39 million from $96 million, and adjusted EPS dropped to $0.01 from $0.21. Tariffs, inflation, higher royalties, foreign exchange, and increased strategic advertising and SG&A spending pressured results.
• Management expects Barbie trends to improve in the second half of 2026 and the brand to return to growth in 2027, supported by increased content, the new Barbie Dreamhouse, packaging changes, and adult-fan initiatives. Executives also forecast 2027 mid- to high-single-digit sales growth and strong double-digit bottom-line growth, though these remain forward-looking expectations.

Mattel Price Performance

Mattel stock opened at $14.46 on Thursday. The firm has a market capitalization of $4.20 billion, a P/E ratio of 10.63, a PEG ratio of 1.30 and a beta of 0.72. The business has a 50-day moving average of $14.20 and a 200-day moving average of $15.67. The company has a current ratio of 2.06, a quick ratio of 1.50 and a debt-to-equity ratio of 1.11. Mattel has a 1 year low of $12.73 and a 1 year high of $22.48.

Analyst Ratings Changes

A number of brokerages have commented on MAT. Jefferies Financial Group restated a “buy” rating on shares of Mattel in a research note on Wednesday, May 6th. Roth Capital decreased their target price on shares of Mattel from $16.00 to $15.00 and set a “neutral” rating for the company in a research report on Tuesday, July 14th. Wells Fargo & Company cut their price objective on shares of Mattel from $19.00 to $18.00 and set an “overweight” rating on the stock in a research note on Thursday, April 30th. JPMorgan Chase & Co. cut their price target on shares of Mattel from $14.00 to $13.00 and set an “underweight” rating for the company in a report on Thursday, April 30th. Finally, Citigroup decreased their price target on shares of Mattel from $16.00 to $15.00 and set a “neutral” rating on the stock in a research report on Friday, July 10th. Two equities research analysts have rated the stock with a Strong Buy rating, four have given a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $17.33.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Quarry LP acquired a new stake in Mattel during the third quarter worth approximately $28,000. Los Angeles Capital Management LLC bought a new position in shares of Mattel during the fourth quarter worth approximately $31,000. Atlas Capital Advisors Inc. bought a new stake in shares of Mattel in the fourth quarter valued at approximately $36,000. Danske Bank A S bought a new position in Mattel during the 3rd quarter worth $49,000. Finally, UMB Bank n.a. grew its holdings in shares of Mattel by 56.5% during the 4th quarter. UMB Bank n.a. now owns 3,241 shares of the company’s stock worth $64,000 after purchasing an additional 1,170 shares in the last quarter. 97.15% of the stock is currently owned by institutional investors.

More Mattel News

Here are the key news stories impacting Mattel this week:

• Positive Sentiment: Second-quarter revenue increased 10.5% year over year to $1.13 billion, exceeding the approximately $1.10 billion analyst consensus. Hot Wheels, vehicles, games and action figures—supported by entertainment-related demand—were key contributors. Mattel Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Management reiterated its fiscal 2026 adjusted EPS guidance of $1.27-$1.39 and revenue outlook of $5.5-$5.7 billion, signaling confidence that growth will continue in the second half of the year. Mattel reiterates 2026 adjusted EPS guidance
• Positive Sentiment: Toy-based movies, adult collectors and Mattel’s intellectual-property strategy are generating additional demand, while upcoming products such as UNO Wild and KPop Demon Hunters merchandise could provide future sales catalysts. Toy-based movies and adult collectors drive growth

Mattel Company Profile

Mattel, Inc is a leading global toy company headquartered in El Segundo, California. Founded in 1945 by Harold “Matt” Matson and Elliot and Ruth Handler, the company has grown into a major player in the toy and family products industry. Mattel designs, manufactures, and markets a broad range of toys, games and entertainment products under well-known brands, including Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, UNO and Matchbox. In addition to its proprietary labels, Mattel holds licenses with global entertainment franchises, partnering with Disney, Warner Bros., WWE and other studios to create character-driven play experiences.