Mattel, Inc. (NASDAQ:MAT) has been downgraded by UBS on June 19 which now rates the stock as Neutral compared with Buy rating suggested in the past. Analysts at Jefferies, shed their negative views on April 11 by lifting it fromUnderperform to Hold. The stock lost favor of Jefferies analysts who expressed their lack of confidence in it using a downgrade from Hold to Underperform on February 26.
Mattel, Inc. (MAT) hit an intraday high Monday at $15.84. The shares finished at $15.74, after trading as low as $15.29 earlier in the session. It rose 3.35% in recent trade and currently has a stock-market value of $4.41B. Trading activity significantly improved as the volume at ready counter increased to 16,277,142 shares versus 6,275,660 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 6,466,000 shares. The stock is now 73.16% above against its bear-market low of $9.09 on December 26, 2018. It has retreated -14.49% since it’s 52-week high of $18.02 reached in February. Now the market price is down -1.63% on the year and up 57.56% YTD.
MAT’s 50 day simple moving average (SMA 50) price is $12 and its 200-day simple moving average (SMA 200) price is $14.54. The company’s stock currently has a total float of 0 shares. Its weekly volatility is hovering around 4.58% and felt 3.92% volatility in price over a month. On the upside, the share price will test short term resistance at around $15.96. On a downside, the stock is likely to find some support, which begins at $15.41. The failure to get near-term support could push it to $15.07.
Separately, it has been reported that multiple insider activity took place at Mattel, Inc. (MAT). CEO Georgiadis Mary Margaret Hasti acquired 12,660 shares for $116,788 in transaction occurred on 2017/08/01. After making this transaction, the CEO owns a direct stake of 248,263 shares, worth $1,838,243, as per the last closing price. On 2017/04/24 Scarborough Dean A, Director at MAT, purchased 47,000 shares at an average price of $21.95 per share. The new stake is valued at $1,220,999.
Executive Chairman, Sinclair Christopher A had invested in 9,610 shares for $95,594 through a trade on 2017/02/13. Following this activity, the insider holds 249,572 shares worth $1,504,650 as of recent close. Wall Street’s most bullish Mattel, Inc. (NASDAQ:MAT) analysts are predicting the share price to blow past $23 per share during the next 12 months. The current median share price forecast by them is $14.5, suggesting that the stock could increase -7.88% in that time frame. The average price target of $14.62 calls for a nearly -7.12% increase in the stock price.
Moreover, it trades for 28.93 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 8.16x price/book and 0.96x price/sales. Compared to others, Mattel, Inc. is in a different league with regards to profitability, having net margins of -31.3%. To put some perspective around this, the industry’s average net margin is 12.98%. MAT’s ROE is -161%, which is also considerably worse than the industry’s ROE of 10.8%. It’s also very liquid in the near term, with a current ratio of 1.7. The stock has a debt/capital of 4.69.
MAT last reported earnings on February 07, 2019 when it released Dec-18 results that exceeded expectations. The company raked in $0.04 per share, -100.03% change on the same period last year. That was better than consensus for -$0.16. Revenue for the recent quarter stood at $1.52 billion, down -5% on last year and above the $1.44 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $662.9 million to $752.7 million, which should be compared with $712.95 million generated last year. EPS is seen in a range of -$0.59 to -$0.28, against the -$0.23 reported a year ago.