Mattel, Inc., a children's and family entertainment company, designs and produces toys and consumer products worldwide. The company operates through North America, International, and American Girl segments. It offers dolls and accessories, as well as content, gaming, and lifestyle products for children under the Barbie, Monster High, American Girl, Disney Princess and Frozen, and Polly Pocket brands; dolls and books under the American Girl brand name; die-cast vehicles, tracks, playsets, and accessories for kids of all ages, and collectors under the Hot Wheels, Monster Trucks, Matchbox, CARS, and Mario Kart brand names; and infant, toddler, and preschool products comprising content, toys, live events, and other lifestyle products under the Fisher-Price and Thomas & Friends, and Power wheels brands. The company also provides action figures, building sets, and games under the Masters of the Universe, MEGA, UNO, Lightyear, Jurassic World, WWE, and Star Wars brands; 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 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.

Mattel appears to be a company with decent profitability, but with noticeable pressure on earnings quality and the balance sheet. A P/E ratio of 9.1 is significantly below the industry median, which usually supports the valuation; however, this is partly offset by the fact that P/S and P/B are already above industry benchmarks, while P/FCF is only around normal. The company’s strengths are high ROE, ROA, and ROI, as well as a very high return on tangible capital, which suggests an ability to use assets and capital efficiently. At the same time, the margin trend is concerning: operating margin has declined to 9.2% from levels above 12% over the year, and gross margin is also gradually slipping, indicating pressure on operating efficiency. Net income and net margin remain positive and above the industry median, but EPS and forecast EPS are negative, which is an important limitation for stock valuation. The balance sheet is generally liquid: a current ratio of 2.06 and a quick ratio of 1.50 look comfortable, and cash on hand is also sufficient for short-term resilience. However, leverage is above the industry level, with debt/equity at 1.11 and substantial long-term debt, increasing sensitivity to interest rates and demand downturns. Revenue and gross profit in the annual series look volatile, and EBITDA in the latest period is weak, so there is no basis for saying the business is accelerating steadily. Equity and assets remain significant, but their growth does not look strong enough to fully offset the deterioration in operating performance. The absence of dividend yield removes one of the potential sources of support for investors. Overall, the fundamentals are rather neutral to negative for a re-rating: the business quality is acceptable, but the current valuation no longer looks cheap enough to justify aggressively raising the target price.

Mattel, Inc.

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Сильный индекс, незначительно вырос. Рынок на стороне быков.

Strong index, slightly up. The market is on the bulls' side.

Средний индекс, значительно вырос. Увеличился приток средств в лонги.

Medium index, significantly up. The inflow of funds into longs has increased.

Mattel has strong profitability and liquidity, but margin pressure, negative EPS, and elevated debt limit revaluation potential.

Jakks Pacific (JAKK) came out with quarterly earnings of $0.25 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items.
A quarter ago, it was expected that this toymaker would post a loss of $0.36 per share when it actually produced a loss of $0.17, delivering a surprise of +52.78%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Jakks, which belongs to the Zacks Toys - Games - Hobbies industry, posted revenues of $139.24 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 7.42%. This compares to year-ago revenues of $119.09 million. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Jakks shares have added about 45% since the beginning of the year versus the S&P 500's gain of 9.6%.
What's Next for Jakks?
While Jakks has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Jakks was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.89 on $244.62 million in revenues for the coming quarter and $2.73 on $612.67 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Toys - Games - Hobbies is currently in the top 4% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Mattel (MAT), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 4.
This toy maker is expected to post quarterly earnings of $0.03 per share in its upcoming report, which represents a year-over-year change of -84.2%. The consensus EPS estimate for the quarter has been revised 0.3% lower over the last 30 days to the current level.
Mattel's revenues are expected to be $1.08 billion, up 6% from the year-ago quarter.
Should You Invest in JAKKS Pacific, Inc. (JAKK)?
Before you invest in JAKKS Pacific, Inc. (JAKK), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.
Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
JAKKS Pacific, Inc. (JAKK) : Free Stock Analysis Report
Mattel, Inc. (MAT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Jakks Pacific (JAKK) Q2 Earnings Match Estimates

Hasbro, Inc. HAS has a better growth story than it had earlier in the year, but the investment case is not one-sided. The company beat expectations, raised its fiscal 2026 outlook and has outperformed its industry over the past six months.
The question is whether that improvement leaves enough room for new buyers. HAS has stronger earnings momentum, but valuation and margin quality still require discipline.
HAS Earnings Momentum Is Improving
Hasbro’s second-quarter fiscal 2026 results gave the bull case more substance. Adjusted earnings of $1.28 per share beat the Zacks Consensus Estimate by 9.4%, while revenues of $1.14 billion topped the consensus mark by 8.9%.
Management now expects fiscal 2026 revenues to rise 5-7% in constant currency, up from its prior view of 3-5%. The adjusted operating margin outlook also improved to 25-26%, while adjusted EBITDA is now projected between $1.45 billion and $1.50 billion.
Hasbro, Inc. Price and EPS Surprise
The first-half numbers show why expectations moved higher. Adjusted operating profit rose 21% to $569 million, and adjusted operating margin expanded 150 basis points to 26.6%. Volume, mix and cost productivity more than offset incremental tariffs and royalty expense.
Why Hasbro Valuation Is Not a Clear Bargain
HAS does not look stretched against broader benchmarks. The stock trades at 14.19X forward 12-month earnings, below the Zacks Consumer Discretionary sector at 16.2X and the S&P 500 index at 20.85X.
The relative picture is less attractive inside its own sub-industry. The Zacks sub-industry trades at 10.09X forward earnings, making Hasbro look more expensive than the narrower peer group.
The stock also sits close to its five-year median forward earnings multiple of 14.92X. That suggests the market is not assigning an extreme premium, but it also means the shares are not obviously cheap after improving year-to-date and trailing 12-month performance.
Mattel, Inc. MAT remains a useful comparison for investors evaluating traditional toy demand, brand strength and holiday-season execution. JAKKS Pacific, Inc. JAKK also provides context for the toy and licensed-product space, where retailer demand and entertainment tie-ins can shift quickly.
Hasbro Profit Quality Still Needs Proof
Wizards of the Coast and Digital Gaming remains the clearest source of profit strength. In the second quarter, the segment generated $664 million in revenues, up 27%, and $270 million in operating profit.
Magic: The Gathering grew 32% in the quarter, helped by Secrets of Strixhaven and Marvel Super Heroes. Monopoly Go! contributed $44 million in revenues, reinforcing the value of Hasbro’s digital and licensing model.
Consumer Products is less convincing on profitability. Revenues rose 5% to $463 million, but the segment recorded an adjusted operating loss of $8 million because of tariffs, entertainment-related mix shifts and normal seasonality.
Digital spending also adds risk. Hasbro recorded a $56-million impairment tied to canceled digital game projects planned for 2028 and beyond, showing that growth investments can still dilute profit quality.
What Could Move HAS Higher or Lower
HAS could move higher if Magic stays resilient, licensing partnerships keep expanding and Consumer Products converts better sell-through into margin improvement. Holiday innovation and entertainment-linked demand also matter because the back half is important for toys and games.
Cost savings remain another catalyst. Hasbro delivered $70 million of savings in the first six months against a $150-million full-year commitment, while management continues to target $1 billion of gross cost savings by fiscal 2027.
The downside case rests on execution. Weaker releases, higher freight, resin and packaging costs, renewed tariff pressure or slower toy demand could weigh on profitability.
Digital execution is another swing factor. Exodus and Warlock remain planned for fiscal 2027, but delays, softer player adoption or further portfolio changes could pressure returns.
How HAS Ranks for Stock Pickers
The bottom line is that HAS looks improved, but not clearly mispriced. Growth is better, Wizards remains powerful and guidance has moved higher, yet valuation and segment margin pressure keep the buy case measured.
The stock currently carries a Zacks Rank #3 (Hold). That rank points to a middle-ground setup rather than a high-conviction entry call. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
HAS also has a Growth Score of B, Momentum Score of A and VGM Score of B, which indicate supportive growth and price-performance traits. The Value Score of C argues for timing discipline, especially with the stock trading above its sub-industry multiple.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
JAKKS Pacific, Inc. (JAKK) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Is HAS Stock a Buy Now as Growth Improves but Valuation Stays Mixed?

Hasbro, Inc. HAS has returned to revenue growth, but the quality of that growth remains uneven. The company’s 2026 setup is tied closely to Wizards of the Coast and Digital Gaming, where Magic: The Gathering continues to anchor momentum.
The broader toy and games business is improving, yet profitability still faces pressure from tariffs, royalties, seasonality and digital execution risk. That mix makes HAS a balanced story rather than a clean turnaround.
How Hasbro Is Driving Revenue Higher
Hasbro reported second-quarter fiscal 2026 revenues of $1.14 billion, up 16% year over year. Earnings and revenues beat the Zacks Consensus Estimate by 9.4% and 8.9%, respectively, giving investors a clearer sign that demand has improved.
Hasbro, Inc. Price and EPS Surprise
The company also raised its full-year 2026 outlook. It now expects total revenues to rise 5-7% in constant currency, compared with the prior view of 3-5%. Magic: The Gathering, Monopoly Go! and better toy and game sell-through are helping restore top-line momentum.
Why HAS Still Depends on Wizards
Wizards and Digital Gaming remain Hasbro’s primary growth and profit engine. In the second quarter, segment revenues rose 27% to $664 million, while operating profit reached $270 million. Magic revenues increased 32%, supported by Secrets of Strixhaven and Marvel Super Heroes.
That strength comes with concentration risk. Wizards generated a large share of Hasbro’s profit base, and earnings depend heavily on continued player engagement, organized play, collaborations and digital distribution. A $56-million impairment tied to canceled digital game projects also showed that not every digital investment will produce returns.
Hasbro Consumer Products Still Faces Pressure
Consumer Products is moving in the right direction on sales, but the margin picture is less clean. Segment revenues rose 5% in the second quarter to $463 million, helped by Star Wars, Marvel and better point-of-sale trends.
Profitability did not follow the same path. The segment posted an adjusted operating loss of $8 million, hurt by incremental tariff expense, entertainment-related mix shifts and normal seasonality. For investors, the issue is whether better demand can offset higher costs and royalty pressure.
Mattel, Inc. MAT is a relevant peer because it also competes for consumer spending across toys, games and family entertainment. Its performance can help frame how much of Hasbro’s improvement is company-specific versus broader category recovery.
Funko, Inc. FNKO offers another useful comparison because its business is tied to pop-culture products and licensed entertainment demand. That makes licensing strength and retail sell-through important factors across the wider consumer-products space.
What Hasbro Investors Should Watch Next
The next few quarters will test whether Hasbro can broaden growth beyond Wizards. Holiday innovation, entertainment-linked demand, licensing activity and continued cost savings are all important catalysts for Consumer Products.
Digital execution also matters. Hasbro has major releases planned ahead, including Exodus and Warlock for 2027. Marketing costs, amortization tied to new launches and cyber-remediation expenses could influence margins and investor sentiment.
How HAS Signals a Balanced Setup
The bottom line is that Hasbro has a credible growth engine, but it still carries operating risk. Magic remains powerful, Consumer Products is improving, and cost savings are helping. Yet tariffs, royalties and digital portfolio decisions keep the setup mixed.
HAS currently carries a Zacks Rank #3 (Hold). The stock also has a VGM Score of B, with a Value Score of C, Growth Score of B and Momentum Score of A. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The scores suggest respectable overall characteristics, especially on growth and momentum. The Value Score of C points to a less compelling valuation profile, while the Zacks Rank #3 indicates a neutral near-term earnings setup. For now, investor interest in HAS is likely to remain tied to execution and earnings follow-through.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Hasbro Stock Outlook Hinges on Magic Growth and Margin Risks in 2026

The S&P 500 Index ($SPX) (SPY) today is up +0.48%, the Dow Jones Industrial Average ($DOWI) (DIA) is up +0.26%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +1.27%. September E-mini S&P futures (ESU26) are up +0.49%, and September E-mini Nasdaq futures (NQU26) are up +1.26%.
Stock indexes are climbing today, led by chipmakers, after South Korea’s SK Hynix saw its American depositary receipts (ADRs) listing more than seven times oversubscribed, signaling strong investor demand. The US offering by SK Hynix would raise about $24.5 billion for the company, making it the second-largest by a foreign company, according to Bloomberg calculations. Strength in trucking and freight stocks is also lifting the broader market after Citigroup upgraded the sector.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Stocks are moving higher today despite an escalation of hostilities in the Middle East as the US and Iran traded attacks against each other for a second day.
Signs of strength in the US labor market are also supportive of stocks after weekly initial unemployment claims unexpectedly fell -2,000 to a 6-week low of 215,000, showing a stronger labor market than expectations of a +2,000 increase to 217,000. Conversely, today’s housing news was negative for stocks after Jun existing home sales unexpectedly fell -2.4% m/m to 4.09 million, weaker than expectations of an increase to 4.20 million.
The outlook for strong Q2 earnings is a bullish factor for stocks. Forecasts compiled by Bloomberg Intelligence suggest Q2 earnings may increase by +23%, close to Q1’s blowout earnings of +30%, which was more than double the +12% analysts had expected. AI spending is expected to account for most of earnings, with AI infrastructure stocks set to contribute nearly 60% of the S&P 500's earnings-per-share growth in Q2.
WTI crude oil (CLQ26) gave up an early advance today and is down more than -1% on speculation that the tit-for-tat attacks between the US and Iran will not escalate any further. Crude prices initially moved higher after the US military struck Iran for a second day today, hitting about 90 Iranian targets to degrade the country's ability to attack commercial shipping in the Strait of Hormuz. Iran responded by targeting US bases in Bahrain, Kuwait, and Qatar with drones and missiles. On Wednesday, President Trump said the ceasefire with Iran is over, raising the prospect of persistent hostilities in the region that could disrupt energy supplies. The US on Tuesday also revoked the Iran oil waiver that allowed buyers to purchase and transport Iranian oil legally.
The markets are discounting a 26% chance of a +25 bp rate hike at the next FOMC meeting on July 28-29.
Overseas stock markets are higher today. The Euro Stoxx 50 is up +1.10%. China's Shanghai Composite recovered from a 1-month low and closed up +1.65%. Japan's Nikkei-225 Stock Average closed up +1.38%.
Interest Rates
September 10-year T-notes (ZNU6) today are up +4 ticks, and the 10-year T-note yield is down -2.8 bp to 4.551%. T-notes are moving higher today amid an increase in safe-haven demand after the US launched attacks against Iran for a second day. T-notes added to their gains after US Jun existing home sales unexpectedly declined. Gains in T-notes are limited after weekly US jobless claims unexpectedly fell to a 6-week low, a sign of labor market strength that is hawkish for Fed policy. Also, supply pressures are bearish for T-notes as the Treasury will auction $22 billion of 30-year T-bonds later today.
European government bond yields are moving lower today. The 10-year German bund yield fell from a 1.5-month high of 3.118% and is down -0.5 bp to 3.087%. The 10-year UK gilt yield is down -7.1 bp to 4.903%.
German trade news was mixed, with May exports unexpectedly rising +0.9% m/m, versus expectations of a -0.4% m/m decline. May imports fell -2.5% m/m, weaker than expectations of -0.8% m/m.
Swaps are discounting a 13% chance of a +25 bp ECB rate hike at its next policy meeting on July 23.
US Stock Movers
Chipmakers and AI infrastructure stocks are moving higher today, providing support to the overall market. The iShares Semiconductor ETF (SOXX) is up more than +4%. ARM Holdings Plc (ARM) is up more than +11%, and SanDisk (SNDK) and ON Semiconductor (ON) are up more than +8%. Also, Advanced Micro Devices (AMD), Micron Technology (MU), KLA Corp (KLAC), and Western Digital (WDC) are up more than +7%, and Lam Research (LRCX), Applied Materials (AMAT), and Marvell Technology (MRVL) are up more than +6%. In addition, Seagate Technology Holdings NV (STX) and Microchip Technology are up more than +5%, and NXP Semiconductors NV (NXPI) and Qualcomm (QCOM) are up more than +4%.
Trucking companies are moving higher today after Citigroup upgraded the sector. FedEx Freight Holding (FDXF) is up more than +7%, and Old Dominion Freight Line (ODFL) and Knight-Swift Transportation Holdings (KNX) are up more than +3%. Also, ArcBest (ARCB), JB Hunt Transport Services (JBHT), CH Robinson Worldwide (CHRW), and United Parcel Service (UPS) are up more than +2%. In addition, Marten Transport Ltd (MRTN), Saia Inc (SAIA), and XPO Inc (XPO) are up more than +1%.
Airline stocks and cruise line operators are climbing today with WTI crude oil prices down by more than -1%. Norwegian Cruise Line Holdings (NCLH) is up by more than +5%, and Alaska Air Group (ALK) is up more than +4%. Also, American Airlines Group (AAL) and Carnival (CCL) are up more than +3%, and United Airlines Holdings (UAL), Delta Air Lines (DAL), Southwest Airlines (LUV), and Royal Caribbean Cruises Ltd (RCL) are up by more than +2%.
Cerebras Systems (CBRS) is up more than +8% after announcing it plans to expand its European AI infrastructure to 200MW of total compute capacity by the end of 2027. Goldman Sachs downgraded the stock to sell from neutral with a price target of $19.
Alnylam Pharmaceuticals (ALNY) is up more than +5% to lead gainers in the Nasdaq 100 after rivals AstraZeneca and Ionis Pharmaceuticals slumped after a late-stage trial of their Wainua drug failed to prevent heart problems in patients. Ionis Pharmaceuticals (IONS) is down more than -20% on the news.
Ceco Environmental Corp (CECO) is up more than +5% after JPMorgan Chase initiated coverage on the stock with a recommendation of overweight and a price target of $130.
Granite Construction (GVA) is down more than -8% after Goldman Sachs downgraded the stock to sell from neutral with a price target of $139.
Paramount Skydance (PSKY) is down more than -7% to lead losers in the S&P 500 after Arete Research downgraded the stock to sell from neutral with a price target of $2.
Costco Wholesale (COST) is down more than -4% after reporting that June total comparable sales rose 8.8%, below the consensus of 9.8%.
PepsiCo (PEP) is down more than -3% after reporting Q2 operating profit of $4.02 billion, weaker than the consensus of $4.06 billion.
International Business Machines (IBM) is down more than -2% after Starbucks said it was developing in-house tools with the help of artificial intelligence that could replace some software applications it buys from IBM.
Mattel (MAT) is down more than -1% after Goldman Sachs downgraded the stock to sell from neutral with a price target of $12.
Earnings Reports(7/9/2026)
Immersion Corp (IMMR), Nurix Therapeutics Inc (NRIX), PepsiCo Inc (PEP), Simply Good Foods Co/The (SMPL), Simulations Plus Inc (SLP), WD-40 Co (WDFC).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Strength in Chipmakers Boosts Stock Indexes

The S&P 500 Index ($SPX) (SPY) today is up +0.47%, the Dow Jones Industrial Average ($DOWI) (DIA) is up +0.14%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +1.55%. September E-mini S&P futures (ESU26) are up +0.47%, and September E-mini Nasdaq futures (NQU26) are up +1.51%.
Stock indexes are moving higher today, led by strength in chipmakers after South Korea’s SK Hynix listing American depositary receipts (ADRs) was more than seven times oversubscribed, signaling strong investor demand. The US offering by SK Hynix would raise about $24.5 billion for the company, making it the second-largest by a foreign company, according to Bloomberg calculations.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Stocks are moving higher today despite an escalation of hostilities in the Middle East as the US and Iran traded attacks against each other for a second day.
Signs of strength in the US labor market are also supportive of stocks after weekly initial unemployment claims unexpectedly fell -2,000 to a 6-week low of 215,000, showing a stronger labor market than expectations of a +2,000 increase to 217,000.
The outlook for strong Q2 earnings is a bullish factor for stocks. Forecasts compiled by Bloomberg Intelligence suggest Q2 earnings may increase by +23%, close to Q1’s blowout earnings of +30%, which was more than double the +12% analysts had expected. AI spending is expected to account for most of earnings, with AI infrastructure stocks set to contribute nearly 60% of the S&P 500's earnings-per-share growth in Q2.
WTI crude oil (CLQ26) is up by +0.61% today but remains below Wednesday’s 2-week high. The US military struck Iran for a second day today, hitting about 90 Iranian targets to degrade the country's ability to attack commercial shipping in the Strait of Hormuz. Iran responded by targeting US bases in Bahrain, Kuwait, and Qatar with drones and missiles. On Wednesday, President Trump said the ceasefire with Iran is over, raising the prospect of persistent hostilities in the region that could disrupt energy supplies. The US on Tuesday also revoked the Iran oil waiver that allowed buyers to purchase and transport Iranian oil legally.
The markets are discounting a 28% chance of a +25 bp rate hike at the next FOMC meeting on July 28-29.
Overseas stock markets are higher today. The Euro Stoxx 50 is up +0.83%. China's Shanghai Composite recovered from a 1-month low and closed up +1.65%. Japan's Nikkei-225 Stock Average closed up +1.38%.
Interest Rates
September 10-year T-notes (ZNU6) today are up +3 ticks, and the 10-year T-note yield is down -1.6 bp to 4.563%. T-notes are moving higher today amid an increase in safe-haven demand after the US launched attacks against Iran for a second day. Gains in T-notes are limited after weekly US jobless claims unexpectedly fell to a 6-week low, a sign of labor market strength that is hawkish for Fed policy. Also, supply pressures are bearish for T-notes as the Treasury will auction $22 billion of 30-year T-bonds later today.
European government bond yields are mixed today. The 10-year German bund yield climbed to a 1.5-month high of 3.118% and is up +1.2 bp to 3.104%. The 10-year UK gilt yield is down -4.0 bp to 4.934%.
German trade news was mixed, with May exports unexpectedly rising +0.9% m/m, versus expectations of a -0.4% m/m decline. May imports fell -2.5% m/m, weaker than expectations of -0.8% m/m.
Swaps are discounting a 14% chance of a +25 bp ECB rate hike at its next policy meeting on July 23.
US Stock Movers
Chipmakers and AI infrastructure stocks are moving higher today, providing support to the overall market. The iShares Semiconductor ETF (SOXX) closed up more than +2%. Lam Research (LRCX) is up more than +10% to lead gainers in the S&P 500, and Applied Materials (AMAT) and KLA Corp (KLAC) are up more than +9%. Also, ARM Holdings Plc (ARM) is up more than +8%, and Marvell Technology (MRVL), Micron Technology (MU), and Western Digital (WDC) are up more than +7%. In addition, Seagate Technology Holdings NV (STX) and SanDisk (SNDK) are up more than +6%, and Advanced Micro Devices (AMD) and Intel (INTC) are up more than +5%.
Trucking companies are moving higher today after Citigroup upgraded the sector. FedEx Freight Holding (FDXF) is up more than +5%, and Old Dominion Freight Line (ODFL) and Knight-Swift Transportation Holdings (KNX) are up more than +3%. Also, ArcBest (ARCB), JB Hunt Transport Services (JBHT), and Saia Inc (SAIA) are up more than +2%. Also, Marten Transport Ltd (MRTN), CH Robinson Worldwide (CHRW), United Parcel Service (UPS), and XPO Inc (XPO) are up more than +1%.
Software stocks are under pressure for a second day today, limiting gains in the broader market. Palantir Technologies (PLTR) is down more than -3%, and Salesforce (CRM) is down more than -2%. Also, Workday (WDAY), Intuit (INTU), ServiceNow (NOW), Thomson Reuters (TRI), Autodesk (ADSK), and Microsoft (MSFT) are down more than -1%.
Alnylam Pharmaceuticals (ALNY) is up more than +12% to lead gainers in the Nasdaq 100 after rivals AstraZeneca and Ionis Pharmaceuticals slumped after a late-stage trial of their Wainua drug failed to prevent heart problems in patients. Ionis Pharmaceuticals (IONS) is down more than -20% on the news.
Ceco Environmental Corp (CECO) is up more than +4% after JPMorgan Chase initiated coverage on the stock with a recommendation of overweight and a price target of $130.
Cerebras Systems (CBRS) is up more than +3% after announcing it plans to expand its European AI infrastructure to 200MW of total compute capacity by the end of 2027. Goldman Sachs downgraded the stock to sell from neutral with a price target of $19.
Paramount Skydance (PSKY) is down more than -8% to lead losers in the S&P 500 after Arete Research downgraded the stock to sell from neutral with a price target of $2.
PepsiCo (PEP) is down more than -4% after reporting Q2 operating profit of $4.02 billion, weaker than the consensus of $4.06 billion.
Granite Construction (GVA) is down more than -4% after Goldman Sachs downgraded the stock to sell from neutral with a price target of $139.
International Business Machines (IBM) is down more than -2% to lead losers in the Dow Jones Industrials after Starbucks said it was developing in-house tools with the help of artificial intelligence that could replace some software applications it buys from IBM.
Meta Platforms (META) is down more than -2% after Reuters reported that the company plans to start manufacturing its own AI chip in September, citing an internal memo.
Mattel (MAT) is down more than -2% after Goldman Sachs downgraded the stock to sell from neutral with a price target of $12.
Earnings Reports(7/9/2026)
Immersion Corp (IMMR), Nurix Therapeutics Inc (NRIX), PepsiCo Inc (PEP), Simply Good Foods Co/The (SMPL), Simulations Plus Inc (SLP), WD-40 Co (WDFC).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Stocks Climb on Strength in Chipmakers

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.
In trading on Monday, shares of Mattel Inc (Symbol: MAT) entered into oversold territory, hitting an RSI reading of 28.5, after changing hands as low as $12.915 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 58.5. A bullish investor could look at MAT's 28.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of MAT shares:
Looking at the chart above, MAT's low point in its 52 week range is $12.915 per share, with $22.48 as the 52 week high point — that compares with a last trade of $13.04.
Further MAT Research:
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Oversold Conditions For Mattel (MAT)

Hasbro, Inc.’s HAS Wizards of the Coast segment is increasingly emerging as its primary growth driver, and first-quarter 2026 results provided further evidence of the importance. While Hasbro's broader Consumer Products business remained relatively stable, Wizards delivered exceptional growth fueled by the continued success of Magic: The Gathering and expanding digital initiatives.
The segment generated revenues of $582 million in the first quarter, up 26% year over year, while operating profit climbed 29% to $298 million. Its operating margin exceeded 51%, highlighting the strong profitability of the business. Magic: The Gathering remained the key catalyst, with the Lorwyn Eclipsed release becoming the best-selling premier set in the franchise's history. Momentum continued into the second quarter as Secrets of Strixhaven surpassed Lorwyn Eclipsed's launch performance.
Hasbro's strategy of blending original content with popular external franchises is also paying off. Collaborations with Teenage Mutant Ninja Turtles, Marvel, Final Fantasy and Avatar: The Last Airbender helped attract new players and drive record backlist sales. Management noted that Universes Beyond has become one of the most successful player-acquisition tools in Magic's history.
Beyond tabletop gaming, Wizards is broadening its reach through digital platforms. The expansion of Magic Arena, upcoming AAA game launches such as Exodus and Warlock, and growing Dungeons & Dragons engagement are creating additional revenue opportunities. Hasbro also reiterated that Wizards, digital gaming and licensing remain its top investment priorities.
Although Consumer Products faces tariff, input-cost and cybersecurity-related challenges, Wizards continues to deliver strong growth, high margins and expanding fan engagement. Based on current trends, the segment appears well positioned to remain Hasbro's most powerful earnings and growth engine in the years ahead.
How Do Hasbro's Rivals Compare in Collectibles and Gaming?
While Hasbro is benefiting from the rapid growth of Wizards of the Coast, competitors are also investing heavily in toys, collectibles and entertainment-driven products.
Mattel MAT has been expanding beyond traditional toys through digital gaming, entertainment content and franchise development. The company continues to leverage iconic brands such as Barbie, Hot Wheels and UNO to create cross-platform experiences. However, unlike Hasbro's Wizards segment, Mattel lacks a trading-card franchise with the same level of recurring engagement, collectible demand and high-margin revenue streams. As a result, its growth remains more dependent on toy sales and entertainment partnerships.
JAKKS Pacific JAKK competes in several toy categories, including action figures, role-play toys and licensed merchandise tied to major entertainment properties. The company benefits from relationships with leading franchises such as Disney and Nintendo, which help drive product demand during major movie and gaming releases. However, JAKKS' business is largely tied to seasonal toy sales and licensing cycles, whereas Hasbro's Wizards segment generates recurring revenues through trading card releases, organized play events, digital offerings and a highly engaged global player community.
The key differentiator for Hasbro is Wizards of the Coast's ability to combine collectibles, gaming, digital expansion and licensing into a powerful ecosystem, creating a more durable and profitable growth engine than traditional toy-focused rivals.
HAS’ Stock Price Performance & Valuation Trend
Shares of this games and toys manufacturer have gained 23.5% in the past year, outperforming the Zacks Toys - Games - Hobbies industry and the broader Consumer Discretionary sector, but underperforming the S&P 500 Index.
Price Performance
Image Source: Zacks Investment Research
HAS stock is currently trading at a premium to its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 13.65, as shown in the chart below.
P/E (F12M)
Image Source: Zacks Investment Research
Earnings Estimate Revision of HAS
HAS’ earnings estimates for 2026 and 2027 have trended upward in the past 60 days to $6.01 and $6.44 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 8.5% and 7.2%, respectively.
Image Source: Zacks Investment Research
HAS stock currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
JAKKS Pacific, Inc. (JAKK) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Is Hasbro's Wizards Segment Becoming Its Biggest Growth Engine?

Hasbro, Inc. HAS has been a notable outperformer in the toy and gaming space over the past year. The stock has surged 23.5%, significantly outpacing the industry’s modest 0.8% growth. While the broader S&P 500 has advanced 25.1% during the same period, Hasbro’s strong performance reflects growing investor confidence in its earnings trajectory, margin expansion efforts and long-term growth strategy.
Analysts have become increasingly optimistic about the company’s prospects. Over the past 60 days, the Zacks Consensus Estimate for 2026 earnings has increased to $6.01 per share from $5.66, while the 2027 estimate stands at $6.44. Earnings are projected to grow 8.5% in 2026 and another 7.2% in 2027. Revenues are expected to rise 5.9% and 5.1% in the respective years.
Image Source: Zacks Investment Research
The stock's rally has been driven by the continued strength of Wizards of the Coast, improving profitability, disciplined cost management and confidence in Hasbro’s ability to capitalize on its powerful portfolio of brands. Notably, the company has also outperformed key industry peers such as Mattel MAT and JAKKS Pacific JAKK.
Image Source: Zacks Investment Research
Wizards of the Coast Remains a Major Growth Engine
A key driver of Hasbro’s improving outlook is the exceptional performance of Wizards of the Coast, home to MAGIC: The Gathering and Dungeons & Dragons.
Hasbro kicked off 2026 on a strong note, reporting first-quarter revenue growth of 13% year over year to $1 billion. Adjusted earnings per share jumped 41% to $1.47, while adjusted operating profit increased 29%. Management credited much of this success to Wizards of the Coast, which delivered a 26% increase in revenues and a 29% rise in operating profit.
The momentum within MAGIC: The Gathering has been particularly impressive. Management highlighted that the "Lorwyn Eclipsed" release became the best-selling MAGIC Premier set in the franchise’s history. The subsequent "Secrets of Strixhaven" launch surpassed even that record, underscoring sustained consumer demand for the brand.
Beyond core releases, collaborations with popular franchises such as Teenage Mutant Ninja Turtles have attracted new players and expanded the game's audience. Management noted that MAGIC’s ecosystem continues to benefit from record engagement levels, growing organized play participation and strong backlist sales, providing confidence that the franchise's success is far from temporary.
Consumer Products Business Is Gaining Momentum
While Wizards continues to generate headlines, Hasbro’s Consumer Products segment is showing encouraging signs of recovery and growth.
Management reported positive point-of-sale trends during the first quarter and through April, supported by lean retailer inventories and improving market-share performance. The company continues to focus on its GEM2 strategy, targeting categories that are gamified, entertainment-driven, multi-purchase and multi-generational. These categories have consistently outperformed the broader toy market and helped Hasbro gain share in several key segments.
The company also has a favorable lineup of entertainment-driven opportunities ahead. Upcoming releases tied to Star Wars, Toy Story 5, Spider-Man and Avengers franchises are expected to support demand across Hasbro’s product portfolio. Additionally, innovations across brands such as Monopoly and Play-Doh should contribute to growth in the second half of the year.
Margin Expansion Strengthens the Investment Case
Hasbro’s earnings growth is not solely dependent on revenue expansion. The company is also benefiting from meaningful improvements in profitability.
Adjusted operating margin expanded 360 basis points year over year to 28.7% in the first quarter, supported by a favorable business mix and ongoing cost-saving initiatives. During the quarter, Hasbro generated $37 million in gross savings and remains on track to deliver $150 million in annual cost reductions.
The company also produced $338 million in operating cash flow, continued paying dividends and initiated share repurchases under its recently authorized buyback program. These actions demonstrate management’s commitment to enhancing shareholder value while maintaining financial flexibility.
Importantly, management maintained its full-year outlook despite macroeconomic uncertainty. Hasbro continues to expect revenue growth of 3-5%, adjusted operating margins of 24-25% and adjusted EBITDA of $1.4-$1.45 billion in 2026.
Valuation & Rising Estimates
The company is trading at a discount to the industry. It has a forward 12-month price-to-earnings ratio of 13.59X, well above the industry average of 9.82X. On the other hand, Mattel and JAKKS Pacific are trading at 10.41X and 12.45X.
P/E (F12M)
Image Source: Zacks Investment Research
Buy or Hold the Stock?
Hasbro appears well-positioned to build on its recent momentum. The company is benefiting from the exceptional strength of Wizards of the Coast, improving trends in Consumer Products, expanding margins and disciplined capital allocation.
The steady rise in earnings estimates suggests analysts are becoming increasingly confident in Hasbro’s growth prospects. At the same time, management continues to execute on its Playing to Win strategy, leveraging powerful intellectual property, expanding licensing opportunities and investing in high-return growth areas such as digital gaming.
Although the stock has already gained nearly 24% over the past year, the fundamentals continue to improve. With projected earnings growth, ongoing margin expansion and a Zacks Rank #1 (Strong Buy), Hasbro remains attractively positioned for investors. You can see the complete list of today’s Zacks #1 Rank stocks here.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
JAKKS Pacific, Inc. (JAKK) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Hasbro Stock Up 24% in a Year, Earnings Estimates Rise: Buy or Hold?

Hasbro, Inc.’s HAS flagship franchise, Magic: The Gathering (“MAGIC”), is rapidly evolving beyond its traditional tabletop roots to become a highly profitable, multi-platform ecosystem. The company’s first-quarter 2026 results highlighted the strength of this transformation, as sustained demand for MAGIC, record product launches, growing player engagement and expanding partnerships fueled strong performance across the Wizards of the Coast and Digital Gaming segment.
In the first quarter of 2026, Hasbro's Wizards of the Coast and Digital Gaming segment delivered revenues of $582 million, up 26% year over year. Magic: The Gathering was the key driver, with revenues rising 36%. The segment also generated an operating profit of $298 million and an operating margin of 51.2%, highlighting the profitability of Hasbro's gaming-led strategy.
Hasbro is also leaning harder into digital expansion. Management highlighted that MAGIC ARENA will feature full digital rights for the upcoming Marvel Super Heroes launch through its partnership with Disney. This is important because it brings Hasbro closer to a one-to-one ecosystem where players can buy physical cards and engage with the same content digitally.
The broader strategy is clear, using Universes Beyond partnerships, digital play, collectibility and social formats like Commander to bring more fans into MAGIC and keep them engaged across platforms. Management said Universes Beyond has been one of MAGIC's most successful new-player acquisition initiatives, while digital iterations of MAGIC are expected to lean further into collectibility, tradability and multiplayer experiences over the next few years.
The question for investors is whether this digital expansion can create a longer runway beyond the current surge in tabletop demand. So far, the signs are encouraging. MAGIC is driving revenue growth, margin expansion and stronger cash generation for Hasbro. If the company can successfully scale MAGIC ARENA and future digital experiences alongside its high-margin tabletop business, MAGIC could remain one of Hasbro's most important long-term growth pillars.
Key Competitors to Watch in Digital Gaming and Franchise Expansion
Two notable competitors to monitor as Hasbro expands the Magic: The Gathering ecosystem across digital gaming, entertainment and consumer products are Mattel, Inc. MAT and JAKKS Pacific, Inc. JAKK.
Mattel is increasingly pursuing a strategy that mirrors Hasbro’s efforts to transform iconic brands into multi-platform franchises. Management recently emphasized a brand-centric operating model designed to monetize intellectual property across toys, entertainment, digital gaming, mobile experiences and location-based attractions rather than relying solely on traditional toy sales. Mattel is leveraging franchises such as Barbie, UNO and Hot Wheels across digital platforms, with management highlighting strong consumer engagement for branded experiences on Roblox and Fortnite.
JAKKS Pacific is expanding aggressively through licensed entertainment properties, digital creator ecosystems and fan-driven merchandise. The company recently unveiled a large-scale Anime, Manga and Digital Creator platform designed to capitalize on one of the fastest-growing segments of global entertainment. Management expects the initiative to combine collectibles, merchandise, costumes, tech accessories and direct-to-consumer engagement while leveraging partnerships with major anime franchises and digital creators. Similar to Hasbro's Universes Beyond strategy, JAKKS Pacific is using established fan communities and entertainment brands to drive engagement across multiple product categories and distribution channels.
HAS’ Stock Price Performance & Valuation Trend
Shares of this games and toys manufacturer have gained 3.7% year to date, outperforming the Zacks Toys - Games - Hobbies industry and the broader Consumer Discretionary sector, but underperforming the S&P 500 Index.
Image Source: Zacks Investment Research
HAS stock is currently trading at a premium compared to its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 13.83, as evidenced by the chart below.
Image Source: Zacks Investment Research
Earnings Estimate Revision of HAS
HAS’ earnings estimates for 2026 and 2027 have trended upward in the past seven days to $5.96 and $6.42 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 7.6% and 7.7%, respectively.
Image Source: Zacks Investment Research
HAS stock currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
JAKKS Pacific, Inc. (JAKK) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Can Hasbro's Digital Push Unlock a New Growth Runway for MAGIC?

Key Points
Patient Capital sold 2,794,343 Mattel shares last quarter.
The quarter-end stake value fell by $55.44 million, reflecting what filings show was a full exit.
The Mattel sale represented a 1.86% shift in Patient Capital’s reported U.S. equity assets under management.
Patient Capital Management fully exited its position in Mattel (NASDAQ:MAT) during the first quarter, selling 2,794,343 shares in a trade estimated at $50.92 million based on quarterly average pricing, according to a May 14, 2026, SEC filing.
What happened
According to a SEC filing dated May 14, 2026, Patient Capital Management sold all 2,794,343 shares of Mattel during the first quarter. The sale’s estimated value was $50.92 million based on the average closing price over the quarter. The quarter-end change in position valuation, including price effects, was $55.44 million. The fund now holds no shares of Mattel.
What else to know
Top holdings after the filing:
NASDAQ: RPRX: $174.79 million (6.5% of AUM)
NYSE: C: $160.35 million (6.0% of AUM)
NASDAQ: GOOGL: $153.56 million (5.7% of AUM)
NASDAQ: AMZN: $136.30 million (5.1% of AUM)
NYSE: QXO: $131.64 million (4.9% of AUM)
As of May 13, 2026, shares of Mattel were priced at $14.82, down 24% over the past year and underperforming the S&P 500, which is up 28% in the same period.
Company Overview
Price (as of market close 2026-05-13)
$14.82
Market Capitalization
$4.38 billion
Revenue (TTM)
$5.38 billion
Net Income (TTM)
$498.92 million
Company Snapshot
Mattel produces toys, games, and children’s entertainment products under brands such as Barbie, Hot Wheels, Fisher-Price, and American Girl, with revenues primarily generated from global toy sales and licensing.
The company operates a diversified business model that includes direct-to-consumer sales, retail partnerships, and licensing arrangements with major entertainment franchises.
Primary customers include children and families worldwide, with products distributed through retailers, proprietary stores, online channels, and wholesale partners.
Mattel, Inc. is a leading global toy and children’s entertainment company with a broad portfolio of iconic brands and a significant international presence. Its strategy leverages brand strength, licensing partnerships, and multi-channel distribution to maintain a competitive edge in the consumer cyclical sector. Scale, brand recognition, and diversified revenue streams position Mattel as a key player in the global leisure and entertainment market.
What this transaction means for investors
Even after years of restructuring and the blockbuster success of Barbie, Mattel stock remains well below where many shareholders probably expected, or at least hoped, it to be.
The latest results were mixed. First-quarter net sales rose 4% to $862 million, driven by strong international growth and continued momentum at Hot Wheels, where gross billings climbed 17%. But Barbie gross billings fell 16%, Fisher-Price declined 12%, and gross margin contracted 450 basis points as tariffs, foreign exchange pressures, and inflation weighed on profitability.
Nevertheless, management remains optimistic. CEO Ynon Kreiz said consumer demand remained positive and highlighted progress in Mattel's digital strategy, including the acquisition of Mattel163 and the upcoming launch of two self-published mobile games. The company also repurchased $200 million of stock during the quarter and maintained its full-year outlook.
For long-term investors, the key question is whether Mattel can evolve from a toy maker into a broader entertainment and intellectual property company. The brands remain powerful, but the financial results suggest that the transition is still a work in progress. Investors who believe in the digital gaming and entertainment opportunity may see value here, but they'll need patience.
Should you buy stock in Mattel right now?
Before you buy stock in Mattel, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Mattel wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $465,733!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,313,467!*
Now, it’s worth noting Stock Advisor’s total average return is 985% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of May 29, 2026.
Citigroup is an advertising partner of Motley Fool Money. Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, and QXO. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	9.10 19.50
Price/Sales	0.84 0.68
P/B	1.96 1.79
P/FCF	13.92 14.32

Indicator	TTM Median
ROE	22.71 14.96
ROA	7.72 4.87
ROI	11.78 8.60
Net Worth	4.27 0.87
Quick Ratio	1.50 0.86
Current Ratio	2.06 1.40

Indicator	TTM Median
Net Profit Margin	9.25 5.77
Operating Margin	9.21 8.17
Gross Margin	48.00 39.42
Return on tangible equity	133.24 21.16

Indicator	TTM Median
EPS	-0.20 0.49
EPS Forecast	-0.24 0.46
Revenue	862.00M 192.50M
Gross Profit	387.00M —
EBITDA	0.00 —

Mattel, Inc.

Recent quarterly and TTM performance

Valuation

Debts

Efficiency

Other ratios

Revenue