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, Inc.

Mattel, Inc. MAT is scheduled to report second-quarter 2025 results on July 23, after the closing bell.
MAT’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 41.2%. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)
Trend in Estimate Revision of MAT
The Zacks Consensus Estimate for second-quarter earnings per share (EPS) is pegged at 16 cents, indicating a decline of 15.8% from 19 cents reported in the year-ago quarter.
Mattel, Inc. Price and EPS Surprise
For revenues, the consensus mark is pegged at nearly $1.08 billion. The metric suggests a fall of 0.1% from the year-ago quarter’s figure.
Let’s take a look at how things have shaped up in the quarter.
Factors Likely to Shape Mattel’s Q2 2025 Results
Mattel’s second-quarter performance is expected to have reflected early strength from key entertainment tie-ins and solid brand traction across action figures, vehicles and games. Product launches tied to Jurassic World Rebirth and the Minecraft movie likely served as revenue catalysts in the to-be-reported quarter. Strategic execution around cross-platform content, merchandising initiatives and diversified sourcing may have supported the company’s performance in the quarter under review.
The early sell-through of licensed products, particularly in the action figures category, is likely to have aided Mattel’s top line. Growth in core brands such as Hot Wheels and UNO — supported by expanded collector sets and innovation in digital gaming — may have driven incremental shelf presence and consumer engagement. Meanwhile, the rollout of new building sets through the Mattel Brick Shop and continued demand for lower-priced SKUs likely helped mitigate pricing sensitivity amid macro uncertainty.
However, certain fundamentals may have constrained upside potential. Retailers, facing evolving trade policy dynamics and uncertain consumer demand, may have adopted more cautious ordering behavior during the quarter. Direct import shipments in particular may have faced timing-related headwinds. Additionally, softness in the infant and toddler segments, particularly due to planned product line exits, may have limited growth in the preschool category.
Mattel’s second-quarter margins are expected to have faced moderate pressure due to input cost inflation, ongoing supply chain adjustments and cautious retail promotion strategies. While the company’s Optimizing for Profitable Growth initiative continues to yield structural cost savings — with an increased full-year 2025 target of $80 million — elevated labor and logistics expenses may have weighed on gross profitability.
While MAT expects to fully offset the potential impact of tariffs by the second half of the year, it may have reported preparatory pricing, merchandising and inventory management efforts that temporarily constrained second-quarter margin growth. The absence of full-year guidance reflects the company’s cautious approach amid a fluid operating backdrop.
What Our Model Says About MAT Stock
Our proven model does not conclusively predict an earnings beat for Mattel this time. A stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings. However, that is not the case here.
Earnings ESP for MAT: Mattel has an Earnings ESP of -1.05%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Mattel’s Zacks Rank: The company has a Zacks Rank #3 at present.
Stocks Poised to Beat on Earnings
Here are some stocks from the Zacks Consumer Discretionary sector that investors may consider, as our model indicates they have the right combination of elements to post an earnings beat.
MGM Resorts International MGM has an Earnings ESP of +2.45% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
MGM Resorts is expected to register a 36.1% decline in earnings for the to-be-reported quarter. MGM Resorts reported better-than-expected earnings in three of the trailing four quarters and missed on one occasion, the average surprise being 25.5%.
Boyd Gaming Corporation BYD currently has an Earnings ESP of +0.81% and a Zacks Rank of 3.
Boyd Gaming earnings for the to-be-reported quarter are expected to increase 5.1%. Boyd Gaming reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 8%.
PENN Entertainment, Inc. PENN currently has an Earnings ESP of +26.91% and a Zacks Rank of 3.
PENN Entertainment’s earnings for the to-be-reported quarter are expected to increase 61.1%. PENN reported better-than-expected earnings in three of the trailing four quarters and missed on one occasion, the average surprise being 13.5%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Mattel Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?

Key Points
Amazon and Alibaba are two stocks with solid retail and AI operations.
E.l.f. Beauty just made a transformative acquisition with Rhode.
Cava has one of the biggest expansion opportunties in the restaurant space.
Some of the best growth stocks are in the consumer space, and with tariffs still very much front and center, many of these stocks remain well off their highs. Nibbling on these names, say with an initial $1,000 investment, can be a good place to start.
Let's look at five consumer-focused stocks to buy now while they're still on sale. These are all solid companies with a lot of potential growth still in front of them.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
1. Amazon
While Amazon (NASDAQ: AMZN) has rallied from its lows, the stock is still off its highs and attractively valued from a historical perspective. And if there were thoughts that tariffs were slowing consumer spending, the company just announced its largest ever Prime Day sales event. Expanded to four days, the company generated $24.1 billion in sales, according to Adobe Analytics. That's more than double the sales it saw last Black Friday.
While Amazon showed it still has what it takes to drive retail sales, what's most exciting about the company is what is going on behind the scenes. Years of investment in logistics, automation, robots, and artificial intelligence (AI) are paying off, and making operations even more efficient. This is leading to cost savings and strong operating leverage.
In addition, Amazon Web Services (AWS) remains the market-share leader in cloud computing, where customers are using its services to build and deploy their own AI models and tools. It's also developed its own custom chips for training and inference, which gives it both performance and cost advantages.
For long-term investors, Amazon is a great stock to own.
2. Alibaba
Alibaba (NYSE: BABA) is a stock that remains on sale. It trades at a forward price-to-earnings (P/E) multiple of just 11 times and has more than 30% of its market cap in cash and investments. The stock is not just cheap, but it's executing on multiple fronts.
Its cloud business has now seen AI-related revenue more than double for seven consecutive quarters. Meanwhile, Apple's decision to use Alibaba's Qwen model to power Apple Intelligence in China could be a solid growth driver.
The company's e-commerce business has also seen a solid turnaround. Alibaba invested to grow Taobao and Tmall's gross merchandise value, and now it's better monetizing its platforms through new software fees and AI tools. It's also just started with new initiatives to help further drive growth, including offering one-hour delivery and embedding shoppable Taobao links in posts on the popular Chinese Rednote app. In addition, the company continues to grow and scale out its international e-commerce segment, and it expects it to turn profitable soon.
Alibaba is still in the midst of its turnaround story, and at its current valuation there's a lot of upside if it continues to execute.
3. E.l.f. Beauty
A sudden slowdown in growth last quarter has put e.l.f. Beauty's (NYSE: ELF) stock on the sales rack. However, its pending acquisition of Rhode looks like it could be transformative. E.l.f. has already been one of the biggest winners in the mass-market cosmetics space, and now it's adding a fast-growing premium brand to its portfolio.
Rhode generated $212 million in sales over the past year with barely any paid marketing, a limited product lineup, and selling only through its website. That's impressive.
Rhode was already set to enter Sephora stores, and now e.l.f. will have the opportunity to plug Rhode into its existing retail relationships, including those with Ulta Beauty and Target, while ramping up product development and marketing. Hailey Bieber remains onboard as chief creative officer, which should help maintain brand momentum as the product line expands.
The strategy is smart. Premium skincare brands such as Rhode are simply going to have better margins than mass-market color cosmetics. This is a big opportunity for the company going forward and a reason to own the stock long term.
4. JAKKS Pacific
Toy company JAKKS Pacific (NASDAQ: JAKK) has quietly become one of the best turnaround stories in consumer products. Under CFO John Kimble -- formerly of Mattel and Disney -- the company has streamlined operations, improved operating margins, and returned to consistent profitability. Shares are up more than 200% over the past five years, but down 30% this year on tariff worries. The result is that the stock trades at just 8.5 times 2025 analyst earnings per share estimates and 6 times the 2026 consensus.
And it's not like the company is struggling. Sales jumped 26% in Q1, fueled by licensed products tied to Sonic the Hedgehog 3 and Disney's Moana 2. That momentum should continue with toy and costume launches tied to Dog Man, Minecraft, and Paw Patrol. A weak kids' movie calendar hurt last year, but that headwind has flipped.
JAKKS is also making smart moves outside of toys and costumes. It signed a deal with Authentic Brands to create not only toys but also seasonal outdoor products tied to lifestyle brands like Roxy, Quiksilver, and Juicy Couture. This could help diversify revenue and reduce the company's seasonality.
With strong licensing, operational discipline, and a rock-solid balance sheet (zero debt), JAKKS is a cash-generating small-cap that still looks mispriced.
5. Cava Group
Despite its strong results over the past year, Cava Group (NYSE: CAVA) stock is down nearly 50% off its highs, giving investors a solid entry point. The restaurant operator is doing for Mediterranean food what Chipotle did for Tex-Mex -- building a fast-casual empire. Same-store sales have now climbed double-digits for four straight quarters, and last quarter's 10.8% comp was driven mostly by traffic gains.
Newer menu items like fresh juices and grilled steak are lifting average tickets, while its loyalty program is helping bring guests back. With fresh, fast, customizable, and healthy food, Cava has all the right ingredients to be the next Chipotle.
The big story, though, is still store expansion. With fewer than 400 locations at the end of Q1 and a target of 1,000 by 2032, Cava has a long growth runway. It's expanded from the coasts into the Midwest, opening in Chicago and Detroit, and early results look strong.
Given the growth in front of it, Cava is a stock to own over the long haul.
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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Geoffrey Seiler has positions in JAKKS Pacific and e.l.f. Beauty. The Motley Fool has positions in and recommends Adobe, Amazon, Apple, Chipotle Mexican Grill, Target, Ulta Beauty, Walt Disney, and e.l.f. Beauty. The Motley Fool recommends Alibaba Group and Cava Group and recommends the following options: short June 2025 $55 calls on Chipotle Mexican Grill. 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.

Got $1,000? 5 Stocks to Buy Now While They're On Sale

The following are the top rated Consumer Discretionary stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ARHAUS INC (ARHS) is a small-cap growth stock in the Retail (Specialty) industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Arhaus, Inc. is a lifestyle brand and omni-channel retailer of premium home furnishings. The Company through its proprietary model, designs and sources products from manufacturers and artisans around the world. It has approximately 100 showrooms and design center locations across the United States. It offers merchandise in various categories, including furniture, outdoor, lighting, textiles, and decor. Its furniture product offerings consist of bedroom, dining room, living room and home office furnishings and include sofas, dining tables, and chairs, among others. Its outdoor product offerings include outdoor dining tables, chairs, chaises and other furniture, lighting, and others. Its lighting product offerings consist of a variety of distinct and artistic lighting fixtures. Its textile product offerings include handcrafted indoor and outdoor rugs, bed linens, and pillows and throws. Decor ranges from wall art to mirrors, vases to candles, and many other decorative accessories.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of ARHAUS INC
CHEESECAKE FACTORY INC (CAKE) is a mid-cap growth stock in the Restaurants industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: The Cheesecake Factory Incorporated is an experiential dining company focused on hospitality. The Company owns and operates about 352 restaurants throughout the United States and Canada under brands, including The Cheesecake Factory (215 locations), North Italia (43 locations), Flower Child (38 locations), and a collection within its Fox Restaurant Concepts (FRC) portfolio (49 locations). Internationally, 34 The Cheesecake Factory restaurants operate under licensing agreements. Its bakery division operates two facilities that produce cheesecakes and other baked products for its restaurants, international licensees, and third-party bakery customers. The Cheesecake Factory menu features about 225 items, exclusive of beverage and dessert items and including items presented on supplemental menus, such as its SkinnyLicious menu that offers items at 590 calories or less. Its menu offerings include appetizers, pizza, seafood, steaks, chicken, burgers, small plates, pastas, salads, and others.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of CHEESECAKE FACTORY INC
MATTEL INC (MAT) is a mid-cap value stock in the Recreational Products industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Mattel, Inc. is a global toy and family entertainment company. The Company's operating segments include North America and International. The North America segment markets and sells toys and consumer products in the United States and Canada. Products marketed and sold by the International segment are generally the same as those marketed and sold by the North America segment, although some are developed or adapted for particular international markets. Its franchise brands include Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, UNO, Masters of the Universe, Matchbox, Monster High, MEGA, and Polly Pocket, as well as other popular properties that it owns or licensed in partnership with global entertainment companies. Its offerings include toys, content, consumer products, digital and live experiences. The Companys products are sold directly to consumers through its e-commerce platform and various third-party e-commerce channels.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of MATTEL INC
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Validea's Top Consumer Discretionary Stocks Based On Peter Lynch - 7/15/2025

While technology stocks get all the press, there are also some great growth stocks in the consumer products space. Let's look at five of my favorites in the sector to buy right now.
1. Amazon
Amazon (NASDAQ: AMZN) remains the dominant player in e-commerce, where it's been leveraging artificial intelligence (AI) to improve varied tasks ranging from logistics to ad targeting. Sponsored ads have become a key growth driver for the company, and AI is helping advertisers better target and convert potential buyers. This is a high-margin business that's growing strongly.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
Management has even created AI-powered robots that not only lift and sort packages but also identify damaged items to cut down on returns. All of these AI investments are already paying off, driving strong operating leverage across its retail segment.
Meanwhile, the company's Amazon Web Services (AWS) cloud computing unit is its biggest profit center, and demand continues to surge. Customers are using AWS tools like Bedrock and SageMaker to build their own AI apps and models, and then run them on Amazon's infrastructure.
The company is investing heavily to meet growing demand, building new data centers and developing its own custom chips like Trainium and Inferentia to give customers performance and cost advantages.
Despite the stock's recent rebound, its valuation is still reasonable given the growth Amazon is seeing in both its core retail operations and AWS.
2. e.l.f. Beauty
E.l.f. Beauty (NYSE: ELF) just took a big swing with its $1 billion acquisition of Rhode, the skincare brand started by Hailey Bieber. Rhode did $212 million in sales over the past year with just a handful of items and limited paid marketing.
With that kind of traction, the opportunity to scale it up across retailers is significant. Sephora was already slated to start selling Rhode products, and e.l.f. brings strong relationships with retailers like Target and Ulta to the table.
The timing of the acquisition could not be better. After a red-hot run through the first three quarters of its last fiscal year, e.l.f. saw fourth-quarter sales growth slow to 4%. Tariff concerns also loom due to its China-based manufacturing.
But with Rhode soon to be in the mix, e.l.f. has a premium brand with room to grow both its assortment and distribution. That's a powerful combination.
Buying into a consumer brand right before it scales up distribution is typically a good move. With strong retail partnerships, a proven marketing playbook, and now a premium brand to work with, e.l.f. looks positioned for its next growth phase.
3. Dutch Bros
Dutch Bros (NYSE: BROS) has one of the best growth runways in the restaurant space. With just over 1,000 locations in 18 states, it's still in the early innings of expansion. The drive-thru coffee chain is targeting 2,029 shops by 2029 and sees the potential for 7,000 locations across the U.S.
But it's not just about opening new stores; its comparable-store sales (comps) have been strong, too. Last quarter, systemwide comps rose 4.7%, and comps in company-owned stores climbed 6.9%.
Mobile ordering and food give Dutch Bros even more upside potential. Digital transactions accounted for 11% of sales last quarter, while food remains under 2% of the mix. That compares to food representing 19% of sales at Starbucks, so the gap is large. Early tests of its expanded food offerings have been encouraging.
Between its expansion and comps growth opportunities, Dutch Bros looks like a high-upside name worth holding for the long term.
4. Philip Morris International
Philip Morris International (NYSE: PM) is the best story in the tobacco space. Unlike most tobacco companies, Philip Morris doesn't sell cigarettes in the U.S., which insulates it from the secular volume declines seen in that market. Throw in stable overseas cigarette volumes, solid pricing power, and a localized manufacturing base that limits tariff risk, and you have a strong core business.
Meanwhile, it's leaning into products like its nicotine pouch Zyn and heated tobacco product Iqos to drive growth. Best of all, both have better unit economics than traditional cigarettes.
Zyn continues to be the standout, with U.S. volumes up 53% in the first quarter. And Iqos is seeing strong traction in Europe and Asia and early success in newer markets like Seoul; Mexico City; and Jakarta, Indonesia.
With its recent buyback of U.S. Iqos rights from Altria, Philip Morris also can now bring the product stateside. That could be a major growth driver in the years ahead.
5. JAKKS Pacific
JAKKS Pacific (NASDAQ: JAKK) has been one of the toy industry's best turnaround stories. After hiring former Disney and Mattel executive John Kimble as chief financial officer, the company has reshaped its operations, returned to profitability, and delivered a roughly 140% return over the past five years. Despite that, it still trades at a forward price-to-earnings ratio (P/E) of just 6.3 times 2026 analyst estimates and has no debt on its balance sheet.
A weak slate of kids' movies early last year hurt the stock, but movie-related momentum has been picking up. Sonic 3 and Moana 2 both performed well at the box office, and JAKKS' tie-ins to the movies helped power a 26% increase in sales in the first quarter.
Also, the company has launched toys and costumes for the Dog Man and Minecraft movies, which were released earlier this year, and it has secured the costume rights for the upcoming Paw Patrol movie next year.
Beyond licensed intellectual property, the company is also building its non-licensed portfolio and expanding into evergreen categories like beach and outdoor gear. Its deal with Authentic Brands to produce items under the Roxy and Quiksilver labels is a step in this direction.
With an improved content slate, a growing non-licensed business, and a dirt cheap valuation, JAKKS is an under-the-radar name worth a look for value-focused investors.
Should you invest $1,000 in Amazon right now?
Before you buy stock in Amazon, 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 Amazon 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 $713,547!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $966,931!*
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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Geoffrey Seiler has positions in JAKKS Pacific, Philip Morris International, and e.l.f. Beauty. The Motley Fool has positions in and recommends Amazon, Target, Ulta Beauty, Walt Disney, and e.l.f. Beauty. The Motley Fool recommends Dutch Bros and Philip Morris International. 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.

My 5 Favorite Stocks to Buy Right Now

Scorecard
The following are the top rated Consumer Discretionary stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ARHAUS INC (ARHS) is a small-cap growth stock in the Retail (Specialty) industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Arhaus, Inc. is a lifestyle brand and omni-channel retailer of premium home furnishings. The Company through its proprietary model, designs and sources products from manufacturers and artisans around the world. It has approximately 100 showrooms and design center locations across the United States. It offers merchandise in various categories, including furniture, outdoor, lighting, textiles, and decor. Its furniture product offerings consist of bedroom, dining room, living room and home office furnishings and include sofas, dining tables, and chairs, among others. Its outdoor product offerings include outdoor dining tables, chairs, chaises and other furniture, lighting, and others. Its lighting product offerings consist of a variety of distinct and artistic lighting fixtures. Its textile product offerings include handcrafted indoor and outdoor rugs, bed linens, and pillows and throws. Decor ranges from wall art to mirrors, vases to candles, and many other decorative accessories.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO:
PASS
SALES AND P/E RATIO:
PASS
EPS GROWTH RATE:
PASS
TOTAL DEBT/EQUITY RATIO:
PASS
FREE CASH FLOW:
NEUTRAL
NET CASH POSITION:
NEUTRAL
Detailed Analysis of ARHAUS INC
ARHS Guru Analysis
ARHS Fundamental Analysis
CHEESECAKE FACTORY INC (CAKE) is a mid-cap growth stock in the Restaurants industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: The Cheesecake Factory Incorporated is an experiential dining company focused on hospitality. The Company owns and operates about 352 restaurants throughout the United States and Canada under brands, including The Cheesecake Factory (215 locations), North Italia (43 locations), Flower Child (38 locations), and a collection within its Fox Restaurant Concepts (FRC) portfolio (49 locations). Internationally, 34 The Cheesecake Factory restaurants operate under licensing agreements. Its bakery division operates two facilities that produce cheesecakes and other baked products for its restaurants, international licensees, and third-party bakery customers. The Cheesecake Factory menu features about 225 items, exclusive of beverage and dessert items and including items presented on supplemental menus, such as its SkinnyLicious menu that offers items at 590 calories or less. Its menu offerings include appetizers, pizza, seafood, steaks, chicken, burgers, small plates, pastas, salads, and others.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO:
PASS
SALES AND P/E RATIO:
PASS
EPS GROWTH RATE:
PASS
TOTAL DEBT/EQUITY RATIO:
FAIL
FREE CASH FLOW:
NEUTRAL
NET CASH POSITION:
NEUTRAL
Detailed Analysis of CHEESECAKE FACTORY INC
CAKE Guru Analysis
CAKE Fundamental Analysis
GENUINE PARTS CO (GPC) is a large-cap growth stock in the Auto & Truck Parts industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Genuine Parts Company is a global service company specializing in the distribution of automotive and industrial replacement parts. The Company operates through two segments: Automotive Parts Group (Automotive) and Industrial Parts Group (Industrial). Automotive segment distributes replacement parts (other than body parts) for substantially all makes and models of automobiles, trucks, and other vehicles. Industrial segment distributes a wide variety of industrial bearings, mechanical and fluid power transmission equipment, including hydraulic and pneumatic products, material handling components and related parts and supplies. The Company distributes automotive parts, accessories and solutions in North America, Europe and Australasia. Its automotive businesses offer complete inventory, cataloging, marketing, training and other programs for the aftermarket in each of these regions. Its automotive network includes installers, fleet, government, and major accounts.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO:
PASS
SALES AND P/E RATIO:
PASS
INVENTORY TO SALES:
PASS
EPS GROWTH RATE:
PASS
TOTAL DEBT/EQUITY RATIO:
FAIL
FREE CASH FLOW:
NEUTRAL
NET CASH POSITION:
NEUTRAL
Detailed Analysis of GENUINE PARTS CO
GPC Guru Analysis
GPC Fundamental Analysis
MARRIOTT INTERNATIONAL INC (MAR) is a large-cap growth stock in the Hotels & Motels industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Marriott International, Inc. is an operator, franchisor, and licensor of hotel, residential, timeshare, and other lodging properties under various brand names. Its segments include U.S. and Canada, Europe, Middle East, and Africa (EMEA), Greater China, Asia Pacific, excluding China. Its brand portfolio offers a range of brands and lodging offerings in hospitality. Its brands are categorized by style of offering: Classic and Distinctive. The classic brands offer time-honored hospitality for the modern traveler. The distinctive brands offer memorable experiences with a perspective, each of which it groups into four tiers: Luxury, Premium, Select, and Midscale. Its hotel brands include JW Marriott, The Ritz-Carlton, The Luxury Collection, W Hotels, Marriott Hotels, Sheraton, Delta Hotels by Marriott, Marriott Executive Apartments, Courtyard by Marriott, SpringHill Suites by Marriott, TownePlace Suites by Marriott, City Express by Marriott Four Points Express by Sheraton, and others.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO:
PASS
SALES AND P/E RATIO:
PASS
EPS GROWTH RATE:
PASS
TOTAL DEBT/EQUITY RATIO:
FAIL
FREE CASH FLOW:
NEUTRAL
NET CASH POSITION:
NEUTRAL
Detailed Analysis of MARRIOTT INTERNATIONAL INC
MAR Guru Analysis
MAR Fundamental Analysis
MATTEL INC (MAT) is a mid-cap value stock in the Recreational Products industry. The rating according to our strategy based on Peter Lynch is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Mattel, Inc. is a global toy and family entertainment company. The Company's operating segments include North America and International. The North America segment markets and sells toys and consumer products in the United States and Canada. Products marketed and sold by the International segment are generally the same as those marketed and sold by the North America segment, although some are developed or adapted for particular international markets. Its franchise brands include Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, UNO, Masters of the Universe, Matchbox, Monster High, MEGA, and Polly Pocket, as well as other popular properties that it owns or licensed in partnership with global entertainment companies. Its offerings include toys, content, consumer products, digital and live experiences. The CompanyGs products are sold directly to consumers through its e-commerce platform and various third-party e-commerce channels.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
INVENTORY TO SALES:
PASS
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO:
PASS
EARNINGS PER SHARE:
PASS
TOTAL DEBT/EQUITY RATIO:
FAIL
FREE CASH FLOW:
NEUTRAL
NET CASH POSITION:
NEUTRAL
Detailed Analysis of MATTEL INC
MAT Guru Analysis
MAT Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Validea's Top Consumer Discretionary Stocks Based On Peter Lynch - 6/17/2025

The market was on fire early on Monday after President Donald Trump announced the reduction of tariffs on Chinese imports from the self-imposed 145% to 30%, for at least the next 90 days. This will allow for more negotiations, and although a deal is far from final, it looks like the tensions are coming down for now.
Some of the biggest moves came from companies in retail. Mattel (NASDAQ: MAT) was a big winner, rising 11.1% at its peak and holding a 10.2% gain at 3:45 p.m. ET after being in the president's crosshairs. Deckers Outdoor (NYSE: DECK) jumped as much as 10.2% and Best Buy (NYSE: BBY) was up 11% but the two stocks fell back to 3.1% and 6.1% gains on the day, respectively.
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Mattel's battle with the White House
Mattel has specifically been on Trump's mind because its CEO said tariffs will be an added cost to consumers and won't result in U.S. manufacturing. The company may be able to diversify supply outside of China, but with little scale in the U.S., it's unlikely the company would move production to its home country.
That released the ire of Trump, who has threatened Mattel-specific tariffs. But that's unlikely, and Mattel will now benefit from the lower tariffs announced today.
Product companies and tariffs
Mattel and Deckers Outdoor fall into similar buckets as companies that produce products in China and other Asian countries hit by tariffs. Higher costs could have a direct impact on their bottom lines, but the other factor to add in is the squeeze tariffs could put on demand for consumer goods.
If buyers are spending more money on each item it leaves less for more items, which may mean a few fewer Barbies or Hoka shoes sold this holiday season.
In that respect, tariffs could have been a double-whammy this year.
Retail's sigh of relief
The same can be said for Best Buy, which was facing higher costs for nearly all of its electronic devices. The company wouldn't have been hit directly by tariffs, but suppliers would likely have needed to raise their prices, which would then be passed on by Best Buy.
A 30% tariff sounds big, but it's a relatively small percentage of the retail price of items, so it may be eaten by producers or retailers rather than resulting in significantly higher prices.
I still think tariffs are an incremental headwind for the industry, but Best Buy and others are in a better position today than they were yesterday.
More uncertainty ahead
As much as the market is cheering today's news, keep in mind that tariffs are higher than they were at the start of the year and companies only have certainty for the 90-day pause. After that, tariffs may elevate again.
The policy environment is also far from certain given the volatility coming from the White House in terms of tariff and trade policy. I think the pop today is deserved, but don't be surprised if stocks drop again if bad news comes out in the future.
Should you invest $1,000 in Mattel right now?
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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 $614,911!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $714,958!*
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*Stock Advisor returns as of May 12, 2025
Travis Hoium has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Best Buy and Deckers Outdoor. 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.

Mattel's Plea for Lower Tariffs Pays Off and the Stock Pops

In trading on Monday, shares of Mattel Inc (Symbol: MAT) crossed above their 200 day moving average of $18.81, changing hands as high as $19.15 per share. Mattel Inc shares are currently trading up about 10.3% on the day. The chart below shows the one year performance of MAT shares, versus its 200 day moving average:
Looking at the chart above, MAT's low point in its 52 week range is $13.945 per share, with $22.065 as the 52 week high point — that compares with a last trade of $18.95.
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Click here to find out which 9 other stocks recently crossed above their 200 day moving average »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Mattel Breaks Above 200-Day Moving Average - Bullish for MAT

Mattel's (NASDAQ: MAT) stock was something of a hot item after the toy company reported its first-quarter results in early May -- and not only because it scored a double beat on analyst estimates. At a time when investors are worried about the impact of the current tariff war on American commerce, the company's management said the right things about its ability to weather the storm.
Here's a look at what management intends to do about the situation, and why both investors and analysts were pleased with the company's strategy -- not to mention those quarterly figures.
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Higher sales and a narrower net loss
Mattel's fundamentals headed in the right direction, with net sales ringing up at a bit under $827 million for year-over-year growth of 2%. Non-GAAP (adjusted) net loss per share narrowed, meanwhile, to $0.03 from the year-ago shortfall of $0.05.
Better, the two line items came in far ahead of the consensus analyst estimates of $786 million on the top line and $0.09 per share for adjusted net loss.
Tariffs are front and center of many investor worries these days. To its credit, Mattel addressed the situation clearly and directly. The good news right off the bat is that not only did the levies fail to affect Q1 performance, they probably won't do so in Q2 either.
This is down to what management described as "the timing of inventory flows," a flowery way of saying the company has essentially secured most of the goods it needs for this quarter's manufacturing.
Beyond that (should the tariff tussle last that long), Mattel has come up with a set of actions to dampen the effect of higher costs of affected goods. It said it is speeding up the diversification of its supply chain generally, reducing its dependence on China, and "optimizing product sourcing and product mix." Last but surely not least, it'll adjust prices strategically for U.S. consumers if need be.
Mattel has a degree of flexibility here; in the conference call discussing the quarter, CEO Ynon Kreiz said that the company sources products from business partners located in seven countries.
Another nugget the Mattel leader dropped was that China is responsible for less than 40% of worldwide production of the company's toys. While that's still a chunky number, it's well below what Kreiz said is the current 80% average of the toy industry.
On top of that, before the tariffs were announced, Mattel had already been gradually relocating the production of certain lines from China to other locales.
Taking full advantage of tie-ins
As for its proximate future, Mattel's holding off on providing full-year 2025 guidance until such time as it "has sufficient visibility, given the volatile macro-economic environment and evolving U.S. tariff situation," as stated in the earnings release.
Nevertheless, the company's got some potential stock price boosters coming up. A line of action figures based on characters from the hit cinema video game adaptation A Minecraft Movie has done well on the market, Kreiz said in the conference call. The film's director, Jared Hess, recently said that discussions were already taking place about a sequel, nicely positioning Mattel for another round.
Meanwhile, the company has inked multiyear, worldwide licensing deals with several prominent intellectual property holders. For instance, it has one in place with longtime partner Walt Disney for the Toy Story franchise from the entertainment giant's Pixar unit. Like A Minecraft Movie, the planned 2026 release of Toy Story 5 should spur plenty of demand for representations of Woody and the gang.
So basically, Mattel not only notched convincing beats on key Q1 fundamentals, it has a clear-eyed vision on how to manage the current global economic turmoil. And with some lucrative licensing deals locked down for the next few years, it looks like growth is in the cards for the company. Investors should certainly consider loading up on some Mattel, particularly now.
Should you invest $1,000 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 $614,911!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $714,958!*
Now, it’s worth noting Stock Advisor’s total average return is 907% — a market-crushing outperformance compared to 163% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of May 5, 2025
Eric Volkman has positions in Walt Disney. The Motley Fool has positions in and recommends Walt Disney. 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.

This Well-Known Toy Company Is Set to Be an Outperformer if the Tariff War Continues

Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the First Trust Consumer Discretionary AlphaDEX Fund ETF (Symbol: FXD), we found that the implied analyst target price for the ETF based upon its underlying holdings is $68.45 per unit.
With FXD trading at a recent price near $58.44 per unit, that means that analysts see 17.13% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of FXD's underlying holdings with notable upside to their analyst target prices are Mattel Inc (Symbol: MAT), Lithia Motors Inc (Symbol: LAD), and Best Buy Inc (Symbol: BBY). Although MAT has traded at a recent price of $17.43/share, the average analyst target is 33.68% higher at $23.30/share. Similarly, LAD has 29.22% upside from the recent share price of $295.94 if the average analyst target price of $382.42/share is reached, and analysts on average are expecting BBY to reach a target price of $88.15/share, which is 28.91% above the recent price of $68.38. Below is a twelve month price history chart comparing the stock performance of MAT, LAD, and BBY:
Below is a summary table of the current analyst target prices discussed above:
Name
Symbol
Recent Price
Avg. Analyst 12-Mo. Target
% Upside to Target
First Trust Consumer Discretionary AlphaDEX Fund ETF
FXD
$58.44
$68.45
17.13%
Mattel Inc
MAT
$17.43
$23.30
33.68%
Lithia Motors Inc
LAD
$295.94
$382.42
29.22%
Best Buy Inc
BBY
$68.38
$88.15
28.91%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Surprising Analyst 12-Month Target For FXD

(RTTNews) - Mattel Inc. (MAT) will host a conference call at 5:00 PM ET on May 5, 2025, to discuss Q1 25 earnings results.
To access the live webcast, log on to https://investors.mattel.com/events-and-presentations/default.aspx?EventTitle=Mattel-Inc-First-Quarter-2025-Earnings-Conference-Call
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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