How Much Will Mattel's Q3 Look Like Hasbro's?
The outlook for Mattel's (NASDAQ: MAT) third-quarter earnings soured after rival Hasbro (NASDAQ: HAS) said the trade war with China caused it to miss sales and profits forecasts. Although Mattel has substantially improved its business by exceeding the total cost savings of its turnaround plan early, it too will likely be buffeted by harsh trade winds.
Like its rival, Mattel showed it still had game last quarter, despite the continued decline in once-powerful brands like American Girl and Fisher-Price. But Barbie flexed her muscles in the second quarter, Hot Wheels jump-started sales growth, and Disney merchandise related to the debut of Toy Story 4 helped sales of the toy maker's action figures, building sets, and games surge 23% higher.
But as it prepares to release third-quarter results on Tuesday, Oct. 29, Mattel investors might be worrying that the toy maker's fate will be similar to Hasbro's. Let's see what they might expect.
Source Fool.com
