Mattel Inc. Shares Slump 15% as Investors Head for the Door
Shares of Mattel Inc. (NASDAQ: MAT), a manufacturer and marketer of toy products with well-known brands such as Barbie, Hot Wheels, and Fisher-Price, are down 15% as of 12:15 p.m. EDT. Investors headed for the door following discouraging news from the company.
It's no secret that Mattel has seen better days, but investors are wondering if it can ever reclaim those glory days after management announced it would miss its full-year revenue forecast and also decided to halt its dividend beginning in the fourth quarter to increase financial flexibility and strengthen the balance sheet. The $0.15-per-share quarterly dividend would result in about $50 million in additional liquidity for the company per quarter.
"Our Q3 performance was clearly disappointing, led by compression in North America driven by Toys 'R' Us filing for bankruptcy, tighter retailer inventory management and challenges with certain underperforming brands," said Margo Georgiadis, CEO, in a press release.
Source: Fool.com
Mattel Inc. Stock
With 8 Buy predictions and only 1 Sell predictions the community sentiment for the stock is positive.
With a target price of 24 € there is a hugely positive potential of 50.94% for Mattel Inc. compared to the current price of 15.9 €.
