Seeking Alpha

Tough day for toy stocks

Shares of companies that sell toys are in a mild swoon following a lackluster report from Mattel (MAT -10.4%) that pointed to crumbling demand for physical toys.

No surprise, but Hasbro (HAS -5.4%) and Build-A-Bear Workshop (BBW +0.9%) are both trading lower off the news. Shares of Disney (DIS -1.5%) are also below market averages with the company having some skin in the toy game.

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Comments (4)
  • chopchop0
    , contributor
    Comments (4285) | Send Message
    Are people really going to start just buying tablets and apps and sticking their toddlers and newborns in front of screens despite all of the negative evidence for doing that?
    I just noticed my soon picking up a 30-year old+ mattel toy that I used to play with.
    Long MAT and picking up more today.
    Buy when there is blood on the street.
    31 Jan 2014, 09:54 AM Reply Like
  • Capt Greybeard
    , contributor
    Comments (8) | Send Message
    I agree, this hurts, chopchop, but taking advantage of the buying opportunity is wise. In spite of the lackluster report, Mattel increased its dividend; something the company has done first quarter of every year since going to quarterly payouts.
    31 Jan 2014, 10:43 AM Reply Like
  • Philip Marlowe
    , contributor
    Comments (1369) | Send Message
    Hate to sound like broken record but LF is slightly up.
    31 Jan 2014, 11:41 AM Reply Like
  • Flei
    , contributor
    Comment (1) | Send Message
    Many of these top of the league toy producers are looking at different ways to tie in technology into their products. I think it will be a matter of time before this reflects on their performance and earnings. I agree it's a good time to buy at the moment and benefit from capital gains in the next few years.
    1 Feb 2014, 01:02 PM Reply Like
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