Mattel: The Fork In The Road
Quick Draw Capital • 45 Comments
Quick Draw Capital • 45 Comments
Thu, Dec. 1, 9:30 AM
- November monthly performance was: +5.57%
- 52-week performance vs. the S&P 500 is: +8%
- $0.19 in dividends were paid in November
- Top 10 Holdings as of 10/31/2016: ONEOK Inc (OKE): 2.86519%, Mattel Inc (MAT): 1.44508%, CenterPoint Energy Inc (CNP): 1.35701%, Macquarie Infrastructure Corp (MIC): 1.03507%, Coach Inc (COH): 1.03167%, Frontier Communications Corp Class B (FTR): 1.00602%, Microchip Technology Inc (MCHP): 0.94734%, SCANA Corp (SCG): 0.92707%, CMS Energy Corp (CMS): 0.9082%, Helmerich & Payne Inc (HP): 0.84858%
Tue, Nov. 29, 10:06 AM
- Cyber Monday online sales increased 12.1% to $3.45B, according to an updated tally from Adobe.
- Mobile spending was up 34% Y/Y to $1.07B to account for 31% of sales.
- Conversion rates were highest for desktops at 6.3%, while smartphones (2.8%) and tablets (5.1%) were still above holiday averages.
- Holiday shopping season sales through November 28 are up 7.6% to $39.97B.
- The S&P Retail ETF (NYSEARCA:XRT) is up 1.81% over the last week to outpace broad market averages. The list of outperformers over the last week -- which factors in the pre-Thanksgiving buzz, Black Friday reports, and Cyber Monday numbers -- includes Target (NYSE:TGT), Wal-Mart (NYSE:WMT), Hasbro (NASDAQ:HAS), Mattel (NASDAQ:MAT), Staples (NASDAQ:SPLS), DSW (NYSE:DSW), Barnes & Noble (NYSE:BKS), Dollar Tree (NASDAQ:DLTR), Dollar General (NYSE:DG), Burlington Stores (NYSE:BURL), The Children's Place (NASDAQ:PLCE) and Best Buy (NYSE:BBY). An interesting sidenote is that all the retail names listed above topped the return of Amazon for the 5-session period.
Fri, Nov. 25, 10:47 AM
- Piper Jaffray thinks holiday toy sales will be "back-end loaded" this year as e-commerce continues to play a bigger role.
- The investment firm reels in its forecast for year-over-year seasonal growth to 4% to 5% against a tough comparison to last year's Star Wars-infused holiday.
- Some reads on e-commerce toy sales have arrived more encouraging than the anecdotal Black Friday store checks by firms like PJ. Overall YTD toy sales are up +6%, according to NPD Group.
- The pace of holiday toy sales is still something to watch for investors of Mattel (NASDAQ:MAT), Hasbro (NASDAQ:HAS), JAAKS Pacific (NASDAQ:JAKK) - but if you're long Spin Master Corp (OTC:SNMSF) it's already shaping up as a great holiday season. Intense demand for Hatchimals has Spin Master trading at an all-time high on the Toronto exchange. Shares are up 74% YTD. This Google Trends chart of searches for "Hatchimal" explains it all.
- What's a Hatchimal? The official Hatchimal website offers the best display of the innovative toy. Big sellers of the coveted $60 toy include Wal-Mart (WMT +0.7%), Target (TGT +0.6%) and Toys "R" Us.
Fri, Nov. 4, 6:47 AM
- Mattel (NASDAQ:MAT) CEO Christopher Sinclair won't hand over the reins of the toymaker until its turnaround is solidly established and has the right leadership in place.
- "When we've got a stable enterprise... then that's the time when I will feel comfortable moving on to my dotage," he told financial analysts.
- The WSJ reported Wednesday that Mattel had retained search firm Spencer Stuart to help identify the company's next CEO.
Thu, Nov. 3, 8:29 AM
- October monthly performance was: -2.36%
- 52-week performance vs. the S&P 500 is: +4%
- $0.17 in dividends were paid in October
- Top 10 Holdings as of 9/30/2016: ONEOK Inc (OKE): 2.9392%, Mattel Inc (MAT): 1.34299%, CenterPoint Energy Inc (CNP): 1.33823%, Macquarie Infrastructure Corp (MIC): 1.02004%, Coach Inc (COH): 1.01792%, Frontier Communications Corp Class B (FTR): 1.00738%, Microchip Technology Inc (MCHP): 0.94194%, SCANA Corp (SCG): 0.88622%, CMS Energy Corp (CMS): 0.87714%, Helmerich & Payne Inc (HP): 0.87589%
Thu, Oct. 27, 9:47 AM
- There's some mind-blowing numbers out on e-commerce as part of the 2016 Adobe holiday season forecast.
- E-commerce sales are expected to increase 11% this year to $91.6B. Though the pace is slower than what was seen in some recent years, it still triples the overall growth rate in retail.
- Cyber Monday is set to be the largest online shopping day of all time, with $3.36B in sales anticipated.
- Large retailers are seen outpacing smaller retailers by a wide margin, 17% growth vs. 7% growth. That means more market share for Amazon (NASDAQ:AMZN), Wal-Mart (NYSE:WMT), Target (NYSE:TGT), Best (NYSE:BBY) and Staples (NASDAQ:SPLS) in comparison to chains which already have a harder time leveraging their shipping costs.
- Adobe says hot gifts this year will include virtual reality devices, Pokemon, Barbie, Lego, Hot Wheels and Frozen toys.
- A stretching out of the holiday season from early October until past Christmas could help FedEx (NYSE:FDX) and UPS (NYSE:UPS) manage the logistics more efficiently.
- Related stocks: SNE, HAS, MAT, NILE, EBAY, DIS.
- Related ETFs: IBUY, XRT.
- Full Adobe report
Thu, Oct. 27, 9:18 AM
- Huge holiday season pushes by Wal-Mart and Target could be beneficial to Hasbro (NASDAQ:HAS) and Mattel (NASDAQ:MAT), observes TheStreet's Brian Sozzi.
- Both companies are well stocked in toy aisles at their stores and are offering generous terms on shipping amid what looks to be an intriguing mix of toys.
- "I would give the edge to Mattel this year -- big push by both major retailers in ethnically diverse Barbie dolls. Hasbro will have its fair share of Star Wars, board games and Nerf gear on offer, but Mattel's offerings really caught my attention," writes Sozzi.
- Other analysts have postulated that toy spending will hold up this year, despite the uneven consumer spending trends in the U.S.
- Mattel: +17.7% YTD, 18.0 forward PE, 4.75% yield.
- Hasbro: +22.0% YTD, 18.2 forward PE, 2.47% yield.
- JAKKS Pacific (NASDAQ:JAKK): -15.2% YTD, 7.6 forward PE, no dividend since 2013.
Wed, Oct. 19, 6:35 PM
- Mattel (NASDAQ:MAT) reports net sales rose 2% in Q3 on a constant currency basis.
- Sales for the Mattel Girls & Boys brands were $1.06B (-4% in constant currency).
- Fisher-Price sales were $662M (+8% in constant currency).
- American Girl sales came in at $126M (+15% in constant currency.)
- Operating income as as percentage of sales improved 90 bps to 17.7% during the quarter.
- "We continued to make solid progress against our strategic priorities, and we are pleased with our momentum as we head into the holiday season," notes CEO Christopher Sinclair.
- Previously: Mattel misses by $0.01, beats on revenue (Oct. 19)
- MAT +5.81% AH to $32.40.
Wed, Oct. 19, 5:35 PM
Wed, Oct. 19, 4:16 PM
Wed, Oct. 19, 4:08 PM
Tue, Oct. 18, 5:35 PM
Mon, Oct. 17, 9:56 AM
- Hasbro (NASDAQ:HAS) shoots up 6.41% after posting impressive Q3 numbers.
- Disney Princess and Frozen dolls helped spark the girls toys business to 57% Y/Y growth.
- The solid report from Hasbro has helped lift Mattel (MAT +2.1%) in early trading as investors take a wider view on consumer demand in the sector. Mattel is due to report earnings on Wednesday.
- Previously: Hasbro beats by $0.29, beats on revenue (Oct. 17)
- Previously: More on Hasbro's Q3 (Oct. 17)
Tue, Oct. 11, 3:03 PM
- Mattel (NASDAQ:MAT) announced that it has finalized strategic relationships with Choirock Contents Factory and Sonokong, two of Korea's most successful and established toy industry leaders.
- Mattel will serve as master toy licensee for the number one toy franchise Turning Mecard and will manufacture, distribute and market a wide variety of toys and products inspired by the franchise, whereas Choirock will continue to distribute and manage the Turning Mecard franchise in Korea.
- Sonokong will serve as Mattel's primary distribution partner in South Korea for entire product portfolio, excluding games with responsibility for sales and product distribution. Mattel to acquire a 12% equity stake in Sonokong and the transaction is expected to be completed later this month.
- Press Release
Wed, Oct. 5, 9:19 AM
- Mattel (NASDAQ:MAT) is due to report FQ3 earnings on October 19. Consensus estimates on the crucial quarter are for revenue of $1.768B and EPS of $0.70 to be disclosed.
- The company has also scheduled a strategic business review with analysts for November 3. The update is planned to last four hours and will include Q&A.
- The upcoming Mattel events will go a long way toward updating investors as to how the toy seller will offset the loss of the Disney Princess business this holiday season.
- Shares of Mattel are up 11.2% YTD, but stand 15% below their 52-week high. Some analysts think the 5.03% dividend yield provides a nice backstop on the downside.
Mon, Oct. 3, 9:45 AM
- September monthly performance was: 0%
- 52-week performance vs. the S&P 500 is: +5%
- $0.30 in dividends were paid in September
- Top 10 Holdings as of 8/31/2016: ONEOK Inc (OKE): 2.65651%, Mattel Inc (MAT): 1.45713%, CenterPoint Energy Inc (CNP): 1.28361%, Frontier Communications Corp Class B (FTR): 1.10651%, Coach Inc (COH): 1.05319%, Macquarie Infrastructure Corp (MIC): 0.97241%, Microchip Technology Inc (MCHP): 0.92968%, CMS Energy Corp (CMS): 0.8697%, SCANA Corp (SCG): 0.85871%, The Western Union Co (WU): 0.82708%