Wednesday, October 19, 2011

Investopedia: Mattel - Steady, But Not On Sale

There are not too many companies out there that sell products that have been popular across multiple generations, but Mattel (Nasdaq:MAT) is one of them. In many respects, Mattel looks like an excellent company - it offers beloved brands, a strong return on capital and respectable margins. The question for shareholders, though, is whether management is willing to take the sort of risks that will be necessary to really improve growth, and make this more than a steady dividend play.

Solid Third Quarter Results  
On the whole, Mattel delivered neither a positive surprise nor a disappointment for the third quarter. Revenue rose about 9% as reported, with 7% growth when measured in constant currency. Domestic growth was a bit softer than international (6% versus 8%), but balanced all the same. Although the company's Fisher-Price business saw a little revenue erosion on a constant currency basis, the Barbie franchise saw 13% growth.


Read more here:
http://stocks.investopedia.com/stock-analysis/2011/Mattel--Steady-But-Not-On-Sale-MAT-DIS-TWX-HAS-JAKK1019.aspx

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