Mattel (NASDAQ:MAT) Announces Earnings Results

Mattel (NASDAQ:MAT) posted its quarterly earnings results on Thursday. The company reported $1.30 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.94 by $0.36, FiscalAI reports. Mattel had a net margin of 7.79% and a return on equity of 16.20%. The business had revenue of $1.81 billion during the quarter, compared to analysts’ expectations of $1.84 billion. During the same quarter last year, the company posted $0.89 earnings per share. The business’s quarterly revenue was up 4.1% on a year-over-year basis.

Here are the key takeaways from Mattel’s conference call:

• Mattel lowered its 2026 outlook, now forecasting constant-currency sales growth of 1%–4%, adjusted operating income of $500 million–$570 million, and adjusted EPS of $1.05–$1.20. Management attributed the revision to softer-than-expected point-of-sale trends that slowed late in Q3 and continued into Q4 across major markets.
• Q3 net sales rose 3% in constant currency to $1.81 billion, adjusted operating income increased to $502 million, and adjusted EPS reached $1.30 from $0.91 a year earlier. However, adjusted gross margin’s 480-basis-point improvement was largely driven by tariff refunds, including an $88 million benefit to cost of goods sold.
• Brand performance was mixed: Hot Wheels continued to show strength and is approaching $2 billion in gross billings, while Barbie remained below management’s expectations despite a slight improvement in trends. Vehicles and partner-brand dolls grew, while infant, toddler, and preschool declined, primarily due to Fisher-Price.
• New CEO Roger Lynch said Mattel will sharpen its focus on core toys, brand execution, innovation, and disciplined investment, with digital and entertainment opportunities built around stronger toy franchises. CFO Peter Griffith said the company is reviewing how it can simplify operations and use technology, data, and AI to improve productivity; the leadership team plans to provide 2027 guidance in February.

Mattel Stock Performance

Shares of NASDAQ MAT opened at $14.97 on Friday. The company has a market capitalization of $4.28 billion, a PE ratio of 11.01, a price-to-earnings-growth ratio of 1.65 and a beta of 0.59. The company has a debt-to-equity ratio of 1.17, a quick ratio of 1.26 and a current ratio of 1.90. The company’s fifty day moving average price is $15.01 and its 200 day moving average price is $15.41. Mattel has a 1 year low of $12.40 and a 1 year high of $22.48.

Wall Street Analysts Forecast Growth

MAT has been the topic of a number of research analyst reports. The Goldman Sachs Group lowered shares of Mattel from a “neutral” rating to a “sell” rating and dropped their price objective for the company from $15.00 to $12.00 in a report on Thursday, July 9th. UBS Group restated a “buy” rating on shares of Mattel in a research note on Thursday, October 1st. Roth Capital lowered their price target on Mattel from $16.00 to $15.00 and set a “neutral” rating for the company in a research report on Tuesday, July 14th. Weiss Ratings cut Mattel from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, August 11th. Finally, Odeon Capital Group assumed coverage on Mattel in a research note on Thursday, July 16th. They set a “buy” rating on the stock. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, four have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $18.00.

Insiders Place Their Bets

In other Mattel news, EVP Roberto Isaias sold 39,083 shares of Mattel stock in a transaction on Monday, August 31st. The shares were sold at an average price of $15.02, for a total value of $587,026.66. Following the completion of the transaction, the executive vice president owned 144,390 shares of the company’s stock, valued at approximately $2,168,737.80. The trade was a 21.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 1.90% of the company’s stock.

Key Stories Impacting Mattel

Here are the key news stories impacting Mattel this week:

• Positive Sentiment: Mattel reported third-quarter adjusted earnings of $1.30 per share, above the $0.94 consensus estimate and up from $0.89 a year earlier. However, the earnings beat came alongside a revenue miss. Mattel beats Q3 earnings estimates
• Neutral Sentiment: Mattel named Steve Totzke president and COO, effective November 11, while Roberto Stanichi is leaving to join Netflix. The leadership change could bring a new focus to operations, but adds transition during a challenging period. Mattel leadership announcement
• Negative Sentiment: Third-quarter revenue was $1.81 billion, below analysts’ $1.84 billion estimate, despite rising 4.1% year over year. Mattel also cut its 2026 forecasts for net sales, adjusted operating income and earnings per share, raising concerns about demand and execution under its new CEO. Mattel cuts annual forecasts
• Negative Sentiment: Reports noted that tariff refunds helped boost margins, which may temper enthusiasm about the earnings beat if some of the benefit is not recurring. Mattel’s struggles continue; tariff refunds boosted margins

Mattel Company Profile

Mattel, Inc is a global toy and entertainment company that designs, manufactures and markets a broad portfolio of toys, games and consumer products. Its best-known brands include Barbie, Hot Wheels, Fisher-Price, American Girl, Matchbox, UNO, Masters of the Universe and Thomas & Friends. Mattel also develops entertainment content and licenses its intellectual property for use in consumer products, digital experiences and other media.

Founded in 1945, Mattel has expanded from a U.S.