This Well-Known Toy Company Is Set to Be an Outperformer if the Tariff War Continues

From Yahoo Finance: 2025-05-10 18:23:00

Mattel’s stock surged after reporting first-quarter results, beating analyst estimates. Net sales were under $827 million, up 2% year-over-year, with adjusted net loss per share narrowing to $0.03. The company addressed concerns about tariffs impacting performance, reassuring investors that Q1 was unaffected and has plans to mitigate future impacts.

Mattel’s management detailed strategies to combat tariff effects, including diversifying the supply chain and adjusting prices as needed. With less than 40% of its toys produced in China, the company is well-positioned to weather the trade war. Additionally, Mattel has secured licensing deals for upcoming movie releases, enhancing growth prospects.

CEO Ynon Kreiz mentioned Mattel’s ongoing production relocation from China before tariffs were announced. The company is withholding full-year guidance due to economic volatility. Despite uncertainties, Mattel’s lucrative licensing agreements and strategic vision suggest growth potential. Investors should consider the company’s resilience and future prospects when evaluating stock options.



Read more at Yahoo Finance: This Well-Known Toy Company Is Set to Be an Outperformer if the Tariff War Continues