MAT - Morgan Stanley Sees Mattel Rising Amidst Challenges Boosted by Barbie Movie Success and IP Monetization Prospects | Benzinga
Morgan Stanley analyst Megan Alexander initiated coverage on the shares of Mattel Inc (NASDAQ: MAT) with an Overweight rating and announced a price target of $27.
The toy industry went through a difficult holiday season in 2022, with store point of sale (POS) down ~5% in 4Q as per NPD, boosting inventory levels at retail to exit the year, said the analyst.
Mattel’s 1H23 shipments fell 20%+ on destocking, combined with normalizing seasonality after two years of constrained supply chains, the analyst observed.
Also, its gross margins shrank in most of 2021 and 2022, with Y/Y compression accelerating in 2H22 as input cost pressures collided with retailer destocking ...