2023-07-11 15:36:29 ET
Mattel ( NASDAQ: MAT ) is up 15% year-to-date amid the hype of the new Barbie movie, which premiered in Hollywood on July 9. The film will be widely released by Warner Bros. in theaters July 21.
This is the first live-action Barbie movie and it was directed and written by Greta Gerwig. Initial reviews were positive:
- Joe Deckelmeier , who writes for Screen Rant, tweeted: “#Barbie caught me off guard & I mean that in the best way possible. It’s funny, bombastic, & very smart. Greta Gerwig aims for the fences & hits a home-run. Margot Robbie’s performance is great & @RyanGosling & @SimuLiu are pure entertainment! The whole cast is brilliant!”
- Sharronda Williams , who hosts an entertainment show, tweeted: “#BarbieTheMovie is witty, heartfelt, and downright fun at times. Ryan Gosling is a scene stealer delivering most of the laughs while Margot Robbie’s heartfelt performance will tug at your heartstrings. While I enjoyed most of the film the screenplay feels bloated at times.”
The marketing for the movie has become inescapable with Airbnb’s ( ABNB ) Malibu DreamHouse rental to car racing on Xbox and even insurance getting in on the action.
Google search interest on the keyword Barbie toys has spiked in the last few weeks.
Mattel ( MAT ) Chief Executive Officer Ynon Kreiz said 2023 will be a “legacy-making” year for the Barbie brand.
“As we have all seen this first ever live action film has gotten incredible cultural conversation,” Kreiz said in an earnings call in April. “From there, it is a catalyst to also drive meaningful extensions of the brand outside of the toy aisle as we've shared. We've accelerated our presence in scripted and unscripted television. We have live experiences now that are taking place all over the world."
Stifel noted in a May 30 note that the movie could serve “as a potential event-driven catalyst for MAT.”
“Based on our sources and analysis, the film is tracking to a global box office approaching $400 million, which is above our original estimate in the $325 million range,” Stifel said. “We think anticipation leading up to its July 21st theatrical release creates a near-term trading opportunity.”
The firm cites the fact that Barbie is the company's most important brand, and it’s the first of several movie releases from Mattel Films.
Shares are up 1.8% today. The company’s forward P/E of 18 compares to rival Hasbro’s ( HAS ) 14.
More on Mattel:
- Mattel extends rally after S&P upgrades to investment grade
- Mattel defends Barbie trademark in legal battle with Burberry
- Mattel stock wavers as inventory issues overshadow top-line beat
For further details see:
Mattel stock gets dolled up on Barbie movie hype