Why Mattel Stock Popped 12% on Wednesday

Core Insights - Mattel's stock surged 12.5% after reporting a strong fourth-quarter earnings beat, with adjusted earnings of $0.35 per share on sales of$1.65 billion, surpassing analyst expectations of $0.20 per share on$1.63 billion in sales [1][2] Financial Performance - In Q4, Mattel's sales grew by 2% year over year, and its gross profit margin expanded by 190 basis points to 50.7% [2] - For the full year, Mattel's sales declined by 1% to $5.4 billion, but it improved its gross margin by 330 basis points to 50.8$1.58, significantly higher than the $0.60 per share earned in 2023 [3] Future Outlook - CEO Ynon Kreiz described 2024 as a "year of strong operational excellence" and projected sales growth of 2$1.66 and $1.72 per share, indicating a growth rate of about 4% [4][5]