Mattel, Inc. (MAT) Hits Fresh High: Is There Still Room to Run?

Company Performance - Mattel's shares have increased by 22.4% over the past month, reaching a new 52-week high of $22.07 [1] - Year-to-date, Mattel's stock has gained 23.8%, outperforming the Zacks Consumer Discretionary sector's 8.7% and the Zacks Toys - Games - Hobbies industry's 14% [1] Earnings and Revenue - Mattel has consistently exceeded earnings expectations, reporting an EPS of$ 0.35 against a consensus estimate of $0.23 in its last earnings report [2] - For the current fiscal year, Mattel is projected to achieve earnings of$ 1.70 per share on revenues of $5.46 billion, reflecting a 4.94% increase in EPS and a 1.42% increase in revenues [3] - The next fiscal year forecasts earnings of$ 1.80 per share on revenues of $5.59 billion, indicating a year-over-year change of 6.08% in EPS and 2.5% in revenues [3] Valuation Metrics - Mattel's current trading valuation is at 12.9X current fiscal year EPS estimates, slightly below the peer industry average of 13.5X [7] - On a trailing cash flow basis, the stock trades at 11.6X compared to the peer group's average of 7.3X, with a PEG ratio of 2.37 [7] Zacks Rank and Style Scores - Mattel holds a Zacks Rank of 2 (Buy) due to rising earnings estimates, which suggests potential for the stock in the near future [8] - The company has a Value Score of B, a Growth Score of C, and a Momentum Score of B, resulting in a combined VGM Score of B [6] Industry Comparison - The Toys - Games - Hobbies industry is performing well, ranking in the top 5% of all industries, providing favorable conditions for both Mattel and its peer JAKKS Pacific, Inc. [11] - JAKKS Pacific, Inc. has a Zacks Rank of 1 (Strong Buy) and has shown strong earnings performance, beating consensus estimates by 34.93% [10]