Is Barbie Good Enough For Mattel In Uncertain Conditions? Morgan Stanley Has Answers
Portfolio Pulse from Shivani Kumaresan
Morgan Stanley analyst Megan Alexander reiterated an Overweight rating on Mattel Inc (NASDAQ:MAT) but lowered the price target from $27 to $25. The analyst noted that Mattel posted a strong Q3 but the full-year guide was disappointing. The Q4 sales guidance is seen as reasonable and the company maintained its guidance for flat sales growth. The analyst estimates $5.56 billion in sales, a 49.1% gross margin, and $1.45 in EPS for FY24. Mattel shares are trading lower by 6.79% at $18.75.
October 26, 2023 | 7:01 pm
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Morgan Stanley analyst lowered the price target for Mattel Inc from $27 to $25. The company posted a strong Q3 but the full-year guide was disappointing. The analyst estimates $5.56 billion in sales, a 49.1% gross margin, and $1.45 in EPS for FY24.
The news of the lowered price target by Morgan Stanley analyst could negatively impact the stock price of Mattel Inc in the short term. Despite the strong Q3 results, the disappointing full-year guide and the lowered price target could lead to a decrease in investor confidence, potentially leading to a drop in the stock price.
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