What's Going On With Mattel Stock Tuesday?
Portfolio Pulse from Adam Eckert
Mattel Inc (MAT) and Hasbro Inc (HAS) stocks are trading lower, with Mattel's decline seemingly influenced by Hasbro's announcement of headcount reductions. Hasbro is implementing cost-saving measures, including eliminating 900 positions over the next 18-24 months, expecting $40 million in severance expenses and aiming for $100 million in annual cost savings. Both companies, which are major toymakers, formed a partnership earlier this year for co-branded toys and games.
December 12, 2023 | 2:12 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
Hasbro's stock is trading lower after announcing headcount reductions and cost-saving measures, including the elimination of 900 jobs, which is expected to result in $100 million in annual cost savings.
Hasbro's stock price is directly impacted by the announcement of job cuts and restructuring, which may lead to short-term investor concern over the costs and disruptions associated with such measures, despite the long-term savings goal.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90
NEGATIVE IMPACT
Mattel's stock is trading lower, potentially due to Hasbro's announcement of job cuts and cost-saving measures, which may raise concerns about the overall toy industry's performance.
Mattel's stock decline is likely a reaction to Hasbro's announcement, as investors may worry about similar issues at Mattel or a general downturn in the toy industry. The partnership between the two companies also ties their fortunes closer together, potentially increasing the impact of Hasbro's news on Mattel.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 70