MATTEL INC (MAT)
US5770811025 - Common Stock
Overall MAT gets a fundamental rating of 5 out of 10. We evaluated MAT against 32 industry peers in the Leisure Products industry. While MAT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MAT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MAT had positive earnings in the past year.
In the past year MAT had a positive cash flow from operations.
Of the past 5 years MAT 4 years were profitable.
MAT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MAT has a better Return On Assets (3.33%) than 61.29% of its industry peers.
With a decent Return On Equity value of 9.97%, MAT is doing good in the industry, outperforming 67.74% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.16%, MAT is doing good in the industry, outperforming 64.52% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MAT is in line with the industry average of 10.89%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.97% | ||
| ROIC | 9.16% |
ROA(3y)7.94%
ROA(5y)4.39%
ROE(3y)28.9%
ROE(5y)12.49%
ROIC(3y)11.01%
ROIC(5y)8.36%
1.3 Margins
The Profit Margin of MAT (3.94%) is better than 61.29% of its industry peers.
In the last couple of years the Profit Margin of MAT has grown nicely.
MAT has a Operating Margin of 10.85%. This is amongst the best in the industry. MAT outperforms 80.65% of its industry peers.
In the last couple of years the Operating Margin of MAT has grown nicely.
With an excellent Gross Margin value of 47.42%, MAT belongs to the best of the industry, outperforming 83.87% of the companies in the same industry.
In the last couple of years the Gross Margin of MAT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.85% | ||
| PM (TTM) | 3.94% | ||
| GM | 47.42% |
OM growth 3Y8.84%
OM growth 5YN/A
PM growth 3Y13.51%
PM growth 5YN/A
GM growth 3Y-1.07%
GM growth 5Y3.56%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MAT is still creating some value.
Compared to 1 year ago, MAT has less shares outstanding
MAT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, MAT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.05 indicates that MAT is not in any danger for bankruptcy at the moment.
The Altman-Z score of MAT (3.05) is comparable to the rest of the industry.
MAT has a debt to FCF ratio of 3.28. This is a good value and a sign of high solvency as MAT would need 3.28 years to pay back of all of its debts.
MAT has a Debt to FCF ratio (3.28) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.08 is on the high side and indicates that MAT has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.08, MAT is doing worse than 74.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.28 | ||
| Altman-Z | 3.05 |
ROIC/WACC1.05
WACC8.74%
2.3 Liquidity
A Current Ratio of 2.33 indicates that MAT has no problem at all paying its short term obligations.
The Current ratio of MAT (2.33) is comparable to the rest of the industry.
A Quick Ratio of 1.90 indicates that MAT should not have too much problems paying its short term obligations.
MAT's Quick ratio of 1.90 is fine compared to the rest of the industry. MAT outperforms 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.33 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
The earnings per share for MAT have decreased by -2.38% in the last year.
The Earnings Per Share has been growing by 32.40% on average over the past years. This is a very strong growth
Looking at the last year, MAT shows a small growth in Revenue. The Revenue has grown by 0.12% in the last year.
Measured over the past years, MAT shows a small growth in Revenue. The Revenue has been growing by 3.80% on average per year.
EPS 1Y (TTM)-2.38%
EPS 3Y32.4%
EPS 5YN/A
EPS growth Q2Q61.11%
Revenue 1Y (TTM)0.12%
Revenue growth 3Y5.85%
Revenue growth 5Y3.8%
Revenue growth Q2Q15.61%
3.2 Future
Based on estimates for the next years, MAT will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.87% on average per year.
MAT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.54% yearly.
EPS Next Y13.96%
EPS Next 2Y12.53%
EPS Next 3Y12.11%
EPS Next 5Y10.87%
Revenue Next Year-0.56%
Revenue Next 2Y1.32%
Revenue Next 3Y2.12%
Revenue Next 5Y2.54%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MAT is valuated correctly with a Price/Earnings ratio of 15.37.
64.52% of the companies in the same industry are more expensive than MAT, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.11, MAT is valued a bit cheaper.
MAT is valuated correctly with a Price/Forward Earnings ratio of 13.48.
64.52% of the companies in the same industry are more expensive than MAT, based on the Price/Forward Earnings ratio.
MAT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.37 | ||
| Fwd PE | 13.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MAT is on the same level as its industry peers.
MAT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MAT is cheaper than 77.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.17 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
MAT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of MAT may justify a higher PE ratio.
MAT's earnings are expected to grow with 12.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.1
PEG (5Y)N/A
EPS Next 2Y12.53%
EPS Next 3Y12.11%
5. Dividend
5.1 Amount
MAT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
MATTEL INC
NASDAQ:MAT (5/8/2024, 11:26:09 AM)
18.9
+0.18 (+0.96%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.50B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.37 | ||
| Fwd PE | 13.48 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.97% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.85% | ||
| PM (TTM) | 3.94% | ||
| GM | 47.42% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.33 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-2.38%
EPS 3Y32.4%
EPS 5Y
EPS growth Q2Q
EPS Next Y13.96%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.12%
Revenue growth 3Y5.85%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y