MATTEL INC (MAT) Stock Fundamental Analysis
NASDAQ:MAT - US5770811025 - Common Stock
18.36 USD
+0.59 (+3.32%)
18.36 USD
0 (0%)
Taking everything into account, MAT scores 6 out of 10 in our fundamental rating. MAT was compared to 31 industry peers in the Leisure Products industry. MAT scores excellent on profitability, but there are some minor concerns on its financial health. MAT is valued quite cheap, but it does not seem to be growing. These ratings would make MAT suitable for value investing!
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.
Each year in the past 5 years MAT has been profitable.
MAT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 8.42%, MAT belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
The Return On Equity of MAT (24.23%) is better than 96.77% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.20%, MAT belongs to the top of the industry, outperforming 83.87% of the companies in the same industry.
MAT had an Average Return On Invested Capital over the past 3 years of 8.34%. This is in line with the industry average of 7.51%.
The last Return On Invested Capital (10.20%) for MAT is above the 3 year average (8.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 24.23% | ||
| ROIC | 10.2% |
ROA(3y)6%
ROA(5y)6.87%
ROE(3y)17.69%
ROE(5y)26.18%
ROIC(3y)8.34%
ROIC(5y)8.16%
1.3 Margins
With an excellent Profit Margin value of 9.86%, MAT belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
MAT's Profit Margin has declined in the last couple of years.
MAT has a Operating Margin of 13.82%. This is amongst the best in the industry. MAT outperforms 96.77% of its industry peers.
MAT's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 51.48%, 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 | 13.82% | ||
| PM (TTM) | 9.86% | ||
| GM | 51.48% |
OM growth 3Y-0.64%
OM growth 5Y52.65%
PM growth 3Y-15.25%
PM growth 5YN/A
GM growth 3Y1.85%
GM growth 5Y2.81%
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.
MAT has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MAT has been reduced compared to 5 years ago.
The debt/assets ratio for MAT has been reduced compared to a year ago.
2.2 Solvency
MAT has an Altman-Z score of 3.10. This indicates that MAT is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.10, MAT perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
MAT has a debt to FCF ratio of 4.41. This is a neutral value as MAT would need 4.41 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.41, MAT is doing good in the industry, outperforming 74.19% of the companies in the same industry.
A Debt/Equity ratio of 0.80 indicates that MAT is somewhat dependend on debt financing.
MAT has a worse Debt to Equity ratio (0.80) than 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 4.41 | ||
| Altman-Z | 3.1 |
ROIC/WACC1.4
WACC7.3%
2.3 Liquidity
MAT has a Current Ratio of 1.62. This is a normal value and indicates that MAT is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MAT (1.62) is worse than 74.19% of its industry peers.
MAT has a Quick Ratio of 1.12. This is a normal value and indicates that MAT is financially healthy and should not expect problems in meeting its short term obligations.
MAT has a worse Quick ratio (1.12) than 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.27% over the past year.
Measured over the past 5 years, MAT shows a small growth in Earnings Per Share. The EPS has been growing by 7.83% on average per year.
Looking at the last year, MAT shows a decrease in Revenue. The Revenue has decreased by -1.72% in the last year.
Measured over the past years, MAT shows a small growth in Revenue. The Revenue has been growing by 3.61% on average per year.
EPS 1Y (TTM)9.27%
EPS 3Y7.83%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-0.48%
Revenue growth 5Y3.61%
Sales Q2Q%-5.66%
3.2 Future
Based on estimates for the next years, MAT will show a small growth in Earnings Per Share. The EPS will grow by 5.10% on average per year.
Based on estimates for the next years, MAT will show a small growth in Revenue. The Revenue will grow by 2.00% on average per year.
EPS Next Y0.14%
EPS Next 2Y4.06%
EPS Next 3Y4.59%
EPS Next 5Y5.1%
Revenue Next Year1.96%
Revenue Next 2Y2.25%
Revenue Next 3Y2.21%
Revenue Next 5Y2%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
Based on the Price/Earnings ratio of 11.13, the valuation of MAT can be described as reasonable.
Based on the Price/Earnings ratio, MAT is valued cheaply inside the industry as 96.77% of the companies are valued more expensively.
MAT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.24.
MAT is valuated reasonably with a Price/Forward Earnings ratio of 10.40.
Based on the Price/Forward Earnings ratio, MAT is valued cheaper than 93.55% of the companies in the same industry.
MAT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MAT is valued cheaply inside the industry as 87.10% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, MAT is valued cheaply inside the industry as 83.87% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.17 | ||
| EV/EBITDA | 7.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
MAT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)78.47
PEG (5Y)N/A
EPS Next 2Y4.06%
EPS Next 3Y4.59%
5. Dividend
5.1 Amount
MAT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
18.36
+0.59 (+3.32%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners101.8%
Inst Owner Change-3.41%
Ins Owners0.64%
Ins Owner Change2.95%
Market Cap5.92B
Analysts83.33
Price Target25.44 (38.56%)
Short Float %3.42%
Short Ratio2.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)48.16%
Min EPS beat(2)26.33%
Max EPS beat(2)70%
EPS beat(4)4
Avg EPS beat(4)46.65%
Min EPS beat(4)18.88%
Max EPS beat(4)71.4%
EPS beat(8)7
Avg EPS beat(8)34.14%
EPS beat(12)9
Avg EPS beat(12)69%
EPS beat(16)13
Avg EPS beat(16)88.39%
Revenue beat(2)1
Avg Revenue beat(2)0.06%
Min Revenue beat(2)-4%
Max Revenue beat(2)4.12%
Revenue beat(4)2
Avg Revenue beat(4)-0.37%
Min Revenue beat(4)-4%
Max Revenue beat(4)4.12%
Revenue beat(8)3
Avg Revenue beat(8)-0.94%
Revenue beat(12)5
Avg Revenue beat(12)-0.89%
Revenue beat(16)9
Avg Revenue beat(16)1.49%
PT rev (1m)5.99%
PT rev (3m)5.93%
EPS NQ rev (1m)-4.77%
EPS NQ rev (3m)-8.61%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.85%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 10.4 | ||
| P/S | 1.11 | ||
| P/FCF | 11.17 | ||
| P/OCF | 7.96 | ||
| P/B | 2.72 | ||
| P/tB | 13.9 | ||
| EV/EBITDA | 7.94 |
EPS(TTM)1.65
EY8.99%
EPS(NY)1.77
Fwd EY9.61%
FCF(TTM)1.64
FCFY8.95%
OCF(TTM)2.31
OCFY12.56%
SpS16.56
BVpS6.74
TBVpS1.32
PEG (NY)78.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 24.23% | ||
| ROCE | 16.31% | ||
| ROIC | 10.2% | ||
| ROICexc | 12.63% | ||
| ROICexgc | 24.21% | ||
| OM | 13.82% | ||
| PM (TTM) | 9.86% | ||
| GM | 51.48% | ||
| FCFM | 9.92% |
ROA(3y)6%
ROA(5y)6.87%
ROE(3y)17.69%
ROE(5y)26.18%
ROIC(3y)8.34%
ROIC(5y)8.16%
ROICexc(3y)10.74%
ROICexc(5y)10.22%
ROICexgc(3y)19.47%
ROICexgc(5y)19.26%
ROCE(3y)13.33%
ROCE(5y)13.05%
ROICexcg growth 3Y0.41%
ROICexcg growth 5Y47.39%
ROICexc growth 3Y0.77%
ROICexc growth 5Y54.53%
OM growth 3Y-0.64%
OM growth 5Y52.65%
PM growth 3Y-15.25%
PM growth 5YN/A
GM growth 3Y1.85%
GM growth 5Y2.81%
F-Score7
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 4.41 | ||
| Debt/EBITDA | 1.92 | ||
| Cap/Depr | 126.86% | ||
| Cap/Sales | 4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.01% | ||
| Profit Quality | 100.62% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 3.1 |
F-Score7
WACC7.3%
ROIC/WACC1.4
Cap/Depr(3y)104.46%
Cap/Depr(5y)91.39%
Cap/Sales(3y)3.38%
Cap/Sales(5y)3.1%
Profit Quality(3y)168.81%
Profit Quality(5y)135.69%
High Growth Momentum
Growth
EPS 1Y (TTM)9.27%
EPS 3Y7.83%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y0.14%
EPS Next 2Y4.06%
EPS Next 3Y4.59%
EPS Next 5Y5.1%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-0.48%
Revenue growth 5Y3.61%
Sales Q2Q%-5.66%
Revenue Next Year1.96%
Revenue Next 2Y2.25%
Revenue Next 3Y2.21%
Revenue Next 5Y2%
EBIT growth 1Y7.88%
EBIT growth 3Y-1.12%
EBIT growth 5Y58.17%
EBIT Next Year47.08%
EBIT Next 3Y15.74%
EBIT Next 5YN/A
FCF growth 1Y46.76%
FCF growth 3Y21.41%
FCF growth 5Y56.06%
OCF growth 1Y36.98%
OCF growth 3Y18.14%
OCF growth 5Y36.59%