Toy Stocks, Including Mattel, Are Undervalued -- Market Talk
Dow Jones2026/10/12 13:360936 ET - Amid speculation of a Mattel sale, investors are taking a closer look at toy stocks and realizing that there is underappreciated value, Seaport analysts say in a research note. "We think investors are in the process of rediscovering the toy industry's stability, recession-resistance, and strong free cash flow generation," the analysts write. "We think all toy stocks, including Mattel, will experience multiple expansion as a result." Seaport upgrades Mattel to buy from neutral and says its upgrade isn't contingent upon an acquisition, which has been subject to takeover speculation many times in the past. "Based on our conversations with key players in the toy industry over the weekend, though, it seems more likely this time," the analysts say. "While we've been critical of Mattel's performance, we do think there is plenty of value if managed properly." (connor.hart@wsj.com)
(END) Dow Jones Newswires
October 12, 2026 09:36 ET (13:36 GMT)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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