Mattel (MAT)
NASDAQConsumer DiscretionaryLeisureSnapshot 2026-09-04
$14.53+1.61%
Close 2026-09-04 · 1-day change
NASDAQConsumer DiscretionaryLeisureSnapshot 2026-09-04
QuarterlyIQ Insights · MAT
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within consumer discretionary on a research-validated quality screen. As of 2026-09-04.
The screen ranks MAT against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Consumer Discretionary names rated weak grew net income 56% of the time over the next year (vs 53% for the rest of the cohort, n=5213).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Continue executing multi-year strategy to grow IP-driven play and family entertainment, including digital games and entertainment expansions.
Stated as a priority in 4 of last 4 quarters. Net Sales increased from $862M in 2026-Q1 to $1,125M in 2026-Q2, with year-over-year growth of 4% and 10% respectively. Management consistently emphasizes this strategic growth focus and the trajectory shows delivering top-line growth aligned with this priority.
“We continued to execute our multi-year strategy to grow our IP-driven play and family entertainment business in the second quarter.”
“We continued to make progress on our strategy to grow our IP driven play and family entertainment business.”
“2026 will be an important year for Mattel as we implement our new brand-centric strategy to grow our IP-driven play and family entertainment business.”
“We are advancing our strategy to grow our IP-driven toy business and expand our entertainment offering.”
Continue disciplined capital allocation with strategic investments and share repurchases targeting $400 million in 2026.
Stated as a priority in 4 of last 4 quarters. Share repurchases totaled $300 million year-to-date by 2026-Q2, with a maintained target of $400 million for 2026. Management has consistently reiterated this capital allocation focus and is delivering repurchases on track with stated goals.
Continue Optimizing for Profitable Growth program targeting $225 million in savings by year-end 2026 to improve operating income.
Stated as a priority in 4 of last 4 quarters. The cost savings target increased from $200M to $225M by year-end 2026. Operating income showed volatility with adjusted operating income of -$70M in 2026-Q1 improving to $39M in 2026-Q2. Management reiterates the savings program, but operating income trajectory shows mixed progress.
Expand digital games and entertainment offerings including integration of Mattel163 and movie releases.
Stated as a priority in 3 of last 4 quarters. Management highlights progress on digital strategy including Mattel163 integration and mobile game launches. While specific revenue contributions are not detailed, the company reports ongoing investments and entertainment releases supporting this growth area, indicating delivering progress.
“Launched first self-published mobile game establishing publishing and digital customer acquisition capabilities; second game in soft launch.”
Enhance commercial leadership and global sales capabilities with executive transitions and organizational focus.
Newly stated in 2026-Q2 with the appointment of Sanjay Luthra as Chief Commercial Officer to strengthen commercial organization and global sales. This priority is recent and no financial metrics are yet available to assess impact.
“Sanjay Luthra appointed Chief Commercial Officer to lead global sales and commercial operations.”
Over the trailing year it converted 7.08x of net income into operating cash flow. Historically, Consumer Discretionary names rated robust grew net income 58% of the time over the next year (vs 45% for the rest of the cohort, n=3652).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, long-term interest rates, Fed net liquidity (low R² over the window).
9 material management or governance events in the past 24 months, led by executive changes. Historically, Consumer Discretionary names rated neutral grew net income 48% of the time over the next year (vs 53% for the rest of the cohort, n=2538).
Not investment advice. As of 2026-09-04.
“Repurchased another $100 million of shares in the quarter, bringing year-to-date total to $300 million.”
“Repurchased $200 million of shares; maintaining $400 million target for 2026.”
“Board authorizes new $1.5 billion share repurchase program, expected to be completed by 2028.”
“Repurchased $202 million of shares, bringing year-to-date total to $412 million.”
“Mattel achieved further savings from our three-year Optimizing for Profitable Growth program, on track to achieve $225 million by year-end.”
“We are tracking ahead of our 3-year $200 million savings target and now projecting approximately $50 million of savings in 2026.”
“We are tracking ahead of our 3-year $200 million savings target and projecting $50 million savings in 2026.”
“We continued to execute on our Optimizing for Profitable Growth cost savings program.”
“Making strong progress on our digital strategy including integration of Mattel163 mobile games studio.”
“We expect growth to be led by innovation in toys, major partnerships, and an inflection in entertainment with two movie releases and expansion of digital games.”