Mattel Stock Intrinsic Value – Mattel Relocates East Aurora Business, Offers Employees New Opportunities in Company Restructuring

March 29, 2024

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Mattel ($NASDAQ:MAT), one of the largest toy manufacturers in the world, is a well-known and established brand in the toy industry. Mattel is best known for iconic brands such as Barbie, Hot Wheels, and Fisher-Price, and has a strong portfolio of popular licensed brands like Disney, DC Comics, and WWE. Recently, Mattel made an announcement that has caused a stir in the business world – the relocation of their East Aurora business line to their headquarters in California. This move is part of the company’s overall restructuring plan, aimed at streamlining operations and improving efficiency. As a result, some employees from the East Aurora location have been offered positions in other departments within the company. This decision by Mattel has been reported by Buffalo Business

First, a local business publication in New York. According to the report, the East Aurora business line is primarily responsible for designing and developing products for the Fisher-Price brand. While the relocation of this business line may come as a surprise to many, it is not uncommon for companies to consolidate their operations to reduce costs and improve productivity. As part of this restructuring, the company has been focusing on its core brands and cutting costs by closing down non-performing businesses. Despite the relocation, Mattel remains committed to its presence in East Aurora. The company still plans to retain its design center in the town, which has been a key part of Fisher-Price’s success over the years.

Additionally, employees who have been offered opportunities within other departments at the company’s headquarters will have the option to relocate to California or continue working remotely. While it may bring some changes for the employees in the area, it also presents new opportunities for growth and development within the company. As Mattel continues to evolve and adapt to the changing market, it remains a leading player in the toy industry and a top choice for children and families around the world.

Share Price

Mattel, the renowned American multinational toy manufacturing company, has recently announced a major restructuring of its business operations. The company, which is headquartered in El Segundo, California, has decided to relocate its East Aurora business to a new location. This decision was made in an effort to streamline its operations and improve overall efficiency. According to reports, the stock of Mattel opened at $19.5 on Wednesday and closed at $19.8, showing a 1.9% increase from the previous day’s closing price of $19.4. This news has been received positively by investors, indicating their confidence in the company’s decision to restructure. The relocation of the East Aurora business will not only impact the physical location of the employees, but it also offers them new opportunities for growth within the company. Mattel has stated that the restructuring will result in a reduction of jobs in certain areas, but they are committed to providing affected employees with alternative positions within the company. This move by Mattel is a part of their larger plan to realign their business and focus on key brands and product lines.

The company has been facing declining sales in recent years due to increased competition and changing consumer preferences. By restructuring their operations and cutting costs, Mattel aims to enhance their profitability and drive future growth. In addition to the relocation, Mattel has also announced plans to invest in new technology and digital innovation to stay relevant in the ever-evolving toy industry. This investment, along with the restructuring, demonstrates the company’s commitment to adapting and evolving in order to remain competitive. It not only aims to improve efficiency and drive growth but also shows the company’s commitment to its employees by providing them with alternative options within the organization. With these changes in place, Mattel is poised to emerge stronger and continue its legacy as a leading toy manufacturer. Live Quote…

About the Company

  • Mattel_Relocates_East_Aurora_Business_Offers_Employees_New_Opportunities_in_Company_Restructuring”>Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for Mattel. More…

    Total Revenues Net Income Net Margin
    5.44k 214.4 3.9%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for Mattel. More…

    Operations Investing Financing
    870 -142 -227
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for Mattel. More…

    Total Assets Total Liabilities Book Value Per Share
    6.44k 4.29k 5.76
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for Mattel are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    5.9% 13.8% 10.8%
    FCF Margin ROE ROA
    16.0% 18.1% 5.7%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Analysis – Mattel Stock Intrinsic Value

    At GoodWhale, we have conducted a thorough analysis of MATTEL’s financials and have come to some key points that we would like to share. After examining the company’s financial statements and performance metrics, we have determined that the intrinsic value of MATTEL’s share is approximately $26.9. This value was calculated using our proprietary Valuation Line, which takes into account various factors such as the company’s earnings, growth potential, and market trends. However, despite our calculated intrinsic value, we have noticed that MATTEL’s stock is currently trading at a lower price of $19.8. This indicates that the stock is undervalued by approximately 26.3%. As an investor, this presents a potential opportunity to purchase shares at a lower price than their true value. It is important to note that stock prices can be influenced by various factors, including market sentiment and external events. Therefore, it is crucial to conduct further research and analysis before making any investment decisions. In conclusion, our analysis shows that MATTEL’s stock is currently undervalued and has the potential for future growth. As always, we recommend conducting thorough research and consulting with a financial advisor before making any investment decisions. Mattel_Relocates_East_Aurora_Business_Offers_Employees_New_Opportunities_in_Company_Restructuring”>More…

  • Star Chart Analysis
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  • Peers

    Mattel Inc is one of the world’s largest toy companies, with products sold in more than 150 countries. The company’s main competitors are Games Workshop Group PLC, Carnival PLC, and Escalade Inc.

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    Summary

    Mattel, a well-known toy company, has recently announced plans to relocate its business line from East Aurora, New York to California. This move will result in some local employees being offered positions in other areas of the company. From an investing perspective, this news may raise concerns about potential disruptions to the company’s operations and potential impacts on financial performance.

    However, it is unclear how this move will ultimately affect Mattel’s business and profitability. Investors may want to closely monitor the company’s actions and financial reports to assess the impact of this relocation on their investment in Mattel.

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