Unless there is an upcoming earnings announcement
to cut earnings, this stock is fairly to undervalue
at current 1.63 per share or year end 1.92, that
puts mat at 19.6 or 16.66 p/e ration based on todays
price of 32.
a month ago, i asked company if
they were on target for year end. they said yes. 1.92
eps times historic aver p/e of 22 gives $42.24
Has anyone heard of a reduction of earning estimates
or some impending gloom???
They are as much as the SEC will allow them until
March 31, 1999. After-which they are lifted from the
restrictions imposed on them from buying Tyco on March 31,
1997 based on pooling transaction.
management knows the value of their company they have
indicated they will be buying agressively if the share
price is $38 or below, come march 31.
Hi I think this looks like a great buying
Mattel has a modest pe even if earnings
fall a few pennies
per share, not to mention
mattels near 30 percent return on
amazing. I just wanted to know if anyone knows
Mattels is buying back their shares.
Guess we will all have to waite and see what real
affect this has on Mat.
I bought in at 36. Thought
was a good company and fairly to undervalued at that
price. This was just before the Toys
Personally, think the sell off to 28 is overdone.
earnings were to drop to 1.88 and sell slightly below its
historic p/e say to 19 that puts the stock at
Right now, i have a 20 percent lose. Didnt know it
would keep going lower.Buying more at this level would
not lower my average much. Selling at this point is
futile too(i think).
I dont believe i have any
options but to wait it out.
I honestly think it "kills
me" to see it at this price where i could have bought
more so than having the "paper " lose.
think it will rebound.
Your thoughts would be
appreciated. Best to all
Sure there will be some impact - but it will be
modest and short term. My daughters want certain
Barbie's this Xmas - do you think they care where I get
They will most likely earn $1.90 to $1.95 this year.
Over the next five years thus number can easily
double, and double again over the next five years. For 15
- 16 X earnings, this very fine company is a
300,000 share block crossed by SSB. Buyer = Geico.
Mattel Shares Fall on Concern Toys `R' Us Will
El Segundo, California, Sept. 23
(Bloomberg) -- Mattel Inc. shares fell for a second day,
tumbling as much as 8.6 percent, on concern that inventory
cutbacks at its largest customer, Toys ``R'' Us Inc., will
Mattel, the industry leader with
brands such as Barbie and Hot Wheels, fell 2 3/4 to 29
7/16 in late trading of 3.44 million, more than double
the three-month daily average. Earlier, the shares
touched 28 1/4.
The shares have fallen 12 percent
since last week, when Toys ``R'' Us said it would take
a third-quarter charge, close stores and fire
employees to reduce costs and compete with lower-priced
rivals. In February, Toys ``R'' Us also said it would
eliminate about $250 million in inventory this year to cut
``Toys `R' Us dropped another bomb, and
there is nervousness of Mattel's ability to deliver
numbers based on Toys `R' Us's inventory problems,'' said
analyst Hayley Kissel of Merrill Lynch & Co., who has a
``medium-term buy'' rating on Mattel.
Whitfield at Tucker Anthony Inc. cut her rating on the
stock to ``market outperform'' from ``strong buy.''
Executives from Mattel are scheduled to meet with Toys ``R''
Us executives tomorrow to discuss the retailer's new
store formats and how the company will work with its
vendors, analysts said. Toys ``R'' Us will also meet with
No. 2 toymaker Hasbro Inc.
Inventory cuts at
Toys ``R'' Us means even fewer orders of Mattel's
brands, which include Fisher-Price toys and Tyco remote-
controlled cars. In the second quarter, Mattel said
declining orders reduced sales by about $78 million.
Shares of Mattel, based in the Los Angeles suburb of El
Segundo, California, have lost 28 percent of their value
since it said Toys ``R'' Us bought less merchandise,
which hurt second- quarter earnings. It was the second
consecutive quarter hurt by declining sales at Toys ``R'' Us.
Called the company yesterday.
latest news from Tot's r' us has hurt Mat.
, the "perception" is maybe they wont buy the toys
Company says they dont see that at
But, they are not sure right now how the latest news
of the inventory write down will affect mat , if at
He said will have to wait and see if there is any
affect, but again said for second half they should be on
Did say that several analyst dropped earning
estimates from 1.95 to 1.90, but i havent seen any
estimates changed yet.
If anyone else has info,
please print it. thanks