Oppenheimer Cuts Price Target on Mattel (MAT) Following FX Pressure

Oppenheimer maintained an Outperform rating on Mattel Inc. (NASDAQ: MAT), and cut the price target to $27.00 (from $28.00), as currencies weaken significantly in recent months. These currencies include the Brazilian real, the Canadian dollar, the Russian ruble and the Mexican peso.

Analyst Sean McGowan commented, "Continuing trends seen all year in major world currencies, several emerging markets important to Mattel’s business have seen their currencies weaken significantly in recent months, particularly in the weeks since we launched coverage with an Outperform rating and $28 price target (on 8/19/15 at a price of $22.90). These currencies include the Brazilian real, the Canadian dollar, the Russian ruble and the Mexican peso. All of these currencies (and others) had been weak prior to the third quarter, but they weakened considerably more during the quarter than we had expected. We are therefore trimming our EPS estimates for 2015, 2016 and 2017, and reducing our price target from $28 to $27. We maintain our Outperform rating."

For an analyst ratings summary and ratings history on Mattel Inc. click here. For more ratings news on Mattel Inc. click here.

Shares of Mattel Inc. closed at $22.63 yesterday.

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