07:25 AM EDT, 04/24/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We maintain our 12-month price target of $22, based on 16.4x our 2024 EPS estimate and above the company's 3-year average forward P/E multiple of 15.7x. We maintain our 2024 and 2025 EPS estimates of $1.35 and $1.40, respectively. MAT posts normalized Q1 EPS of ($0.05) vs. ($0.24), $0.07 above consensus estimates on revenues of $810M vs. $815M and $23M below estimates By segment, Dolls gross billings declined 4% Y/Y, Infant and Toddler declined 10%, Vehicles increased 5%, and Action Figures were flat. Q1 adjusted gross margin expanded 830 bps Y/Y to 48.3% due to lower inventory management costs, cost deflation, and lower supply chain costs. Sales in North America increased 2%, while international sales declined 4%. The company said sales trends at wholesalers improved throughout the quarter. We believe MAT is a top competitor in the toy manufacturing space with top brands like Barbie and Hot Wheels, but we think shares trade near fair value as demand for discretionary goods remains muted.