Mattel reported fourth-quarter 2025 adjusted earnings of 39 cents per share. This result missed analyst expectations of 54 cents per share. Quarterly sales reached $1.76 billion. This total missed the $1.84 billion analyst estimate.
The lackluster holiday performance triggered a stock plunge exceeding 20% on February 11. This event marked the company's worst single-day percentage decline since October 1999. The stock remains down approximately 27% over the past 12 months. Rival Hasbro recorded a 76% gain during the same period.
Mattel acquired full ownership of Mattel163 mobile-games studio from NetEase for $159 million. The investment signals a strategic shift toward digital gaming to compete with rival Hasbro. Analysts expect the move to drive long-term growth despite near-term profit pressure from increased spending.
The stock closed at $16.47 on February 13. This price represented a 3.91% recovery. Shares traded at $16.79 during after-hours sessions on February 17. This movement marked a 1.94% increase.