We Like These Underlying Return On Capital Trends At Mattel (NASDAQ:MAT)
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...
Has the U.S. Leisure Industry valuation changed over the past few years?
|Sat, 04 Dec 2021||US$88.4b||US$47.2b||US$3.7b||14.7x|
|Mon, 01 Nov 2021||US$99.2b||US$45.9b||US$4.2b||13.6x|
|Wed, 29 Sep 2021||US$96.5b||US$44.7b||US$3.7b||14.4x|
|Fri, 27 Aug 2021||US$106.2b||US$44.7b||US$3.7b||14.8x|
|Sat, 03 Jul 2021||US$115.1b||US$43.6b||US$3.5b||16x|
|Tue, 06 Apr 2021||US$98.4b||US$38.9b||US$2.2b||20.9x|
|Fri, 08 Jan 2021||US$95.8b||US$35.3b||US$1.1b||23.9x|
|Thu, 01 Oct 2020||US$70.6b||US$32.9b||US$666.2m||18.8x|
|Sun, 05 Jul 2020||US$52.9b||US$26.4b||-US$111,364,194.00||27.2x|
|Wed, 08 Apr 2020||US$31.8b||US$27.0b||US$638.1m||17.6x|
|Tue, 31 Dec 2019||US$51.1b||US$31.4b||US$759.8m||20.2x|
|Fri, 04 Oct 2019||US$46.8b||US$31.6b||-US$122,003,948.00||17.4x|
|Mon, 08 Jul 2019||US$38.5b||US$29.6b||US$421.1m||18.3x|
|Sun, 31 Mar 2019||US$36.2b||US$29.9b||US$357.3m||16.5x|
|Wed, 02 Jan 2019||US$31.4b||US$28.7b||US$97.1m||15.8x|
Current Industry PE: Investors are more pessimistic on the industry, considering it's trading at a PE ratio of 15.0x which is lower than its 3-year average PE of 19.5x. It appears they believe that earnings will not grow as fast as they have historically.
Past Earnings Growth: The earnings for companies in the Leisure industry have grown 220% per year over the last three years, and revenues for these companies have grown 18% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Which industries have driven the changes within the U.S. Leisure industry?
Industry PE: Investors are most optimistic about the Leisure Products industry even though it's trading below its 3-year average PE ratio of 19.5x. However analysts are expecting annual earnings growth of 24%, which is lower than the prior year's growth of 99% per year. So the market might believe that analysts are underestimating future growth.
Forecasted Growth: Analysts are most optimistic on the Leisure Products industry, expecting annual earnings growth of 24% over the next 5 years. However this is lower than its past earnings growth rate of 99% per year.
Which companies have driven the market over the last 7 days?
Genius Brands International
Peloton’s business faces headwinds as the world moves on from the pandemic. Revenues increased only at a 6% rate year-over-year in Q1’22 because of a slowdown in equipment sales. Peloton’s business has no moat, and the business model is vulnerable to a full economic reopening. Peloton lowered its revenue forecast, and shares of Peloton are still overpriced.