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JPMorgan Slashes Mattel, Inc. (MAT)’s Price Target After Revenue and Earnings Miss

Mattel, Inc. (NASDAQ:MAT) is among the 13 Most Undervalued Stocks Under $20 to Buy. On October 27, JPMorgan’s Christopher Horvers slashed his price target on the stock to $23 from $25, while keeping a Neutral rating on its shares.

The adjustment followed the company’s third-quarter earnings results on October 21, which missed Wall Street’s estimates for both revenue and profit, as tariffs took a toll on its sales in North America.

The Barbie-maker posted net sales of $1.74 billion, down 6% year-over-year and falling shy of expectations of $1.83 billion. The company’s net income stood at $278 million, down $94 million from the prior year’s period. EPS was reported at $0.89 EPS, missing estimates of $1.05.

In a research note to investors, the JPMorgan analyst said that Mattel, Inc. (NASDAQ:MAT) missed revenue estimates for the third quarter as retailers shifted towards domestic shipping from direct imports. However, the company was poised for a strong finish to the fiscal year amid efficient inventory management and growth in orders from U.S. retailers since the start of Q4.

During the earnings call, Mattel, Inc. (NASDAQ:MAT)’s Chairman and CEO, Ynon Kreiz, said that despite a challenging third quarter, the company’s fundamentals remain healthy and orders are now beginning to pick up significantly again. Moreover, the toy manufacturer remains on track to meet its full-year guidance for 2025.

Mattel, Inc. (NASDAQ:MAT) is a toy and family entertainment company that owns several leading brands, such as Barbie, American Girl, Hot Wheels, UNO, and others.

While we acknowledge the risk and potential of MAT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MAT and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: ChatGPT Stock Advice: Top 8 Defense Stocks and 10 Largest Defense Stocks in 2025.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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