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EL SEGUNDO, Calif. - Mattel, Inc. (NASDAQ: MAT), a profitable toy manufacturer with a market capitalization of $6.1 billion and strong financial health according to InvestingPro, today unveiled its latest innovation for the Hot Wheels brand—the Speed Snap Track System, which is set to revolutionize its iconic toy car tracks. The new system, featuring a patented snap-together design, is expected to hit stores in June, with a broader release slated for this fall.
The Speed Snap Track System is designed to simplify track assembly, enhance customization options, and improve the overall play experience. This new modular system allows for quick and easy construction of tracks, enabling children to independently create elaborate racing circuits, including jumps and loops. The system is also fully compatible with existing Hot Wheels tracks, thanks to included adaptors.
This development comes in response to a consumer survey indicating that less than a third of children aged 3-6 could assemble traditional Hot Wheels tracks without assistance. The survey also highlighted that parents found setup and storage to be cumbersome. With these findings, the Hot Wheels team aimed to address usability for young users and ease for parents. The company’s focus on innovation is supported by its strong financial position, maintaining a healthy gross profit margin of 51% and operating with moderate debt levels, as reported by InvestingPro.
Roberto Stanichi, executive vice president and Global Head of Vehicles and Building Sets, stated that the Speed Snap Track System was created to make track building as intuitive as snapping pieces together. This innovation is expected to allow children to create more complex courses with ease and provide parents with quicker cleanup options.
Complementing the physical product, Hot Wheels is also launching the Hot Wheels Track Creator app, which offers 3D assembly instructions and new build ideas. The app is available for free on Apple and Google Play app stores and is intended to further enhance the play experience.
The initial Speed Snap Track System offerings include the Triple Loop Speed Kit priced at $29.99 and the Boosted Jump Speedway Kit at $39.99. Additional Straight Track Packs will be available for $2.99. Mattel plans to expand the Speed Snap Track range in the coming years.
For more information on the Speed Snap Track System and other Hot Wheels innovations, consumers can visit www.HotWheels.com. The information in this article is based on a press release statement from Mattel, Inc. Currently trading below its Fair Value with a P/E ratio of 11, Mattel shows promising investment potential. Discover more insights and 8 additional ProTips about Mattel’s financial outlook through InvestingPro’s comprehensive research reports, available for over 1,400 US stocks.
In other recent news, Mattel Inc. reported its first-quarter 2025 earnings, which exceeded Wall Street expectations. The company achieved an adjusted earnings per share (EPS) of -$0.05, better than the forecasted -$0.09, and revenue reached $827 million, surpassing the anticipated $786.01 million. UBS analyst Arpine Kocharyan reiterated a Buy rating with a $29 price target, citing Mattel’s strong quarter results and positive retail sales trends. Citi analysts also maintained a Buy rating, raising their price target from $19.00 to $22.00, reflecting confidence in Mattel’s cost mitigation strategies against future tariff impacts. Meanwhile, Morgan Stanley increased its price target to $17.00, maintaining an Equalweight rating, and noted Mattel’s ability to offset additional costs through its global supply chain flexibility. Despite pausing its full-year 2025 guidance due to economic uncertainties, Mattel remains optimistic about its mitigation strategies against anticipated tariff costs of $270 million starting in the third quarter. The company has expressed confidence in managing these costs through supply chain diversification and potential pricing adjustments.
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