Should Investors Be Playing in Hasbro or Mattel?
Or might there be even more fun in Target?
Asian stocks ended mixed. The Heng Seng was off 1.08% but the Nikkei was up 0.41%. European stocks, however, were in positive territory early this morning. And here in the US, we're currently trading higher.
Here's what I'm seeing this morning:
Justin Sharon points out that BMO Capital Markets upped its rating on the company.
I think Hasbro, at about 14.8 times the 2010 estimate, is approaching fair value. Although I'll concede that if it can bust through the 52-week high, it could have some legs from current levels.
As for Mattel (MAT), I think its a little better deal at 12.9 times the 2010 estimate. Although if I were betting on toy sales, I'd rather try a play on Target (TGT).
Take-Two Interactive Software (TTWO):
Bloomberg reports that Harbinger has a 7% stake.
I haven't seen the filings, nor have I see this reported anywhere else, but I'd find it very interesting if it's accurate. Last week in Why Icahn's Stake in Take-Two Is Score for Company, I opined on why Icahn's stake was good news for shareholders.
1. These heavy hitters wouldn't consider bellying up unless they thought they were going to make some coin.
2. I'm speculating, as are some of the websites/news outlets, that with Icahn in the stock, we may see some sort of merger or combination with another company. The chatter is that Electronic Arts (ERTS) and it may end up together.
3. I suspect the high-profile interest will turn out to be a big positive for shareholders. You have to figure Take-Two's existing board is going to be doing everything in its power to prove its worth in the near-term.
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