Tuesday, April 25, 2017

MATTEL and HASBRO

Hasbro, symbol HAS, is eating Mattel's lunch (MAT.)  Trading today at $102 HAS investors are mildly bullish on their future if you look at calls.  HAS has a July, 21 $110 call for $1.15 but the volume is low with only 6 contracts traded.  HAS is just off its multi year high of $104.14 hit yesterday.

MAT at $21.79 is just above its 3 years low of $19.45 hit in September of 2015.  Talk about dead money. Yet, the July 21, $24 contract is trading at $.45; also with low volume; only 5 contracts traded.

I no longer own either stock.  HAS is in 2 of my target/model portfolios that I publish, follow, and report on in this blog.   HAS is in the 2011 portfolio.  Bought on October 24, 2011 for $35.09.  I bought it again for the 2012 portfolio at a lower price $33.25.  At that time it was not such a good holding.   Since then, it has been quite a nice holding. 



Will MAT fail?  I don't know.  Will MAT be acquired, perhaps.  HAS is a good holding and with a dividend yield of only 2.12, I won't be buying it soon but it sure is worth watching.

Good Income Investing,

M* MoneyMadam