Financial Contrast: Mattel (NASDAQ:MAT) vs. Interplay Entertainment (OTCMKTS:IPLY)

Mattel (NASDAQ:MAT) and Interplay Entertainment (OTCMKTS:IPLY) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Mattel and Interplay Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mattel	9.82%	25.80%	8.90%
Interplay Entertainment	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings and price targets for Mattel and Interplay Entertainment, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mattel	0	3	5	0	2.63
Interplay Entertainment	0	0	0	0	0.00

Mattel presently has a consensus target price of $24.13, suggesting a potential upside of 23.78%. Given Mattel’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Mattel is more favorable than Interplay Entertainment.

Insider & Institutional Ownership

97.2% of Mattel shares are held by institutional investors. 1.7% of Mattel shares are held by company insiders. Comparatively, 6.7% of Interplay Entertainment shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Mattel and Interplay Entertainment”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mattel	$5.38 billion	1.17	$541.82 million	$1.56	12.49
Interplay Entertainment	N/A	N/A	N/A	N/A	N/A

Mattel has higher revenue and earnings than Interplay Entertainment.

Summary

Mattel beats Interplay Entertainment on 8 of the 9 factors compared between the two stocks.

About Mattel

Mattel, Inc., a toy and family entertainment company, designs, manufactures, and markets toys and consumer products in North America, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The company operates through North America, International, and American Girl segments. It offers dolls and accessories, as well as books, content, gaming, and lifestyle products for children under the Barbie, American Girl, Disney Princess and Disney Frozen, Monster High, and Polly Pocket brands; die-cast vehicles, tracks, playsets, and accessories for kids, adults, and collectors under the Hot Wheels, Hot Wheels Monster Trucks, Hot Wheels Mario Kart, Matchbox, and Cars brand names; and infant, toddler, and preschool products comprising content, toys, live events, and other consumer products under the Fisher-Price, Little People and Imaginext, and Thomas & Friends, and Power wheels brands. The company also provides action figures, building sets, games, and other products under the Masters of the Universe, MEGA, UNO, Jurassic World, Minecraft, WWE, Lightyear, and Star Wars; and licensor partner brands, including Disney Pixar, Microsoft, NBCUniversal, and WWE. It sells its products directly to consumers through its catalog, website, and proprietary retail stores; retailers, including omnichannel retailers, discount and free-standing toy stores, chain stores, department stores, and other retail outlets; and wholesalers, as well as through agents and distributors. Mattel, Inc. was founded in 1945 and is headquartered in El Segundo, California.

About Interplay Entertainment

Interplay Entertainment Corp. operates as a developer, publisher, and licensor of video game software in the United States. The company produces and licenses titles for various interactive entertainment software platforms in the action/arcade, adventure/RPG, and strategy/puzzle categories. Its game portfolio includes Battle Chess, Boogerman, Clay Fighter, Crazy Cats Love, Dark Alliance, Descent, DSiWare, Earthworm Jim, Freespace, Kingpin, M.A.X., Messiah, MDK, Redneck Rampage, Run Like Hell, Sacrifice, T-Rex Rumble, WiiWare, and Giants. The company was founded in 1982 and is based in Los Angeles, California.