Mattel sale would be irresponsible due to low valuation, says DA Davidson

DA Davidson analyst Linda Bolton Weiser keeps a Buy rating and $23 price target on Mattel but notes that while speculation has resurfaced about a possible sale to a private equity firm, it would be irresponsible for the Board to sell the company now when the valuation is low due to something that is "transitory", namely retailer inventory reductions. The firm adds however that following the company’s Q1 outlook, it is reducing its Q1 sales forecast to a decline of 30% from prior view of down 15%.