Mattel Investors Sue Over Demand Drop for Barbie, Hot Wheels (1)
March 7, 2019, 3:18 PM; Updated: March 7, 2019, 6:54 PM
Mattel Inc. allegedly misled investors about the sales strength of its Barbie and Hot Wheels brands, a March 6 class complaint said.
The California-based toymaker touted increased demand for its signature dolls and toy cars Feb. 7, the complaint filed in the U.S. District Court for the Central District of California said.
But just over a week later, the company revealed that it expected slower sales growth for Barbie and Hot Wheels in 2019, the suit said.
Mattel’s stock price fell $3.09 per share—more than 18 percent—after the company disclosed its expectations of weakened demand, the complaint said.
Cause of ...