I've seen many postings over the last 2 years, but it's clear that neither Mattel investors or employees want to face the truth about the company. Mattel is Barbie and vice versa - this is a malignant relationship that has ruined the company.
By allowing Wall Street to view Mattel and Barbie as synonymous, the greater view of the company (a holder of classic and valued brands) is missed completely. The arrogance to think that a category like fashion dolls would NEVER be obsolete is staggering, if not dangerously naïve. Now investors wonder why this is happening. The answer is easy, investors - for years you refused to look at the business rather than the balance sheet. You chose NOT to ask tough questions at investor quarterly meetings and just accepted the outright LIES that were presented.
The fact is the company has been burning down for years - the current cycle of turmoil is indicative of a company that is lost with no map to a future. But even if Mattel had ALL the BEST TOYS and INNOVATION in the world, they would still be declining. Why? Because Barbie has been carry the profitability of the company (making twice as much margin as anything else in their portfolio) and no kids want to play with fashion dolls (never mind Barbie who doesn't have a character that's even mildly interesting - NOTHING ever happens TO her, it only happens AROUND her).
Mattel is in a no-win and no-recovery position. They can't stop investing in Barbie in lieu of their other brands, because the street won't allow it, and they can't keep investing because it doesn't provide a turnaround or ROI. There is no "come back", there is no "turnaround".
Prediction: Mattel will file for Chapter 11 before the end of Q1 in 2019.