Signal Says Now is the Time to Target 'Barbie' Stock

MAT's 40-day moving average has proved bullish for the stock in the past

Deputy Editor
Aug 7, 2023 at 12:56 PM
facebook X logo linkedin

Mattel Inc (NASDAQ:MAT) stock is up 3.5% to trade at $21.16 this afternoon, likely getting a boost from the megahit Barbie movie crossing $1 billion at the box office. Mattel stock hit a new 2023 peak of $22.62 on July 27, but prior to today had spent the last two trading weeks off by 0.5%. The good news for MAT is the recent lackluster price action has the stock trading near a historically bullish trendline. 

Mattel's recent consolidation -- seen in the chart below -- put the equity within one standard deviation of its 40-day moving average. Per data from Schaeffer's Senior Quantitative Analyst Rocky White, comparable moves have occurred five times over the last three years, with MAT averaging a 3.8% pop one month after the pullback, with returns positive 80% of the time. A similar move from its current perch would put the equity just shy of its 2023 high.

MAT Chart August 72023

Put traders have been growing bolder and could be caught off guard. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), MAT's 10-day put/call volume ratio stands higher than 73% of readings from the past year. This means long puts have been getting picked up at much faster-than-usual clip.

MAT also sports attractively priced premiums, per the equity's Schaeffer's Volatility Index (SVI) of 31% that ranks in the low 8th percentile of its 12-month range. This implies options traders are pricing in relatively low volatility expectations right now.

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI