RS Large Cap Value Strategy Believes Long-Term Investment Mattel (MAT) Poised to Reward Shareholders in 2027
Victory Capital, which oversees the RS Large Cap Value Strategy, has released its Q1 2026 investor letter. A copy of the letter can be downloaded here. It is a value-oriented strategy that seeks to invest in strong companies with attractive valuations. Given the ongoing market volatility, risk management remains important. As long-term and patient investors, the company aims to capitalize on market volatility and periods of price volatility. For the three months ending March 31, 2026, the strategy returned 1.08% (gross), 0.95% (net), underperforming the Russell 1000® Value Index, which returned 2.10%. The poor performance was attributed to poor stock selection despite the strong industry position. In addition, please check the top five Strategy items to know your best choice in 2026.
In its investor letter for the first quarter of 2026, the RS Large Cap Value Strategy highlighted stocks such as Mattel, Inc. (NASDAQ:MAT). Mattel, Inc. (NASDAQ:MAT) is an international toy and entertainment company that manufactures and sells toys, games, and other products. On April 24, 2026, Mattel, Inc. (NASDAQ:MAT) closed at $14.53 per share. One month return of Mattel, Inc. (NASDAQ:MAT) was 2.68%, and its shares lost 7.51% in the last 52 weeks. Mattel, Inc. (NASDAQ:MAT) has a market capitalization of $4.39 billion.
The RS Large Cap Value Strategy says the following about Mattel, Inc. (NASDAQ:MAT) in its Q1 2026 investor letter:
“The assignments of Mattel, Inc. (NASDAQ:MAT), the world’s second-largest toy maker, underperformed this quarter following management’s strategic decision to significantly increase spending through 2026. This investment will temporarily squeeze margins and lower margins. While the scale of this spending has surprised many investors, our discussions with management have convinced us that this is a successful long-term business decision for Mattel. digital, entertainment, and product licensing These revenues are more profitable than traditional toy sales and are expected to drive Return on Invested Capital (ROIC) above and beyond, and we maintain our position.”
Mattel, Inc. (NASDAQ:MAT) is not on our list of the 40 Most Popular Stocks Among Hedge Funds Entering 2026. According to our database, 36 hedge fund portfolios hold Mattel, Inc. (NASDAQ:MAT) at the end of the fourth quarter, up from 34 in the previous quarter. While we acknowledge the power of Mattel, Inc. (NASDAQ:MAT) as an investment, we believe certain AI stocks offer great potential and carry little downside risk. If you’re looking for an extremely overlooked AI stock that will benefit greatly from the Trump-era costs and sea trend, check out our free report best short term AI stock.
