NEW YORK (TheStreet) -- Shares of Mattel Inc. (MAT - Get Report) are lower by -6.25% to $36.59 on heavy volume in early afternoon trading on Thursday after the company reported a decline in net earnings to $28.3 million, or 8 cents per share for the 2014 second quarter, compared to $73.3 million, or 21 cents per share for the 2013 second quarter.
The toy maker, famous for its line of Barbie dolls, said total net sales were down 9% to $1.06 billion, from the year ago quarter.
One factor causing the drop in earnings and revenue is slumping demand for Mattel's signature doll.
Worldwide gross Barbie sales were lower by 15% for the 2014 second quarter, from the same period last year.
Hot Wheels sales, another Mattel brand, were down 2% for the quarter, and Fisher-Price sales retreated 17% from 2013's second quarter.
Separately, TheStreet Ratings team rates MATTEL INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate MATTEL INC (MAT) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
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