The Barbie Effect?

Last year we popped a little bubble that had quite gripped the “meeja” at one point: that there was somehow an Anne Hathaway effect of her movies boosting the stock market.

That was rather disappointing all round as we remain partial to movies with La Hathaway but investment alpha alas they did not deliver! However, our ace research team who power Exchange Invest’s thinking donned their finest pink lab coats and found some rather fascinating data which suggests… not only is that remarkable doll box office gold right now but there may even be a “Barbie effect” in the stock market too!

Barbie already exerts considerable leverage on parent company Mattel. Her portfolio accounted for some 20% of the company’s profits… even before the firm moved into the movie business. Over $377 million dollars worldwide later, after a fabulous first weekend in cinemas, Barbie is in the pink in every sense.

So, looking at the movie, we pondered the alpha (female) question: does Barbie in her movie guise add value to Mattel stock?

We identified some 38 key points in the Barbie production development dating back all the way to the announcement of Barbie going full Tinseltown (way back in 2009) and then through the roster of directors and Hollywood stars being added to the movie…

Move through trailer releases, various commercial partnerships and all manner of launches / publicity announcements et al and our ace researchers burnt the midnight oil to wrap their project last Friday even before the incredible first weekend of general release demonstrated that Oppenheimer thought it had the nuclear bomb thing all wrapped up but it couldn’t keep up with the simply quantum explosion of Barbie power.

So, it’s not nuclear mega BUT there’s a clear impact here.