Using Rations to Compare Loan Requests from Two Companies

Mattel and Hasbro are the two biggest makers of games and toys in the world. Mattel sells over $6 billion of products each year while annual sales of Hasbro products exceed $4 billion. Compare the two companies as a potential investment based on the following ratios Mattel 53.7% 13.9% 28.4% $ 2.59 5.2 5.8 3.22 0.25 15.4 Ratio Hasbro 58.1% 10.0% 18.0% $2.16 Gross profit percentage Net profit margin Return on equity EPS Receivables turnover ratio Inventory turnover ratio Current ratio Debt-to-assets P/E ratio 5.0 1.82 0.32 25.6