Mattel shares surged 14% in premarket trading on Wednesday after the Hot Wheels maker provided an upbeat annual profit forecast and hinted at stabilizing toy demand, despite tariff-related uncertainty.

Shares of Mattel Inc. jumped after hours on Tuesday after the toy maker forecast an adjusted per-share profit for this year that came in above analysts’ expectations, as it takes actions — including potential changes to its prices — to offset a fresh round of tariffs from President Donald Trump.