Toy Makers Will Have Room to Play This Year : Retail: With no holiday season hit, a trade group says, the field is open for manufacturers of all kinds of playthings.

Mattel Inc. has five of the 20 toys the Toy Manufacturers Assn. of America expects to be most popular this season.

And those five tend to be new takes on old favorites.

El Segundo-based Mattel, the world’s largest toy maker, is followed by Pawtucket, R.I.-based Hasbro Corp., which has four toys included on the list. Its leading toys tend to lean toward the tried and true as well.

Other manufacturers represented on the list are Binney & Smith Inc. of Easton, Pa., the makers of Crayola crayons; Tyco Toys Inc. of Mt. Laurel, N.J., which makes Matchbox cars, and San Francisco-based Lewis Galoob Toys Inc., which makes Sky Dancer.

The list of hot toys last year was a short one, headed by anything tied to the “Mighty Morphin Power Rangers” television show and “The Lion King” movie. This year, with the lack of a runaway hit, the trade group says the field is wide open for all--traditional toys such as puzzles, games and crayons; new entrants such as Sky Dancer; and old favorites like Colorforms, Slinky, Barbie and “Star Wars” action figures.

While the lack of a hit from the dominant companies may be great for individual toy manufacturers, it can be difficult for retailers. Sales have been sluggish this fall, and the absence of a hot toy means parents will be more likely to comparison-shop this holiday season, with retailers going head-to-head on price.

The battle for sales is likely to take a toll on Toys R Us Inc. The Rochelle Park, N.J., mass toy retailer is expected to report its first annual earnings decline in 20 years, in part because of stiff price competition from Dayton Hudson Corp.’s Target and from Wal-Mart Stores Inc. and Kmart Corp.