Indeed, but there is a loophole: Sex toys are available to sell as "novelty toys," just not as "sex toys." It's like selling a "bong" is also illegal, but if you call it a "water pipe—for tobacco use" and you also sell other legal smoking products, then it is legal.
RE: West Virginia State Board of Education v. Barnette, 1943
"...states can still require it while offering exemptions. And states have varying levels of exemptions — for example, Florida and Texas allow for a student to be exempted from reciting the Pledge of Allegiance only if a parent or guardian consents."