Hasbro (NASDAQ:HAS) Releases Quarterly Earnings Results

Key Points

• Hasbro beat Q1 expectations, reporting earnings per share of $1.47 versus the $1.20 consensus and revenue of about $1.0 billion, above estimates. Revenue rose 12.7% year over year, helped by strength in Wizards of the Coast and digital gaming.
• Magic: The Gathering drove much of the upside, with management highlighting exceptional momentum, including record engagement and strong demand for the Lorwyn Eclipsed set. The gaming segment remains a key growth engine for the company.
• Despite the beat, investors were disappointed with guidance; Hasbro kept its full-year outlook unchanged, including 3%-5% constant-currency revenue growth and $1.4 billion-$1.45 billion in adjusted EBITDA. Shares fell slightly as the company also flagged cyber-related delays and ongoing cost pressures.

Hasbro (NASDAQ:HAS - Get Free Report) released its earnings results on Wednesday. The company reported $1.47 EPS for the quarter, beating analysts' consensus estimates of $1.20 by $0.27, Briefing.com reports. Hasbro had a positive return on equity of 172.27% and a negative net margin of 4.62%.The firm had revenue of $1 billion for the quarter, compared to analysts' expectations of $969.20 million. During the same quarter in the prior year, the firm posted $1.04 earnings per share. The company's quarterly revenue was up 12.7% on a year-over-year basis.

Here are the key takeaways from Hasbro's conference call:

• Hasbro delivered a strong Q1 with revenue up 13% year over year to $1.0 billion, adjusted operating profit up 29%, and adjusted EPS up 41%, driven primarily by Wizards of the Coast.
• Magic: The Gathering momentum remains exceptional, with Lorwyn Eclipsed becoming the best-selling premier set ever, strong backlist demand, and record engagement across organized play and MagicCon events.
• Hasbro reaffirmed full-year guidance, including 3%-5% constant-currency revenue growth, 24%-25% adjusted operating margin, and $1.4 billion-$1.45 billion of adjusted EBITDA, despite macro and cyber-related uncertainty.
• Consumer Products was stable but facing temporary disruptions; management said POS trends were positive, but a March cyber incident is expected to delay $40 million-$60 million of revenue from Q2 into the back half of 2026.
• Cost pressures remain a headwind, including about $30 million of oil-related freight, resin, and packaging costs in 2026, though Hasbro said it is offsetting part of this with tariffs, productivity actions, and pricing/mix.

Hasbro Stock Down 0.3%

Shares of HAS traded down $0.29 on Thursday, hitting $88.31. 316,869 shares of the stock traded hands, compared to its average volume of 1,897,609. Hasbro has a one year low of $64.74 and a one year high of $106.98. The company has a market capitalization of $12.49 billion, a PE ratio of -37.58, a P/E/G ratio of 2.84 and a beta of 0.52. The business has a 50 day simple moving average of $93.33 and a 200 day simple moving average of $89.31. The company has a debt-to-equity ratio of 4.59, a quick ratio of 1.49 and a current ratio of 1.65.

Hasbro Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Monday, June 1st will be issued a dividend of $0.70 per share. The ex-dividend date is Monday, June 1st. This represents a $2.80 dividend on an annualized basis and a dividend yield of 3.2%. Hasbro's dividend payout ratio is presently -119.15%.

Wall Street Analyst Weigh In

HAS has been the topic of a number of recent research reports. Monness Crespi & Hardt upped their target price on shares of Hasbro from $90.00 to $120.00 and gave the stock a "buy" rating in a research report on Wednesday, February 11th. DA Davidson dropped their price objective on shares of Hasbro from $110.00 to $100.00 and set a "neutral" rating on the stock in a research note on Friday, April 24th. Bank of America raised their target price on shares of Hasbro from $113.00 to $115.00 and gave the company a "buy" rating in a research note on Thursday. The Goldman Sachs Group boosted their price target on Hasbro from $88.00 to $114.00 and gave the stock a "buy" rating in a research report on Wednesday, February 11th. Finally, JPMorgan Chase & Co. upped their price target on Hasbro from $115.00 to $125.00 and gave the stock an "overweight" rating in a research note on Thursday, April 23rd. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $113.79.

Insider Buying and Selling

In other Hasbro news, CEO Christian P. Cocks sold 196,411 shares of Hasbro stock in a transaction on Thursday, February 26th. The stock was sold at an average price of $100.33, for a total value of $19,705,915.63. Following the completion of the sale, the chief executive officer owned 303,310 shares of the company's stock, valued at approximately $30,431,092.30. This trade represents a 39.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.71% of the company's stock.

Institutional Investors Weigh In On Hasbro

Institutional investors have recently modified their holdings of the business. University of Texas Texas AM Investment Management Co. purchased a new position in Hasbro in the 4th quarter worth about $27,000. CYBER HORNET ETFs LLC purchased a new stake in shares of Hasbro during the 2nd quarter valued at about $25,000. MUFG Securities EMEA plc bought a new stake in shares of Hasbro in the second quarter worth approximately $28,000. Wexford Capital LP purchased a new position in shares of Hasbro during the third quarter valued at approximately $37,000. Finally, NewEdge Advisors LLC raised its holdings in shares of Hasbro by 36.7% during the second quarter. NewEdge Advisors LLC now owns 686 shares of the company's stock valued at $51,000 after purchasing an additional 184 shares during the last quarter. 91.83% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Hasbro

Here are the key news stories impacting Hasbro this week:

• Positive Sentiment: Hasbro delivered a strong Q1 earnings beat, reporting EPS of $1.47 versus expectations of about $1.20, and revenue of $1.0 billion versus estimates of $969.2 million. Revenue rose 12.7% year over year, helped by strength in Wizards of the Coast and digital gaming, especially Magic: The Gathering. Reuters article
• Positive Sentiment: The company said digital games and Wizards drove the quarter, reinforcing that its higher-margin gaming segment remains a key growth engine for Hasbro. WSJ article
• Neutral Sentiment: Hasbro announced a quarterly dividend of $0.70 per share, which may support the stock for income-focused investors but is not the main driver of today’s trading. Business Wire article
• Negative Sentiment: Shares sold off because investors were disappointed that Hasbro maintained its full-year revenue growth outlook of 3%-5% and adjusted EBITDA guidance of $1.40 billion-$1.45 billion instead of raising it after the beat. Boston Globe article
• Negative Sentiment: Management also flagged a cybersecurity-related delay in Q2 and the cancellation of a Dungeons & Dragons game, adding to uncertainty around near-term growth and product pipeline execution. TipRanks article

About Hasbro

Hasbro, Inc is a global play and entertainment company, known for designing, manufacturing and marketing a diverse portfolio of toys, games and consumer products. Founded in 1923 as Hassenfeld Brothers and headquartered in Pawtucket, Rhode Island, the company has grown into one of the foremost names in the toy industry, with a presence in retail, digital and entertainment channels worldwide.

The company's brand portfolio features iconic properties such as Monopoly, Play-Doh, Nerf, My Little Pony and Transformers.

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