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Hasbro Inc. (NASDAQ:HAS) Earnings Preview: Key Financial Insights

  • Earnings per Share (EPS) and revenue are projected to be $0.67 and approximately $770.6 million, respectively.
  • Hasbro exceeded the Zacks Consensus Estimate by 21.1% in the previous quarter, indicating its potential to outperform expectations again.
  • The company’s financial health is highlighted by a price-to-earnings (P/E) ratio of approximately 19.39 and a debt-to-equity ratio of 2.88, suggesting a significant reliance on debt financing.

Hasbro Inc. (NASDAQ:HAS) is a well-known player in the toy and entertainment industry, recognized for its popular brands like Monopoly, Nerf, and Transformers. The company is set to release its quarterly earnings on April 24, 2025, before the market opens. Analysts are keenly observing the earnings per share (EPS) and revenue figures, which are projected to be $0.67 and approximately $770.6 million, respectively.

In the previous quarter, Hasbro exceeded the Zacks Consensus Estimate by 21.1%, showcasing its ability to outperform expectations. For the upcoming earnings report, the Zacks Consensus Estimate suggests earnings of $0.67 per share, a 9.8% increase from the $0.61 reported in the same quarter last year. Revenue is expected to reach $770.6 million, marking a 1.6% rise from the previous year’s quarter.

The anticipated strong performance is attributed to the robust growth within the MAGIC ecosystem, alongside increased licensing revenues and reduced promotional discounts at retailers. These factors are likely to have positively impacted Hasbro’s performance in the upcoming quarter. However, over the past 30 days, there has been a 1.5% downward revision in the consensus EPS estimate for the quarter, indicating a collective reconsideration by analysts of their initial forecasts.

Hasbro’s financial metrics provide insight into its market valuation and financial health. The company has a price-to-earnings (P/E) ratio of approximately 19.39 and a price-to-sales ratio of about 1.81. Its enterprise value to sales ratio is around 2.47, while the enterprise value to operating cash flow ratio is approximately 12.05. The earnings yield for Hasbro is about 5.16%, reflecting the return on investment for shareholders.

Despite these positive indicators, Hasbro’s debt-to-equity ratio is notably high at 2.88, suggesting a significant reliance on debt financing. Additionally, Hasbro maintains a current ratio of 1.60, indicating its ability to cover short-term liabilities with its short-term assets. Investors will be closely watching the earnings report and management’s discussion of business conditions, as these will be crucial in determining the stock’s immediate price change and future earnings expectations.

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