Jefferies Financial Group has raised its price target for Hasbro, Inc. (NASDAQ:HAS) from $90.00 to $95.00, reflecting a positive outlook for the toy and entertainment company. This adjustment, detailed in a research note issued to investors on Monday, suggests a potential upside of 15.07% from the stock’s current price. Jefferies maintains a “buy” rating on Hasbro, indicating strong confidence in the company’s market position.
Several other financial institutions have also weighed in on Hasbro’s prospects. On October 24, 2023, the Goldman Sachs Group raised its price target for Hasbro from $89.00 to $90.00, also assigning a “buy” rating. Morgan Stanley reaffirmed its “overweight” rating with a price target of $94.00 on December 14, 2023. Additionally, Bank of America increased its price objective from $95.00 to $100.00 with a “buy” rating on September 29, 2023. Citigroup similarly raised its target from $91.00 to $97.00 on the same day as Goldman Sachs.
The consensus among equity analysts indicates a “Moderate Buy” rating for Hasbro, with an average price target of $90.31. Currently, one analyst has assigned a “Strong Buy” rating, eleven have rated it as a “Buy,” while two have issued a “Hold” rating and one has given a “Sell” rating.
Earnings Reports Indicate Strong Performance
Hasbro’s recent earnings report, released on October 23, 2023, revealed that the company generated $1.68 earnings per share (EPS), surpassing analysts’ expectations of $1.63 by $0.05. The company’s revenue for the quarter totaled $1.39 billion, compared to an expected $1.35 billion. Despite a negative net margin of 12.81%, Hasbro reported a robust return on equity of 82.17% and an 8.3% year-over-year revenue increase.
Analysts anticipate that Hasbro will post earnings of $4.33 per share for the current fiscal year, which reflects a continued commitment to growth in a competitive market.
Insider Activity and Institutional Investment
On the insider front, Hasbro’s Director, Hope F. Cochran, sold 4,000 shares at an average price of $77.24 on November 10, 2023, for a total of $308,960. Following this transaction, Cochran retains 17,102 shares valued at approximately $1.32 million, marking an 18.96% decrease in her position. Currently, insiders own 0.85% of the company’s stock.
Institutional investors have also been active regarding Hasbro shares. Brighton Jones LLC acquired a new stake in the company valued at about $317,000 during the fourth quarter. American Century Companies Inc. increased its holdings by 21.3% in the first quarter, owning 13,596 shares valued at approximately $836,000 after purchasing an additional 2,392 shares. Additionally, Northwestern Mutual Wealth Management Co. raised its stake by 14.5% during the same period.
Overall, hedge funds and institutional investors own approximately 91.83% of Hasbro’s stock, indicating a strong institutional backing for the company’s future endeavors.
Hasbro’s Legacy as a Global Entertainment Leader
Founded in 1923 and headquartered in Pawtucket, Rhode Island, Hasbro, Inc. has established itself as a premier name in the global toy and entertainment industry. The company designs, manufactures, and markets a wide array of toys and games. Its extensive portfolio includes iconic brands such as Monopoly, Play-Doh, Nerf, My Little Pony, and Transformers, showcasing its significant impact on consumer culture and the entertainment landscape.
As Hasbro navigates the evolving market dynamics, the recent updates from financial analysts suggest a confident outlook for the company’s growth and profitability. Investors will likely continue to monitor developments closely as the holiday season approaches and consumer demand shifts.
