Hasbro Exceeds Q4 Expectations Driven by Wizards of the Coast
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy HAS?
Source: seekingalpha
- Significant Revenue Growth: Hasbro reported Q4 2025 revenue of $1.45 billion, a 32% year-over-year increase that exceeded expectations by $190 million, demonstrating strong operational execution in its digital transformation and cost-saving initiatives.
- Profitability Improvement: Adjusted earnings per share reached $1.51, more than tripling from a year ago and surpassing expectations by $0.56, which drove adjusted operating profit margin up 12 points to 21.8%, indicating enhanced profitability.
- Strong Performance from Magic: Within the Wizards of the Coast segment, tabletop gaming revenue more than doubled to $494.7 million in Q4, while digital and licensed gaming revenue saw a modest 3% increase, collectively driving net revenue in the segment up 86% to $630.4 million, reflecting robust market demand.
- Optimistic Future Outlook: Hasbro expects revenue growth of 3% to 5% in 2026, translating to a projected range of $4.841 billion to $4.935 billion, with adjusted operating margin anticipated between 24% and 25%, showcasing the company's confidence in future growth.
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Analyst Views on HAS
Wall Street analysts forecast HAS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for HAS is 95.71 USD with a low forecast of 90.00 USD and a high forecast of 100.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
7 Buy
1 Hold
1 Sell
Moderate Buy
Current: 96.760
Low
90.00
Averages
95.71
High
100.00
Current: 96.760
Low
90.00
Averages
95.71
High
100.00
About HAS
Hasbro, Inc. is a game, intellectual property (IP) and toy company. The Company delivers play experiences to kids, families, and fans around the world, through physical and digital games, video games, and toys, among others. Its Consumer Products segment engages in the sourcing, marketing and sales of toy and game products around the world. Its Wizards of the Coast and Digital Gaming segment engages in the promotion of the Company's brands through the development of trading cards, role-playing and digital game experiences based on Hasbro and Wizards of the Coast games. Its Entertainment segment engages in the development and production of Hasbro-branded entertainment content, including film, television, children’s programming, digital content and live entertainment focused on Hasbro-owned properties. Its portfolio of brands includes MAGIC: THE GATHERING, DUNGEONS & DRAGONS, MONOPOLY, HASBRO GAMES, NERF, TRANSFORMERS, PLAY-DOH and PEPPA PIG, as well as premier partner brands.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Hasbro to Announce Q4 Earnings on February 10
- Earnings Announcement: Hasbro (HAS) is set to release its Q4 earnings on February 10 before market open, with consensus EPS estimate at $0.95, reflecting a significant year-over-year increase of 106.5%, indicating strong profitability.
- Revenue Growth Expectations: The revenue estimate for Q4 stands at $1.26 billion, representing a 14.5% year-over-year growth, showcasing Hasbro's robust performance in the toy market and sustained consumer demand.
- Historical Performance Review: Over the past two years, Hasbro has exceeded EPS estimates 88% of the time and revenue estimates 75% of the time, demonstrating the company's stability and reliability in financial performance.
- Estimate Revision Trends: In the last three months, EPS estimates have seen two upward revisions and one downward revision, while revenue estimates have experienced two upward revisions with no downward adjustments, reflecting analysts' optimistic outlook on Hasbro's future performance.
See More
Hasbro Partners with Warner Bros. for Harry Potter Licensing
- Global Toy Licensing: Hasbro announced it will become the global primary toy licensee for Harry Potter and the upcoming HBO Original series starting in 2027, which is expected to launch a range of products inspired by the films and series, further solidifying its leadership in the toy market.
- Product Innovation: The new product line will include dolls, role play, action figures, and interactive plush toys, aimed at attracting Harry Potter's loyal fanbase and enhancing market competitiveness through a rich product portfolio.
- 25th Anniversary Celebration: This partnership coincides with the 25th anniversary of the first Harry Potter film, with Warner Bros. Discovery's Global Consumer Products President stating that the collaboration will deliver fresh toys and collectibles, further expanding the magical legacy of Harry Potter.
- HBO Series Launch: The HBO Original Harry Potter series is set to debut in 2027, expected to attract both new and existing audiences, with Hasbro's products closely tied to the series, enhancing brand influence and driving sales growth.
See More
Dungeons & Dragons Questers Toys Set to Launch in July 2026
- Global Collaboration Launch: Basic Fun! has entered into a worldwide licensing agreement with Hasbro to introduce the Dungeons & Dragons Questers toy line, aimed at inspiring the next generation of adventurers, with a rollout expected in July 2026 at major toy retailers worldwide.
- Product Design Concept: The Questers line will feature three collectible scales—Creatures, Adventurers, and Monsters—where all toys are blind-packed, encouraging children to mix, match, and customize their own heroes and beasts, thereby enhancing repeat play and creativity.
- Target Market Positioning: Specifically designed for children aged 5 to 8, this series blends classic D&D elements with modern toy market trends of personalization and discovery, aiming to foster emotional connections between children and parents through physical play.
- Brand Strategic Significance: As D&D continues to grow its global fanbase, the Questers line not only provides young players with a means to explore fantasy and imagination but also offers parents a new way to share this beloved IP, further solidifying D&D's place in popular culture.
See More
Hasbro Exceeds Q4 Expectations Driven by Wizards of the Coast
- Significant Revenue Growth: Hasbro reported Q4 2025 revenue of $1.45 billion, a 32% year-over-year increase that exceeded expectations by $190 million, demonstrating strong operational execution in its digital transformation and cost-saving initiatives.
- Profitability Improvement: Adjusted earnings per share reached $1.51, more than tripling from a year ago and surpassing expectations by $0.56, which drove adjusted operating profit margin up 12 points to 21.8%, indicating enhanced profitability.
- Strong Performance from Magic: Within the Wizards of the Coast segment, tabletop gaming revenue more than doubled to $494.7 million in Q4, while digital and licensed gaming revenue saw a modest 3% increase, collectively driving net revenue in the segment up 86% to $630.4 million, reflecting robust market demand.
- Optimistic Future Outlook: Hasbro expects revenue growth of 3% to 5% in 2026, translating to a projected range of $4.841 billion to $4.935 billion, with adjusted operating margin anticipated between 24% and 25%, showcasing the company's confidence in future growth.
See More
Hasbro Partners with Warner Bros for Harry Potter Licensing
- Licensing Partnership: Hasbro has entered a multi-year licensing agreement with Warner Bros. Discovery Global Consumer Products, becoming the global primary toy licensee for the Harry Potter universe and the upcoming HBO Original series, which is expected to significantly enhance brand influence and market share.
- Product Diversification: Under this agreement, Hasbro will launch a range of products inspired by the Harry Potter films and HBO Original series, including dolls, role play items, action figures, interactive plush toys, and board games, enriching its product line to attract consumers of all ages.
- Positive Market Reaction: In pre-market trading, Hasbro's stock is priced at $98.50, up 1.80% from the previous trading day, reflecting investor optimism regarding the new partnership, which may drive future sales growth for the company.
- Strategic Brand Alignment: Tim Kilpin, President of Toys, Games, Licensing and Entertainment at Hasbro, stated that the world of Harry Potter aligns perfectly with the company's mission to deliver a lifetime of play to generations of fans, further solidifying the brand's leadership position in the toy industry.
See More
Hasbro Declares Quarterly Dividend of $0.70
- Quarterly Dividend Announcement: Hasbro declares a quarterly dividend of $0.70 per share, consistent with previous distributions, reflecting the company's stable cash flow and profitability, which helps bolster investor confidence.
- Dividend Yield: The forward yield of 2.89% offers investors a relatively attractive return, potentially drawing interest from those seeking stable income streams in their portfolios.
- Shareholder Record Date: The dividend will be payable on March 4, with a record date of February 18 and an ex-dividend date also on February 18, ensuring shareholders receive their payouts in a timely manner.
- Buyback Plan: In addition to beating Q4 estimates, Hasbro announced a $1 billion stock buyback plan, further indicating the company's confidence in future growth and enhancing earnings per share.
See More
Hasbro to Announce Q4 Earnings on February 10
- Earnings Announcement: Hasbro (HAS) is set to release its Q4 earnings on February 10 before market open, with consensus EPS estimate at $0.95, reflecting a significant year-over-year increase of 106.5%, indicating strong profitability.
- Revenue Growth Expectations: The revenue estimate for Q4 stands at $1.26 billion, representing a 14.5% year-over-year growth, showcasing Hasbro's robust performance in the toy market and sustained consumer demand.
- Historical Performance Review: Over the past two years, Hasbro has exceeded EPS estimates 88% of the time and revenue estimates 75% of the time, demonstrating the company's stability and reliability in financial performance.
- Estimate Revision Trends: In the last three months, EPS estimates have seen two upward revisions and one downward revision, while revenue estimates have experienced two upward revisions with no downward adjustments, reflecting analysts' optimistic outlook on Hasbro's future performance.
See More
Hasbro Partners with Warner Bros. for Harry Potter Licensing
- Global Toy Licensing: Hasbro announced it will become the global primary toy licensee for Harry Potter and the upcoming HBO Original series starting in 2027, which is expected to launch a range of products inspired by the films and series, further solidifying its leadership in the toy market.
- Product Innovation: The new product line will include dolls, role play, action figures, and interactive plush toys, aimed at attracting Harry Potter's loyal fanbase and enhancing market competitiveness through a rich product portfolio.
- 25th Anniversary Celebration: This partnership coincides with the 25th anniversary of the first Harry Potter film, with Warner Bros. Discovery's Global Consumer Products President stating that the collaboration will deliver fresh toys and collectibles, further expanding the magical legacy of Harry Potter.
- HBO Series Launch: The HBO Original Harry Potter series is set to debut in 2027, expected to attract both new and existing audiences, with Hasbro's products closely tied to the series, enhancing brand influence and driving sales growth.
See More
Dungeons & Dragons Questers Toys Set to Launch in July 2026
- Global Collaboration Launch: Basic Fun! has entered into a worldwide licensing agreement with Hasbro to introduce the Dungeons & Dragons Questers toy line, aimed at inspiring the next generation of adventurers, with a rollout expected in July 2026 at major toy retailers worldwide.
- Product Design Concept: The Questers line will feature three collectible scales—Creatures, Adventurers, and Monsters—where all toys are blind-packed, encouraging children to mix, match, and customize their own heroes and beasts, thereby enhancing repeat play and creativity.
- Target Market Positioning: Specifically designed for children aged 5 to 8, this series blends classic D&D elements with modern toy market trends of personalization and discovery, aiming to foster emotional connections between children and parents through physical play.
- Brand Strategic Significance: As D&D continues to grow its global fanbase, the Questers line not only provides young players with a means to explore fantasy and imagination but also offers parents a new way to share this beloved IP, further solidifying D&D's place in popular culture.
See More
Hasbro Exceeds Q4 Expectations Driven by Wizards of the Coast
- Significant Revenue Growth: Hasbro reported Q4 2025 revenue of $1.45 billion, a 32% year-over-year increase that exceeded expectations by $190 million, demonstrating strong operational execution in its digital transformation and cost-saving initiatives.
- Profitability Improvement: Adjusted earnings per share reached $1.51, more than tripling from a year ago and surpassing expectations by $0.56, which drove adjusted operating profit margin up 12 points to 21.8%, indicating enhanced profitability.
- Strong Performance from Magic: Within the Wizards of the Coast segment, tabletop gaming revenue more than doubled to $494.7 million in Q4, while digital and licensed gaming revenue saw a modest 3% increase, collectively driving net revenue in the segment up 86% to $630.4 million, reflecting robust market demand.
- Optimistic Future Outlook: Hasbro expects revenue growth of 3% to 5% in 2026, translating to a projected range of $4.841 billion to $4.935 billion, with adjusted operating margin anticipated between 24% and 25%, showcasing the company's confidence in future growth.
See More
Hasbro Partners with Warner Bros for Harry Potter Licensing
- Licensing Partnership: Hasbro has entered a multi-year licensing agreement with Warner Bros. Discovery Global Consumer Products, becoming the global primary toy licensee for the Harry Potter universe and the upcoming HBO Original series, which is expected to significantly enhance brand influence and market share.
- Product Diversification: Under this agreement, Hasbro will launch a range of products inspired by the Harry Potter films and HBO Original series, including dolls, role play items, action figures, interactive plush toys, and board games, enriching its product line to attract consumers of all ages.
- Positive Market Reaction: In pre-market trading, Hasbro's stock is priced at $98.50, up 1.80% from the previous trading day, reflecting investor optimism regarding the new partnership, which may drive future sales growth for the company.
- Strategic Brand Alignment: Tim Kilpin, President of Toys, Games, Licensing and Entertainment at Hasbro, stated that the world of Harry Potter aligns perfectly with the company's mission to deliver a lifetime of play to generations of fans, further solidifying the brand's leadership position in the toy industry.
See More
Hasbro Declares Quarterly Dividend of $0.70
- Quarterly Dividend Announcement: Hasbro declares a quarterly dividend of $0.70 per share, consistent with previous distributions, reflecting the company's stable cash flow and profitability, which helps bolster investor confidence.
- Dividend Yield: The forward yield of 2.89% offers investors a relatively attractive return, potentially drawing interest from those seeking stable income streams in their portfolios.
- Shareholder Record Date: The dividend will be payable on March 4, with a record date of February 18 and an ex-dividend date also on February 18, ensuring shareholders receive their payouts in a timely manner.
- Buyback Plan: In addition to beating Q4 estimates, Hasbro announced a $1 billion stock buyback plan, further indicating the company's confidence in future growth and enhancing earnings per share.
See More
