Hasbro (HAS) AI Stock Analysis

• Market Cap: $14.20B
• Dividend Yield: 3.44%
• Average Volume (3M): 2.03M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: 0.87%
• EPS Growth: 14.02%
• Country: US
• Employees: 4,985
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 1.51
• Shares Outstanding: 140,337,020
• 10 Day Avg. Volume: 2,659,836
• 30 Day Avg. Volume: 2,031,025
• PEG Ratio: 0.20
• Price to Book (P/B): 20.54
• Price to Sales (P/S): 2.47
• P/FCF Ratio: 13.99
• Enterprise Value/Market Cap: 1.16
• Enterprise Value/Revenue: 3.51
• Enterprise Value/Gross Profit: 4.99
• Enterprise Value/Ebitda: 70.88
• 1Y Price Target: $114.38
• Price Target Upside: 16.39% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 5.68
• Revenue Forecast (FY): $4.91B

• Rating: 67 Neutral
• Price Target: $110.00 ▲(11.94% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is held back primarily by weak GAAP profitability and elevated leverage, partially offset by very strong free cash flow. Technical momentum is favorable, and management’s guidance and operational momentum (led by Wizards/digital and cost savings) are supportive, while valuation support is mixed due to a negative P/E despite a moderate dividend yield.

Positive Factors

Free Cash Flow Strength

Consistently strong operating and free cash flow provide durable funding for debt paydown, the $1B buyback, dividends, and reinvestment. Robust cash conversion despite a GAAP loss improves financial flexibility and supports strategic execution over the next 2–6 months.

Wizards IP & Digital Momentum

Wizards of the Coast is a high-margin, fast-growing franchise with strong player metrics and recurring engagement. Its scale and digital/organized-play ecosystem create structural revenue diversity and durable margin contribution that bolster Hasbro’s long-term operating profile.

Cost Transformation & Faster Innovation

Meaningful, deliverable cost savings plus AI/3D-enabled faster prototyping materially improve product hit-rate and development efficiency. These structural productivity gains should support margin expansion and quicker product cycles across categories over multiple quarters.

Negative Factors

High Leverage and Thin Equity Base

A thin equity base and elevated leverage limit financial flexibility and increase default and refinancing risk if earnings fluctuate. Covenants and rating sensitivity mean slower deleveraging or an earnings setback could force conservative capital allocation in coming months.

Collapsed GAAP Profitability

Despite revenue recovery, the swing to a GAAP loss and near-zero EBITDA margin indicate operating leverage is not yet restored. Sustained negative profitability threatens retained earnings and raises execution risk until adjusted margins consistently convert to positive GAAP results.

Recurring Tariff & Cost Headwinds

Ongoing tariff exposure, rising royalty expense tied to entertainment tie-ins, and planned investment in self-published games are structural cost pressures. These recurring items can erode margin gains from productivity absent sustained pricing or mix improvements over the next several quarters.

Hasbro Business Overview & Revenue Model

Company Description

Hasbro, Inc., together with its subsidiaries, operates as a play and entertainment company. Its Consumer Products segment engages in the sourcing, marketing, and sale of toy and game products. This segment also promotes its brands through the out-licensing of trademarks, characters, and other brand and intellectual property rights to third parties through the sale of branded consumer products, such as toys and apparels. Its toys and games include action figures, arts and crafts and creative play products, fashion and other dolls, play sets, preschool toys, plush products, sports action blasters and accessories, vehicles and toy-related specialty products, games, and other consumer products; and licensed products, such as apparels, publishing products, home goods and electronics, and toy products. The company's Wizards of the Coast and Digital Gaming segment engages in the promotion of its brands through the development of trading card, role-playing, and digital game experiences based on Hasbro and Wizards of the Coast games. Its Entertainment segment engages in the development, acquisition, production, distribution, and sale of world-class entertainment content, including film, scripted and unscripted television, family programming, digital content, and live entertainment. The company sells its products to retailers, distributors, wholesalers, discount stores, drug stores, mail order houses, catalog stores, department stores, and other traditional retailers, as well as ecommerce retailers; and directly to customer through Hasbro PULSE e-commerce website. Hasbro, Inc. was founded in 1923 and is headquartered in Pawtucket, Rhode Island.

How the Company Makes Money

Hasbro generates revenue through multiple key streams, primarily from the sales of toys and games, which include both traditional physical products and digital offerings. The company's revenue model is built on a combination of direct sales to retailers, e-commerce, and licensing agreements. Retail partnerships with major chains such as Walmart, Target, and Amazon play a crucial role in distributing Hasbro's products. Additionally, Hasbro earns significant income through licensing its intellectual properties for use in films, television, and video games, collaborating with major studios to create content that further enhances brand visibility and appeal. Seasonal trends, particularly around holidays, also significantly impact revenue, as consumers tend to increase spending on gifts. Furthermore, Hasbro's investment in digital gaming and interactive experiences has opened new avenues for monetization, contributing to its overall financial performance.

Hasbro Financial Statement Overview

Summary

Mixed fundamentals. Income statement is weak (net loss and collapsed EBITDA margin), balance sheet is stressed with high leverage and a thin equity base, but cash generation is a standout with strong operating and free cash flow supporting liquidity and capital returns.

Income Statement

Revenue rebounded in 2025 (annual) to $4.70B (+7.9% YoY) after declines in 2023–2024, and gross margin expanded sharply to ~71% from ~65% in 2024. However, profitability deteriorated materially: net income swung to a loss (-$322M) and net margin fell to -6.9%, while operating profitability is extremely thin (EBITDA margin ~0.2%) versus strong levels in 2024 (~21%). Overall, the top-line and gross margin recovery is a positive, but the collapse in operating earnings and return to net losses is the key concern.

Balance Sheet

Leverage increased meaningfully in 2025 (annual) as equity shrank to ~$566M while debt remained elevated at ~$2.77B, pushing debt-to-equity to ~4.9x (up from ~2.9x in 2024). Return on equity also turned negative in 2025, reflecting the earnings loss. While total debt has come down from 2020–2022 peaks, the current equity base is thin, leaving the balance sheet more vulnerable if earnings volatility persists.

Cash Flow

Cash generation is a clear strength. In 2025 (annual), operating cash flow rose to ~$893M and free cash flow increased to ~$830M (+27.9%), following solid free cash flow in 2024 (~$760M). Cash conversion remains strong despite the net loss, with free cash flow roughly matching net income in magnitude (free cash flow to net income ~0.93). The main weakness is that cash flow coverage of key obligations/requirements remains under 1.0 (0.48 in 2025), though it improved vs. 2023–2024 levels.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.70B	4.14B	5.00B	5.86B	6.42B
Gross Profit	3.30B	2.67B	2.87B	3.45B	3.87B
EBITDA	232.70M	880.50M	-863.20M	1.22B	1.67B
Net Income	-322.40M	385.60M	-1.49B	203.50M	428.70M
Balance Sheet
Total Assets	5.55B	6.34B	6.54B	9.30B	10.04B
Cash, Cash Equivalents and Short-Term Investments	882.00M	694.70M	544.80M	498.60M	983.40M
Total Debt	3.26B	3.41B	3.50B	4.01B	4.07B
Total Liabilities	4.99B	5.16B	5.45B	6.43B	6.95B
Stockholders Equity	565.50M	1.16B	1.06B	2.83B	3.03B
Cash Flow
Free Cash Flow	829.90M	760.20M	516.30M	198.70M	685.20M
Operating Cash Flow	893.20M	847.40M	725.60M	372.90M	817.90M
Investing Cash Flow	-284.40M	-203.70M	117.60M	-313.00M	242.00M
Financing Cash Flow	-531.30M	-497.50M	-818.10M	-553.30M	-1.46B

Hasbro Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 98.27
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HAS, the sentiment is Positive. The current price of 98.27 is above the 20-day moving average (MA) of 96.37, above the 50-day MA of 88.81, and above the 200-day MA of 77.35, indicating a bullish trend. The MACD of 3.81 indicates Positive momentum. The RSI at 57.85 is Neutral, neither overbought nor oversold. The STOCH value of 43.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HAS.

Hasbro Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GOLF	70 Outperform	$5.87B	27.38	25.91%	1.15%	4.20%	24.12%
HAS	67 Neutral	$14.20B	-42.97	-37.42%	3.44%	0.87%	14.02%
JOUT	66 Neutral	$506.00M	-22.06	-7.78%	3.22%	-0.07%	-31.45%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MAT	58 Neutral	$5.37B	13.87	17.69%	―	-2.36%	-16.06%
JAKK	52 Neutral	$199.81M	36.05	4.03%	5.97%	-16.49%	-81.62%
FNKO	50 Neutral	$233.75M	-3.47	-32.77%	―	-11.32%	-165.08%

Hasbro Corporate Events

Hasbro Expands Revolving Credit Facility to Bolster Liquidity

On February 20, 2026, Hasbro, Inc. entered into a Fourth Amended and Restated Revolving Credit Agreement that replaces its prior 2023 facility and provides a senior unsecured revolving credit line of $1.1 billion, with the option to increase commitments by up to an additional $550 million. The amended facility extends the maturity to February 20, 2031, includes sub‑facilities for up to $75 million in letters of credit and $50 million in swing line loans, and ties interest margins and commitment fees to the company’s debt rating and consolidated net total leverage ratio.

The agreement imposes standard covenants, including limits on liens, additional indebtedness, and certain mergers, as well as requirements to maintain a minimum consolidated interest coverage ratio of 3.00:1.00 and maximum consolidated net total leverage ratios of 3.75:1.00 in most quarters and 4.00:1.00 in the third quarter. By securing long‑dated, flexible liquidity on investment‑grade style terms, Hasbro strengthens its capital structure and financial flexibility, which may support ongoing operations, balance sheet management, and strategic initiatives for the benefit of lenders and other stakeholders.

The most recent analyst rating on (HAS) stock is a Buy with a $99.00 price target. To see the full list of analyst forecasts on Hasbro stock, see the HAS Stock Forecast page.

Hasbro Expands Board With New Consumer and Gaming Leaders

On January 19, 2026, Hasbro’s board of directors expanded from ten to twelve members and appointed Carla Vernón, CEO of The Honest Company, and Doug Bowser, retired president and COO of Nintendo of America, as new directors, with Vernón joining the Nominating, Governance and Social Responsibility Committee and Bowser joining the Audit Committee. The additions bring deep consumer, gaming, and brand-building expertise from Amazon, General Mills, Nintendo, Electronic Arts and Procter & Gamble, bolstering Hasbro’s governance bench and supporting its long-term innovation and growth agenda as it seeks to strengthen its competitive position in global play and entertainment markets.

The most recent analyst rating on (HAS) stock is a Hold with a $89.00 price target. To see the full list of analyst forecasts on Hasbro stock, see the HAS Stock Forecast page.