Hasbro (HAS) AI Stock Analysis

• Market Cap: $13.06B
• Dividend Yield: 3.44%
• Average Volume (3M): 2.04M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.92
• 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: 140,685,760
• 10 Day Avg. Volume: 1,513,338
• 30 Day Avg. Volume: 2,036,513
• PEG Ratio: 0.20
• Price to Book (P/B): 21.57
• Price to Sales (P/S): 2.47
• P/FCF Ratio: 13.99
• Enterprise Value/Market Cap: 1.20
• Enterprise Value/Revenue: 3.34
• Enterprise Value/Gross Profit: 4.75
• Enterprise Value/Ebitda: 67.41
• 1Y Price Target: $114.20
• Price Target Upside: 22.99% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 5.72
• Revenue Forecast (FY): $4.91B

• Rating: 61 Neutral
• Price Target: $100.00 ▲(7.70% Upside)
• Action: Reiterated Date: 03/13/26
• Date: Action: Reiterated 03/13/26

The score is anchored by mixed financial performance: strong free cash flow offsets weak reported earnings and elevated leverage. Earnings-call guidance is notably positive and supports the outlook, while technicals are neutral/soft near term and valuation is constrained by a negative P/E, partially balanced by the dividend yield.

Positive Factors

Free cash flow generation

Consistent, large free cash flow (~$830M in 2025) provides durable funding for debt reduction, reinvestment in Wizards/digital, dividends and buybacks. Strong cash conversion cushions the business against earnings volatility and supports strategic optionality over multiple years.

Wizards of the Coast franchise strength

Wizards shows durable franchise economics: high growth, recurring set releases, organized play scale and ~46% operating margins. This segment's engagement-driven, high-margin cash flow is structurally valuable, underwriting corporate profitability and funding cross-company investments long term.

Material cost savings and productivity gains

A multi-year $1B cost transformation that has delivered ~$800M to date, plus AI and 3D printing acceleration, materially improves structural cost base and product development speed. These durable efficiencies support sustainable margin improvement and faster time-to-market for hits.

Negative Factors

High leverage and thin equity base

Elevated leverage (debt-to-equity ~4.9x) and a thin equity cushion leave the balance sheet vulnerable to profit volatility or macro shocks. High leverage constrains flexibility, raises refinancing and covenant risk, and increases the cost of capital for strategic initiatives over the medium term.

Profitability deterioration and thin operating margins

Despite revenue and gross margin recovery, a swing to a net loss and near-zero EBITDA margin indicates operating profitability is fragile. This undermines retained earnings growth, weakens ROE, and makes sustained deleveraging and capital returns dependent on reestablishing stable operating income.

Structural cost headwinds: tariffs and rising royalties

Recurring tariff exposure and increasing royalty costs are structural margin headwinds that cannot be fully offset by one-time productivity. These ongoing costs compress gross and operating margins, forcing reliance on volume growth or sustained productivity to preserve long-term profitability.

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 makes money primarily by monetizing its brands and intellectual property through (1) sales of toys, games, and trading cards and (2) licensing and entertainment-related revenues. 1) Consumer products sales (toys, games, and trading cards): Hasbro generates revenue by selling branded products to retailers, distributors, and e-commerce channels (and, to a lesser extent, direct-to-consumer). Key product types typically include action figures and playsets, dolls, preschool lines, board games, and trading card games. Revenue is driven by unit volume and product mix, with demand influenced by seasonality (notably the holiday period), new product launches, and the strength of associated franchises. Hasbro’s cost structure and margins in this area are influenced by product design and development, manufacturing and sourcing costs, logistics, retail/e-commerce promotional activity, and inventory management. 2) Wizards of the Coast and Digital Gaming (where applicable): Hasbro earns revenue from its Wizards of the Coast business through trading card game sales (e.g., Magic: The Gathering) and through digital gaming offerings tied to its brands. This stream tends to be supported by recurring fan engagement via new set releases, organized play, and digital content/experiences. (If a specific breakdown between physical and digital is not available in the provided context, null.) 3) Licensing and brand monetization: Hasbro licenses its owned intellectual property to third parties that produce and sell branded merchandise (e.g., apparel, accessories, publishing, and other consumer goods) and pays/receives royalties depending on the arrangement. Licensing can provide higher-margin royalty income compared with manufacturing and selling physical products. Hasbro also licenses in certain entertainment or character rights for products tied to external franchises (terms vary by partner). 4) Entertainment-related revenue: Hasbro monetizes its brands through entertainment initiatives, which can include revenue from content production and distribution arrangements, and royalties tied to media that promotes or extends brand ecosystems. The contribution and specific structure depend on individual projects and distribution partners. Significant factors influencing earnings include the strength and longevity of Hasbro’s core brands, successful new product and set releases, retail and e-commerce channel dynamics, supply chain execution and input costs, and the company’s ability to extend intellectual property across products, licensing, and entertainment via partnerships and distribution agreements.

Hasbro Financial Statement Overview

Summary

Mixed fundamentals. Revenue rebounded and gross margin improved, and cash generation is strong (operating cash flow ~$893M; free cash flow ~$830M). However, reported profitability deteriorated to a net loss (-$322M) with extremely thin EBITDA margin (~0.2%), and the balance sheet is more stretched with high leverage (debt-to-equity ~4.9x) and reduced equity.

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	3.40B	3.41B	3.50B	4.01B	4.07B
Total Liabilities	4.99B	5.16B	5.45B	6.43B	6.95B
Stockholders Equity	538.50M	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: Negative
• Last Price: 92.85
• 50DMA: Negative
• 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 Negative. The current price of 92.85 is below the 20-day moving average (MA) of 97.65, below the 50-day MA of 93.39, and above the 200-day MA of 79.83, indicating a neutral trend. The MACD of -0.24 indicates Positive momentum. The RSI at 40.83 is Neutral, neither overbought nor oversold. The STOCH value of 32.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HAS.

Hasbro Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JOUT	69 Neutral	$462.14M	-33.91	-5.18%	3.22%	-0.07%	-31.45%
GOLF	63 Neutral	$5.53B	25.34	23.39%	1.15%	4.20%	24.12%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
HAS	61 Neutral	$13.06B	-36.02	-54.74%	3.44%	0.87%	14.02%
MAT	58 Neutral	$4.76B	15.88	18.08%	―	-2.36%	-16.06%
JAKK	52 Neutral	$225.45M	-8.87	4.05%	5.97%	-16.49%	-81.62%
FNKO	47 Neutral	$211.11M	-2.75	-35.34%	―	-11.32%	-165.08%

Hasbro Corporate Events

Hasbro Completes $400 Million Senior Notes Offering

On March 12, 2026, Hasbro completed a $400 million registered public offering of senior unsecured notes bearing interest at 4.650% and maturing on March 12, 2031. The notes, issued under an existing indenture structure, include optional redemption provisions before and after a February 12, 2031 par call date, as well as a change-of-control repurchase feature at 101% of principal.

The indenture governing the notes also imposes covenants limiting Hasbro’s ability to incur certain secured debt and engage in sale-leaseback transactions, alongside customary events of default. Hasbro entered an underwriting agreement on March 5, 2026, with a syndicate led by BofA Securities, J.P. Morgan, Citigroup, and Scotia Capital, underscoring the company’s continued use of the debt capital markets to support its financing strategy and balance sheet needs.

The most recent analyst rating on (HAS) stock is a Hold with a $98.00 price target. To see the full list of analyst forecasts on Hasbro stock, see the HAS Stock Forecast page.

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.