Hasbro’s Nasdaq listed shares shares gained 21 per cent in the year-to-date period. This outperformed the US toys, games and hobbies industry’s 2.7 per cent growth by a factor of seven according to Zacks Equity Research, one of the largest providers of independent stock, ETF and mutual fund research in the US.
Hasbro, the multinational toy manufacturing and entertainment holding company is benefiting from strategic partnerships accompanied by its focus on its gaming and entertainment business. Its ongoing indulgence in enhancing its product portfolio has led to it providing diverse and expanded product offerings to its customers.
Consistent focus on product launches and a shift toward more technology-driven toys involve certain costs and expenses. These investments are likely to drive profits in the long term, however, they might prove to be detrimental in the near term.
The company, however, has been shouldering high expenses concerning freight, product costs, sales allowances, and various toy and gaming products close-outs. Also, product development costs are adding pressure on the bottom line.
Even so, the aforementioned boosts have been aiding Hasbro in tackling the negative impacts to a great extent.
The Zacks consensus estimates for the company’s 2024 and second-quarter earnings has risen to USD 3.72 per share from USD 3.66, and 76 cents per share from 74 cents, respectively, in the past 30 days.
