Hasbro (HAS) Down 11% Since Last Earnings Report: Can It Rebound?

A month has gone by since the last earnings report for Hasbro (HAS). Shares have lost about 11% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Hasbro due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent catalysts for Hasbro, Inc. before we dive into how investors and analysts have reacted as of late.Hasbro Q4 Earnings and Revenues Beat EstimatesHasbro reported fourth-quarter fiscal 2025 results, with earnings and revenues beating the Zacks Consensus Estimate. The top and bottom lines increased year over year. Hasbro’s management highlighted a strong 2025, with it returning to growth on the back of disciplined execution and the “Playing to Win” strategy. Leadership emphasized broader fan engagement, new partnerships and meaningful progress toward becoming a more digital and IP-focused business, setting a confident tone for 2026.From a financial perspective, cost-saving and transformation efforts supported improved performance, with Wizards of the Coast emerging as the key driver, led by record Magic revenues. Management also reaffirmed its commitment to shareholder returns, pointing to a planned $1 billion share repurchase while continuing to invest in the business.Hasbro’s Q4 Earnings & RevenuesIn fourth-quarter fiscal 2025, Hasbro reported adjusted earnings per share (EPS) of $1.51, which beat the Zacks Consensus Estimate of 99 cents. In the year-ago quarter, it reported an adjusted EPS of 46 cents.Net revenues of $1,445.9 million beat the consensus mark of $1,288 million. Moreover, the top line rose 31.3% from $1,101.6 million reported in the prior-year period.Hasbro’s Segmental RevenuesHasbro has three reportable operating segments, Consumer Products, Wizards of the Coast and Digital Gaming, and Entertainment.In the fiscal fourth quarter, net revenues from the Consumer Products segment rose 7.2% year over year to $800 million. Our model predicted the segment’s revenues to be $716.2 million. Adjusted operating margin declined 10.1% year over year.The Wizards of the Coast and Digital Gaming segment’s revenues totaled $630.4 million, up 86% from $339 million reported in the year-ago quarter. Our model predicted the segment’s revenues to be $520.2 million. Adjusted operating margin was 45% compared with 23.9% reported in the year-ago quarter.The Entertainment segment’s revenues declined 5% year over year to $15.5 million. Our model predicted the segment’s revenues to be $17 million. Adjusted operating margin was 4.5% compared with 1.2% reported in the year-ago quarter.Operating Highlights of HasbroIn the fiscal fourth quarter, Hasbro’s cost of sales (as a percentage of net revenues) was 31.3% compared with 32.6% in the year-earlier quarter.Selling, distribution and administration expenses were $334.2 million compared with $360.6 million reported in the prior-year quarter.The company reported adjusted EBITDA of $372.2 million compared with $164.8 million a year ago. Our estimate for the metric was $264.5 million.Hasbro’s Balance SheetAs of Dec. 28, 2025, cash and cash equivalents were $776.6 million compared with $695 million as of Dec. 29, 2024. At the end of the reported quarter, inventories totaled $259.8 million compared with $274.2 million a year ago.As of Dec. 28, 2025, long-term debt was $2.8 billion, down from $3.4 billion as of Dec. 29, 2024.Hasbro 2026 OutlookFor 2025, Hasbro anticipates total revenues to increase 3-5% on a constant currency basis. It continues to expect the adjusted operating margin to be between 24% and 25%.Adjusted EBITDA is now expected to be in the range of $1.40-$1.45 billion.How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in fresh estimates.The consensus estimate has shifted -11.96% due to these changes.VGM ScoresCurrently, Hasbro has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock has a score of C on the value side, putting it in the middle 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Hasbro has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hasbro, Inc. (HAS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks