Hasbro's stock soared 6.21% during intraday trading on Tuesday, driven by a combination of better-than-expected fourth-quarter financial results, a significant new share repurchase program, and a major licensing partnership announcement.
The toy and game maker reported Q4 revenue of $1.45 billion, substantially exceeding analyst estimates of $1.26 billion. Adjusted earnings per share came in at $1.51, far surpassing the $0.96 consensus estimate. The company also provided positive forward guidance, forecasting 2026 revenue growth of 3% to 5% in constant currency.
Further boosting investor sentiment, Hasbro announced a new $1 billion share repurchase program and declared a quarterly cash dividend of $0.70 per common share. Additionally, the company revealed a multi-year global licensing agreement with Warner Bros. Discovery to become the primary toy licensee for the Harry Potter universe, including products tied to the upcoming HBO Original series set to debut next year.