Hasbro's Q1 Results to Focus on Wizards of the Coast Demand Strength, Cost Increases, UBS Says

MT Newswires Live
Apr 21

Hasbro's (HAS) Q1 results will focus on strong demand in its Wizards of the Coast unit and how the company frames higher resin and freight costs for the profit and loss statement on a run-rate basis, UBS Securities said in a note Monday.

UBS said demand strength in the Wizards of the Coast was driven by "Teenage Mutant Ninja Turtles," along with "Secrets of Strixhaven" showing strong presale numbers in Q1.

UBS said that overall focus on margins is expected, given resin price inflation and freight and distribution cost increases, adding that it estimates every 10% rise in resin costs is around $0.08 in earnings per share, while every 10% increase in both inbound and outbound freight is around $0.09 of EPS for Hasbro.

UBS added it expects Hasbro to keep its topline guidance for 2026, even if the company faces a slight supply chain disruption.

UBS maintained its buy rating with a $110 price target.

Price: 95.34, Change: -1.81, Percent Change: -1.86

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