Hasbro (HAS) closed the most recent trading day at $86.89, moving +1.72% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.26%. Meanwhile, the Dow gained 0.6%, and the Nasdaq, a tech-heavy index, added 0.25%.
Prior to today's trading, shares of the toy maker had gained 5% outpaced the Consumer Discretionary sector's loss of 1.08% and the S&P 500's gain of 1.57%.
Market participants will be closely following the financial results of Hasbro in its upcoming release. On that day, Hasbro is projected to report earnings of $0.97 per share, which would represent year-over-year growth of 110.87%. Meanwhile, the latest consensus estimate predicts the revenue to be $1.29 billion, indicating a 16.78% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.01 per share and a revenue of $4.54 billion, signifying shifts of +24.94% and 0%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Hasbro. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. As of now, Hasbro holds a Zacks Rank of #3 (Hold).
Investors should also note Hasbro's current valuation metrics, including its Forward P/E ratio of 15.7. For comparison, its industry has an average Forward P/E of 12.3, which means Hasbro is trading at a premium to the group.
It's also important to note that HAS currently trades at a PEG ratio of 1.53. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Toys - Games - Hobbies stocks are, on average, holding a PEG ratio of 1.89 based on yesterday's closing prices.
The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 226, placing it within the bottom 8% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Hasbro, Inc. (HAS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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