Hasbro is upgraded to a buy as Wizards and Digital segments drive strong growth, offsetting weakness in legacy consumer products. Wizards now accounts for 55% of revenue, with high margins and accelerating growth, while consumer products face structural and cyclical headwinds. Tariff costs remain a risk, but guidance is conservative, and potential retailer restocking and improved US-China relations could provide upside.
The National Retail Federation estimates Halloween spending will increase by 13% year-over-year (YOY) to more than $13 billion this year, with customers adding costumes, decorations, candy, and more to their carts in anticipation. Investors might see this as an opportunity to focus on some retailers specializing in holiday goods, all of whom could get a boost thanks to the much-needed influx of customer dollars.
In the most recent trading session, Hasbro (HAS) closed at $74.78, indicating a -1.46% shift from the previous trading day.
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