Hasbro, Inc. Just Recorded A 23% EPS Beat: Here's What Analysts Are Forecasting Next

Hasbro, Inc. (NASDAQ:HAS) defied analyst predictions to release its quarterly results, which were ahead of market expectations. Hasbro delivered a significant beat to revenue and earnings per share (EPS) expectations, hitting US$887m-15% above indicated-andUS$0.71-23% above forecasts- respectively Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, Hasbro's twelve analysts currently expect revenues in 2025 to be US$4.20b, approximately in line with the last 12 months. Statutory earnings per share are predicted to expand 15% to US$3.49. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$4.20b and earnings per share (EPS) of US$3.87 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a small dip in their earnings per share forecasts.

See our latest analysis for Hasbro

The consensus price target held steady at US$76.01, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Hasbro at US$86.12 per share, while the most bearish prices it at US$66.00. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Hasbro is an easy business to forecast or the the analysts are all using similar assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. One thing that stands out from these estimates is that shrinking revenues are expected to moderate over the period ending 2025 compared to the historical decline of 4.4% per annum over the past five years. Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 2.8% annually. So while a broad number of companies are forecast to grow, unfortunately Hasbro is expected to see its revenue affected worse than other companies in the industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Hasbro. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Hasbro's revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Hasbro analysts - going out to 2027, and you can see them free on our platform here.

It is also worth noting that we have found 2 warning signs for Hasbro that you need to take into consideration.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.