Hasbro (HAS) Stock Forecast & Price Target

Hasbro's positive outlook is bolstered by a robust performance in the global toy market, which saw a year-over-year increase of 7% in retail sales, reaching $27.5 billion in the first half of the year, alongside a projected operating profit growth of 38% to $873 million by 2025. The company's strategic focus on successful entertainment properties and the integration of popular licenses has enhanced its revenue potential, with anticipated operating margin expansion to 11.2% contributing to a projected increase in segment operating profit by 37% to $294 million. Additionally, the significant growth in trading card sales, reported at nearly 70% year-to-date, underscores the effectiveness of Hasbro's product mix strategy and the absence of over-supply concerns in the market.

Hasbro's financial outlook appears negative due to anticipated declines in the US toy industry retail environment, with expectations of a -5% decline in 4Q25 and a moderated revenue forecast of $4.714 billion for 2026, reflecting a potential loss of momentum in the market. Furthermore, concerns about the core toy business lacking innovation and excitement, alongside risks such as a slowdown in consumer spending, loss of key licensing relationships, and rising costs for raw materials and labor, compound the unfavorable projections. Additionally, the company's reliance on existing brands, which may generate only a modest operating profit or even losses, further highlights vulnerability in Hasbro's financial performance moving forward.