Hasbro Inc. (HAS) has a Zacks #1 Rank and trades at 15.5x 2010 consensus EPS estimates.
Hasbro’s growth and income attributes are an expected long-term EPS growth rate of 10% and a dividend yield of 2.1%.
Company Description
Hasbro designs, manufactures, and markets games and toys under brand names including Playskool, Transformers, Nerf, Tonka, Milton Bradley, and Strawberry Shortcake.
Fourth-Quarter Results
The company had net revenues of $1.38 billion, an increase of 12% year-over-year. Hasbro earned $1.09 per share, topping the Zacks Consensus Estimate by 28 cents, 34.6%. In the last three quarters, Hasbro has beaten consensus estimates by an average of 18.4%.
Hasbro is scheduled to report first-quarter results on April 20.
Analysts Increasing Estimates
In early February, Hasbro indicated that it would earn more than the $2.48 per share it earned in 2009. Prior to that, analysts expected Hasbro to earn $2.14 per share.
Analysts were caught off guard by the company’s bullish forecast and boosted their EPS estimates for the next two years. In the last two months, the Zacks Consensus Estimate for 2010 is up 15.9%, or 34 cents, to $2.48. The consensus estimates for 2011 climbed 18 cents, or 6.4%, to $2.99. That represents year-over-year earnings growth of 20.4%.
Industry Leader
Hasbro stacks up well against its industry peers. Its trailing-twelve month return on equity (ROE) is 25.6%, compared to the industry average of -1.6%. The company’s net profit margin of 9.2% is well above the industry average of -12.6%. Last, Hasbro’s dividend yield of 2.1% versus the industry average of 0%. Zacks Investment Research
