This is a step-by-step stock review to answer the question, is Hasbro (HAS) stock a good buy?
This article will teach you how to use the 4Ms of investing. This will be a detailed walkthrough to show you how the 4Ms work and why they are important. If you are interested, you can log into Tykr to use the 4M Confidence Booster (Powered by OpenAI) which will allow you to complete a 4M Analysis in less than 60 seconds.
What are the 4Ms?
- MOS (Margin of Safety) – The MOS is the math part of investing which includes the Summary, Score, and MOS (Margin of Safety).
- Meaning – The meaning is the business model and how scalable the revenue streams are.
- Moat – The moat is how the business compares to other companies in the same Sector and Industry.
- Management – The management is the track record of the CEO.
What 4M score are we going for?
- 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
- 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
- 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.
Table of Contents
The following links will direct you to key topics to help answer the question, is Hasbro (HAS) stock a good buy?
1.Hasbro Company History
- Founded: 1923 by Henry and Helal Hassenfeld as Hassenfeld Brothers, initially selling textile remnants.
- Initial Focus: Transitioned to toys in the 1940s, introducing the first Play-Doh in 1956.
- Notable Products: Became famous for iconic toys and games like Mr. Potato Head, Monopoly, and G.I. Joe.
- Expansion: Acquired several major brands, including the acquisition of Wizards of the Coast (Magic: The Gathering, Dungeons & Dragons) in 1999.
- Entertainment: Expanded into media with Hasbro Studios and the successful Transformers and My Little Pony franchises.
- Recent Developments: Continued to innovate in digital gaming and interactive toys, including licensing deals and entertainment ventures.
- Public Listing: Traded publicly since 1968 under the ticker symbol HAS.
- Headquarters: Located in Pawtucket, Rhode Island.
2. MOS (Margin Of Safety)
When investing in a company, the first step is to look at the financials. Fortunately, Tykr does this for us automatically. The higher the score, the stronger the financials and the safer the investment. The higher the MOS, the higher the potential returns you can make.
- Summary: Overpriced
- Score: 34
- MOS: 1%
To see the most up-to-date Summary, Score, and MOS, please log into Tykr.
3. Meaning
When investing in a company, it’s important to know how a company makes money. A mature business model has multiple streams of revenue which allow the company to weather downturns in the economy.
Here is how Hasbro makes money:
- Toy Sales: Generates revenue from selling popular toys and games, including brands like Transformers, Monopoly, and Play-Doh.
- Licensing: Earns income through licensing its intellectual property to other companies for products, films, and merchandise.
- Entertainment: Makes money from its media and entertainment division, including revenue from films, TV shows, and digital content related to its brands.
- Royalty Payments: Receives royalties from third-party companies that use its characters and brands in various products and media.
- Merchandising: Profits from merchandising and promotional products tied to its popular franchises and entertainment properties.
- Wizards of the Coast (1999)
- Kenner Products (1991)
- Parker Brothers (1991)
- Play-Doh (1991)
- Entertainment One (2019)
4. Moat
When investing in a company, it’s important to understand how a company ranks against other companies in the same sector and industry. Based on the Score, here is how Hasbro stacks up against other companies.
- Mattel, Inc.(MAT) – 56
- Sacks Parente Golf, Inc.(SPGC) – 56
- OneSpaWorld Holdings Limited.(OSW) – 50
- PLBY Group, Inc.(PLBY) – 50
- Escalade, Incorporated.(ESCA) – 44
- Hasbro, Inc.(HAS) – 34
To see the most up-to-date Summary, Score, and MOS and each stock, please log into Tykr.
5. Management
When investing in a company, it’s important to understand who the CEO is, what they have accomplished in the past, and how they have helped this company grow. Good leaders typically have stronger cultures, less turnover, and better returns in the stock market.
- CEO Appointment (2022): Cocks became CEO of Hasbro in 2022, bringing his experience in digital gaming to lead the company during a transformative period.
- Digital Transformation: He emphasized the integration of digital and physical gaming experiences, advancing Hasbro’s presence in the digital gaming market, particularly through brands like Magic: The Gathering and Dungeons & Dragons.
- Strategic Focus: Cocks implemented a strategic shift to focus on Hasbro’s core brands and franchises, aiming to maximize their value through multimedia, including films, TV shows, and gaming.
- Revenue Growth: Under his leadership, Hasbro saw revenue growth, particularly in its digital and gaming segments, driven by his vision of expanding the company’s digital footprint.
- Sustainability Initiatives: He supported sustainability efforts, including the reduction of plastic in product packaging, aligning Hasbro with growing environmental concerns.
6. 4M Score
All of our homework on this company leads up to the 4M Score. A lot of investors only look at the numbers. Yes, it’s important to look at the first M (MOS) which is the math part of investing but it’s also important to look past the numbers and also look at the Meaning, Moat, and Management. If all 4Ms pass, we should have high confidence in buying this stock.
What 4M score are we going for?
- 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
- 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
- 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.
👉 The 4M Score of Hasbro (HAS) is 83/100.
To see the most up-to-date 4M Score, please log into Tykr.
7. Is Hasbro (HAS) stock a good buy?
Some of the top questions investors can have is Hasbro (HAS) stock a good buy or should I buy Hasbro (HAS) stock?
Hasbro (HAS) is an appealing investment due to its strong portfolio of iconic brands like Monopoly, Transformers, and Magic: The Gathering. Under CEO Chris Cocks, Hasbro has successfully integrated digital and physical gaming, expanded its reach into media and entertainment, and strengthened its presence in the digital space. The company’s strategic focus on core franchises and multimedia adaptations supports robust revenue growth. However, challenges include fluctuating consumer trends and the competitive landscape in the toy and gaming industries. Investors should consider Hasbro’s brand strength and innovation against potential market risks.
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To truly know if Hasbro is a good stock to buy or sell, we recommend you log into Tykr. Within seconds you can see the Summary, Score, MOS, and 4M Score.
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The Summary, Score, and MOS of this stock may have changed since the posting of this review. Please login to Tykr to see up-to-date information.