$71.47
arrow_drop_up0.43%Is HAS a Buy or Sell based on AI Analysis?
Fundamental Analysis
Hasbro Inc, a Consumer Cyclical company, has a market capitalization of $6.99 billion, with a price-to-sales ratio of 1.39 and a price-to-book ratio of 6.57. The company has a dividend yield of 5.57%, indicating a strong return on investment for shareholders. Additionally, Hasbro's forward annual dividend yield is at 0.06%, suggesting a stable dividend payout for the future. The company's financial health is further highlighted by its current ratio of 1.13, showcasing its ability to meet its short-term obligations. In terms of profitability, Hasbro Inc has a gross margin of 46.71% and a free cash flow margin of 10.32%. However, the company's operating margin remains negative at -5.06%, indicating room for improvement in cost management. Despite this, Hasbro's return on assets stands at 2.87%, suggesting efficient asset utilization. Furthermore, Hasbro Inc's return on equity is notably low at -75.35%, indicating that the company may need to reevaluate its capital structure and financial strategies to enhance shareholder value. Overall, while Hasbro Inc shows promising dividend yields and financial ratios, there are areas within its operating margins that may require attention for sustained profitability and growth.
Positive Development
Hasbro's CFO, Gina Goetter, has announced a focus on cost savings, which could potentially improve the company's profitability in the future. The company has managed to maintain a positive gross margin of 0.4519, indicating that it has been able to maintain its pricing power and keep its costs in check. The company has also managed to maintain a relatively healthy quick ratio of 0.7658, which is a sign of its ability to pay its short-term debts and meet its financial obligations.
Negative Development
The company's operating margin is quite low at -0.9299, indicating that its operating costs are outpacing its revenue. The company's net margin is also negative at -0.8233, suggesting that it is not generating sufficient profits to cover its expenses. The company's total debt to equity ratio is high at 3.1884, indicating that it has a relatively high level of debt compared to its equity.
Technical Analysis
Hasbro Inc (HAS) currently has a neutral technical rating based on various indicators such as average true range, relative strength index, moving average convergence divergence, commodity channel index, average directional index, Williams %R, and rate of change. The stock is showing a technical buy signal from the ATR indicator, while six technical hold signals are coming from RSI, MACD, CCI, ADX, Williams %R, and ROC. Only one technical sell signal is coming from the STOCHRSI indicator. As of the latest update on March 4th, 2024, the technical indicators suggest a mixed picture for Hasbro Inc's stock performance. Additionally, the stock is currently trading at a price of $50.37, with a seven-day price change percentage of 3.20%. The fifty-two-week price change percentage is -7.03%, with a high price change percentage of 46.08% and a low price change percentage of 18.07%. The stock's price has shown positive momentum over the past month and three months, with gains of 2.52% and 5% respectively. However, the six-month price change percentage is -30.67%, indicating a decline in the stock's performance over the longer term. Investors should consider these technical analysis indicators and price changes when making decisions about investing in Hasbro Inc.
Conclusion and recommendation
Based on the data provided, Hasbro Inc (HAS) appears to be a solid investment option in the consumer cyclical sector. The company has a strong dividend yield of 5.57% and a payout ratio that suggests sustainability. Its market scores are generally positive, indicating a favorable position within its industry and sector. Additionally, Hasbro Inc has a diverse range of technical indicators that suggest stability and potential for growth in the future. The company also has a history of paying dividends and has a cumulative multiple of 57, indicating long-term value for investors. In conclusion, Hasbro Inc presents itself as a well-established company with promising prospects for investors. With a strong dividend yield, favorable market scores, and a history of paying dividends, the company offers stability and potential for growth. Investors looking for a reliable investment in the consumer cyclical sector may find Hasbro Inc to be a suitable choice. However, as with any investment decision, it is important to conduct further research and analysis to fully evaluate the company's financial health and future growth potential before making a decision to invest.