5-Star Stocks Poised to Pop: Hasbro
By
Brian D. Pacampara
November 30, 2009
|
Based on the aggregated intelligence of 145,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, toy maker Hasbro (NYSE: HAS) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Hasbro's business and see what CAPS investors are saying about the stock right now.
Hasbro facts
|
Headquarters (Founded)
|
Pawtucket, R.I. (1923)
|
|
Market Cap
|
$4.1 billion
|
|
Industry
|
Toys and games
|
|
Trailing-12-Month Revenue
|
$3.92 billion
|
|
Management
|
CEO Brian Goldner (since May 2008)
CFO Deborah Thomas (since May 2009)
|
|
Major Brands
|
Playskool, Transformers, My Little Pony, Littlest Pet Shop, Tonka, G.I. Joe, Milton Bradley, Parker Brothers
|
|
Return on Equity (Average, Past 3 Years)
|
22%
|
|
Cash/Debt
|
$297.4 million / $1.16 billion
|
|
Dividend Yield
|
2.7%
|
|
Competitors
|
Mattel (Nasdaq: MAT)
JAKKS Pacific (Nasdaq: JAKK)
|
|
CAPS Members Bullish on HAS Also Bullish on
|
Johnson & Johnson (NYSE: JNJ)
|
|
CAPS Members Bearish on HAS Also Bearish on
|
Walt Disney (NYSE: DIS)
Dell (Nasdaq: DELL)
|
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 96% of the 1,090 members who have rated Hasbro believe the stock will outperform the S&P 500 going forward. These bulls include daniel5724 and RandyHall.
Just three weeks ago, daniel5724 tapped Hasbro as a transforming opportunity:
They have some good franchises they are finally capitalizing on and should feed into future profits. A third installment of Transformers and a sequel to GI Joe is in development. Both are 100 million blockbusters and the merchandising will reward the investors that are patient for at least two to three years.
In an earlier pitch, RandyHall expands on the stock as a rather marvelous find:
Hasbro is attempting to follow the good example laid out by Marvel (NYSE: MVL). They have intellectual property in the form of household brand names for toys that just about everyone knows. G.I. Joe (while not a particularly engaging film) was successful enough that we're sure to see a sequel, prompting more toy tie-in sales. If they can leverage some of the "little girl" brands in their corral, they could bring increased mindshare to a new generation of kids. Think of it this way: Movies are the 21st century equivalent of toy commercials of the 70's and early 80's.
What do you think about Hasbro, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!
Love this article? Get our best articles delivered direct to your inbox at no cost. Sign up for Foolwatch Weekly by entering your email below.