Morgan Stanley’s Best Overweight & Quality Stocks: Top 25 Stocks

5. Hasbro, Inc. (NASDAQ:HAS)

Number of Hedge Fund Holders In Q2 2024: 27

Average Analyst EPS % Revision: 5%

Hasbro, Inc. (NASDAQ:HAS) is a toy and games company that targets children. It owns some of the most well known games and brands in the world such as Monopoly and Nerf. Its brands provide Hasbro, Inc. (NASDAQ:HAS) a key advantage in a relatively undifferentiated industry otherwise. To maintain its competitive advantage, the toy company has to regularly introduce new products and brands. On this front, one recent announcement from Hasbro, Inc. (NASDAQ:HAS) has been Magic: The Gathering, which is a new card game. Data shows that early adoption of the game has been high, with simpler rules encouraging first time players. Additionally, another key catalyst for Hasbro, Inc. (NASDAQ:HAS) can be the digitization of its existing brands. One such attempt has been Monopoly Go, which enables users to play the popular game online. Consequently, strong new brand performance and digitization can lead to tailwinds for Hasbro, Inc. (NASDAQ:HAS)’s shares.

ClearBridge Investments mentioned Hasbro, Inc. (NASDAQ:HAS) in its Q4 2023 investor letter. Here is what the firm said:

”Hasbro, which owns global entertainment brands such as Monopoly, My Little Pony and Nerf, has struggled over the past few quarters due to lackluster demand for toys and games in favor of other forms of digital entertainment. Persistent underperformance has undermined our optimism over the company’s legacy businesses, and ultimately led us to exit the stock.”