Hasbro (HAS) Stock Closed Higher Ahead of Q2 Earnings
NEW YORK (TheStreet) -- Shares of Hasbro (HAS) - Get Report closed up 0.28% to $85.50 on Friday ahead of the company's 2016 second quarter results due out before Monday's market open.
Wall Street is expecting the Pawtucket, RI-based toy company to post earnings of 39 cents per share on revenue of $858.97 million.
Last year, Hasbro earned 33 cents per share on revenue of $797.66 million.
MKM Partners maintained its "neutral" rating and $84 price target ahead of earnings. The firm believes Hasbro should report in-line to better-than-expected results.
"Business trends appear solid; it is largely the valuation we view as expensive which holds us back from being more constructive," MKM wrote in an analyst note.
Hasbro may face a slight headwind resulting from the Easter holiday falling in the first quarter this year compared to the second quarter last year, the firm said.
But the company should benefit from the ongoing strength of key boys products from "Star Wars" and Marvel. Girls products should gain momentum from Disney (DIS) princesses, MKM added.
Separately, BMO Capital Markets said in a note earlier today that it would avoid Hasbro, which may have underperformed in the quarter with key brands such as "Star Wars" and My Little Pony.
Valuations are also on the high side in the toy group, the firm noted.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B+ on the stock.
The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins.
The team believes its strengths outweigh the fact that the company shows weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: HAS