HASBRO INC (HAS) Stock Fundamental Analysis
NASDAQ:HAS - Nasdaq - US4180561072 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to HAS. HAS was compared to 30 industry peers in the Leisure Products industry. HAS has an excellent profitability rating, but there are concerns on its financial health. HAS has a decent growth rate and is not valued too expensively. HAS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year HAS was profitable.
HAS had a positive operating cash flow in the past year.
Of the past 5 years HAS 4 years were profitable.
In the past 5 years HAS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.05%, HAS is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
The Return On Equity of HAS (36.41%) is better than 100.00% of its industry peers.
HAS has a Return On Invested Capital of 13.87%. This is amongst the best in the industry. HAS outperforms 90.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HAS is in line with the industry average of 8.16%.
The last Return On Invested Capital (13.87%) for HAS is above the 3 year average (9.69%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.05% | ||
| ROE | 36.41% | ||
| ROIC | 13.87% |
ROA(3y)-4.83%
ROA(5y)-1.63%
ROE(3y)-33.25%
ROE(5y)-15.58%
ROIC(3y)9.69%
ROIC(5y)9.03%
1.3 Margins
Looking at the Profit Margin, with a value of 9.99%, HAS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
HAS's Profit Margin has declined in the last couple of years.
The Operating Margin of HAS (20.02%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of HAS has grown nicely.
HAS's Gross Margin of 65.53% is amongst the best of the industry. HAS outperforms 96.67% of its industry peers.
HAS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.02% | ||
| PM (TTM) | 9.99% | ||
| GM | 65.53% |
OM growth 3Y10.55%
OM growth 5Y6.26%
PM growth 3Y11.77%
PM growth 5Y-3.3%
GM growth 3Y2.32%
GM growth 5Y4.07%
2. Health
2.1 Basic Checks
HAS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
HAS has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HAS has more shares outstanding
Compared to 1 year ago, HAS has a worse debt to assets ratio.
2.2 Solvency
HAS has an Altman-Z score of 3.03. This indicates that HAS is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of HAS (3.03) is comparable to the rest of the industry.
The Debt to FCF ratio of HAS is 5.44, which is a neutral value as it means it would take HAS, 5.44 years of fcf income to pay off all of its debts.
HAS has a Debt to FCF ratio (5.44) which is in line with its industry peers.
A Debt/Equity ratio of 2.85 is on the high side and indicates that HAS has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.85, HAS is doing worse than 86.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 5.44 | ||
| Altman-Z | 3.03 |
ROIC/WACC1.61
WACC8.64%
2.3 Liquidity
A Current Ratio of 1.65 indicates that HAS should not have too much problems paying its short term obligations.
With a Current ratio value of 1.65, HAS is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
HAS has a Quick Ratio of 1.40. This is a normal value and indicates that HAS is financially healthy and should not expect problems in meeting its short term obligations.
HAS has a Quick ratio of 1.40. This is in the lower half of the industry: HAS underperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
HAS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.63%, which is quite impressive.
Measured over the past years, HAS shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.25% on average per year.
HAS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.39%.
HAS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.61% yearly.
EPS 1Y (TTM)42.63%
EPS 3Y-8.34%
EPS 5Y-0.25%
EPS Q2Q%70.49%
Revenue 1Y (TTM)-10.39%
Revenue growth 3Y-13.64%
Revenue growth 5Y-2.61%
Sales Q2Q%17.14%
3.2 Future
Based on estimates for the next years, HAS will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.13% on average per year.
The Revenue is expected to grow by 4.11% on average over the next years.
EPS Next Y4.86%
EPS Next 2Y8.25%
EPS Next 3Y9.05%
EPS Next 5Y9.13%
Revenue Next Year3.58%
Revenue Next 2Y3.96%
Revenue Next 3Y3.87%
Revenue Next 5Y4.11%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
HAS is valuated correctly with a Price/Earnings ratio of 15.36.
83.33% of the companies in the same industry are more expensive than HAS, based on the Price/Earnings ratio.
HAS is valuated rather cheaply when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 14.51, HAS is valued correctly.
HAS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HAS is cheaper than 66.67% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.43. HAS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.36 | ||
| Fwd PE | 14.51 |
4.2 Price Multiples
63.33% of the companies in the same industry are more expensive than HAS, based on the Enterprise Value to EBITDA ratio.
HAS's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.63 | ||
| EV/EBITDA | 12.11 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HAS does not grow enough to justify the current Price/Earnings ratio.
HAS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.16
PEG (5Y)N/A
EPS Next 2Y8.25%
EPS Next 3Y9.05%
5. Dividend
5.1 Amount
HAS has a Yearly Dividend Yield of 4.21%, which is a nice return.
HAS's Dividend Yield is a higher than the industry average which is at 4.37.
HAS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
5.2 History
The dividend of HAS has a limited annual growth rate of 1.82%.
HAS has paid a dividend for at least 10 years, which is a reliable track record.
HAS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.82%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
HAS pays out 91.69% of its income as dividend. This is not a sustainable payout ratio.
The dividend of HAS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP91.69%
EPS Next 2Y8.25%
EPS Next 3Y9.05%
68.36
+0.18 (+0.26%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners90.68%
Inst Owner Change-0.71%
Ins Owners0.52%
Ins Owner Change4.8%
Market Cap9.58B
Analysts85.56
Price Target76.88 (12.46%)
Short Float %4.33%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
Yearly Dividend2.8
Dividend Growth(5Y)1.82%
DP91.69%
Div Incr Years2
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)43.24%
Min EPS beat(2)32.47%
Max EPS beat(2)54.02%
EPS beat(4)4
Avg EPS beat(4)43.83%
Min EPS beat(4)32.47%
Max EPS beat(4)54.79%
EPS beat(8)5
Avg EPS beat(8)29.8%
EPS beat(12)8
Avg EPS beat(12)21.78%
EPS beat(16)11
Avg EPS beat(16)26.58%
Revenue beat(2)2
Avg Revenue beat(2)10.06%
Min Revenue beat(2)6.23%
Max Revenue beat(2)13.9%
Revenue beat(4)3
Avg Revenue beat(4)5.63%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)13.9%
Revenue beat(8)5
Avg Revenue beat(8)2.01%
Revenue beat(12)6
Avg Revenue beat(12)1.97%
Revenue beat(16)9
Avg Revenue beat(16)2.66%
PT rev (1m)-4.27%
PT rev (3m)-0.63%
EPS NQ rev (1m)-23.64%
EPS NQ rev (3m)-38.74%
EPS NY rev (1m)1.51%
EPS NY rev (3m)-3.82%
Revenue NQ rev (1m)-6.74%
Revenue NQ rev (3m)-12.49%
Revenue NY rev (1m)0.88%
Revenue NY rev (3m)-0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.36 | ||
| Fwd PE | 14.51 | ||
| P/S | 2.25 | ||
| P/FCF | 15.63 | ||
| P/OCF | 11.86 | ||
| P/B | 8.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.11 |
EPS(TTM)4.45
EY6.51%
EPS(NY)4.71
Fwd EY6.89%
FCF(TTM)4.37
FCFY6.4%
OCF(TTM)5.76
OCFY8.43%
SpS30.44
BVpS8.35
TBVpS-11.5
PEG (NY)3.16
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.05% | ||
| ROE | 36.41% | ||
| ROCE | 17.48% | ||
| ROIC | 13.87% | ||
| ROICexc | 15.89% | ||
| ROICexgc | 45.74% | ||
| OM | 20.02% | ||
| PM (TTM) | 9.99% | ||
| GM | 65.53% | ||
| FCFM | 14.37% |
ROA(3y)-4.83%
ROA(5y)-1.63%
ROE(3y)-33.25%
ROE(5y)-15.58%
ROIC(3y)9.69%
ROIC(5y)9.03%
ROICexc(3y)10.94%
ROICexc(5y)10.35%
ROICexgc(3y)33.49%
ROICexgc(5y)33.79%
ROCE(3y)12.29%
ROCE(5y)11.43%
ROICexcg growth 3Y5.85%
ROICexcg growth 5Y9.03%
ROICexc growth 3Y10.42%
ROICexc growth 5Y-3.32%
OM growth 3Y10.55%
OM growth 5Y6.26%
PM growth 3Y11.77%
PM growth 5Y-3.3%
GM growth 3Y2.32%
GM growth 5Y4.07%
F-Score6
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 5.44 | ||
| Debt/EBITDA | 3.29 | ||
| Cap/Depr | 122.66% | ||
| Cap/Sales | 4.57% | ||
| Interest Coverage | 5.26 | ||
| Cash Conversion | 79.76% | ||
| Profit Quality | 143.85% | ||
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 3.03 |
F-Score6
WACC8.64%
ROIC/WACC1.61
Cap/Depr(3y)98.46%
Cap/Depr(5y)78.05%
Cap/Sales(3y)3.98%
Cap/Sales(5y)3.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.63%
EPS 3Y-8.34%
EPS 5Y-0.25%
EPS Q2Q%70.49%
EPS Next Y4.86%
EPS Next 2Y8.25%
EPS Next 3Y9.05%
EPS Next 5Y9.13%
Revenue 1Y (TTM)-10.39%
Revenue growth 3Y-13.64%
Revenue growth 5Y-2.61%
Sales Q2Q%17.14%
Revenue Next Year3.58%
Revenue Next 2Y3.96%
Revenue Next 3Y3.87%
Revenue Next 5Y4.11%
EBIT growth 1Y91.31%
EBIT growth 3Y-4.52%
EBIT growth 5Y3.49%
EBIT Next Year34.08%
EBIT Next 3Y17.35%
EBIT Next 5Y11.71%
FCF growth 1Y375.78%
FCF growth 3Y-1.75%
FCF growth 5Y4.58%
OCF growth 1Y147%
OCF growth 3Y1.19%
OCF growth 5Y5.35%