Hasbro raises 2026 guidance after Q3 sales rise 15%, Magic cards drive growth

what happened

Toy and games maker Hasbro reported third-quarter 2026 revenue of $1.6 bln, up 15% year over year. Reuters, citing LSEG data, noted that the figure fell short of the $1.48 bln average estimate from 10 analysts.

The main driver was the Magic: The Gathering card game, whose revenue topped $600 mln for the first time, reaching $616 mln, up 34%. The Wizards and digital gaming segment grew 31%, while consumer products added 4%.

Hasbro now expects 2026 revenue growth of 7-9% in constant currency, up from 5-7%. Its adjusted operating margin forecast is 27-28%, and adjusted EBITDA guidance is $1.575-1.625 bln. The annual share repurchase target was doubled.

why it matters

For investors, the key point is the raised full-year outlook, which may support interest in the stock. The median 12-month analyst price target is $114.50, about 16.3% above the October 19 close of $98.49. The shares trade at roughly 15 times forward earnings, versus 13 three months ago, so the market will watch revenue momentum in coming quarters closely.

market impact

Hasbro shares: higher guidance and buyback support the stock, though revenue came in below expectations

tags

instruments