Stifel analysts are upbeat about Hasbro Inc. /zigman2/quotes/201249319/composite HAS -1.02% , which is scheduled to report fourth-quarter earnings on Feb. 8.
“[Hasbro] is set up for an earnings recovery scenario in ’21 (which serves as a reason to own the shares, in our opinion), underpinned by cost synergies from eOne , a stronger entertainment lineup, and easier 1H comps,” analysts wrote.
Stifel rates Hasbro shares buy with a $115 price target.
MKM Partners notes that Hasbro has 10 feature films coming in 2021 compared with none in 2020, including movies based on Marvel characters. Some of the names heading to theaters this year include Black Widow and Spider-Man.
The Magic: The Gathering Arena videogame for mobile devices is also coming this year, MKM said.
MKM rates Hasbro stock buy with a $114 price target.
MKM analysts are also optimistic about Mattel, which is scheduled to release its fourth-quarter earnings on Feb. 9.
“Mattel is very likely in a good position to start 2021 as retail inventory levels remain at below average levels and production/supply chain issues seen in 2020 should not linger,” managing director Eric Handler wrote.
“Management’s recovery efforts should fully resume in 2021 with revenue expected to grow for the first time since 2013 and operating margin pushing into double-digit territory.”
MKM rates Mattel stock neutral with a fair value estimate of $19.
Hasbro stock has gained 10.2% over the last three months, though shares have fallen 9.5% over the past year.
Mattel stock has rallied 20% over the last three months, and is up 21.3% for the past 12 months.
The benchmark S&P 500 index /zigman2/quotes/210599714/realtime SPX +0.36% is up 11.9% over the past three months, and is up 17% for the past year.