The reiteration of full-year guidance is enough to overshadow a somewhat disappointing third quarter earnings report , according to MKM Partners.
Equity analyst Eric Handler indicated that the third quarter results were essentially in-line with his expectations, aside from a slightly light operating income figure. He added that difficult comparisons from 2021 likely accentuate the year over year declines . However, the reiteration of the full-year guidance and focus on 2023 encouraged Handler to maintain confidence in management.
“Mixed 3Q results, but full year outlook is intact,” he told clients on Tuesday. “We remain believers in Hasbro's Blueprint 2.0 strategy and are much more focused on the company's strong, brand-driven lineup in 2023 and management's renewed focus on bottom line growth.”
As such, Handler retained a “Buy” rating on the stock alongside a $90 price target.
To be sure, he noted that a below consensus operating margin report remains a concern as the company touts resiliency into 2023. Shares of Hasbro ( NASDAQ: HAS ) fell 3.1% on Tuesday.
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MKM Partners maintains faith in Hasbro despite mixed earnings report