Hasbro Looks Forward To A Bright Future (HAS, ERTS)
Hasbro Inc. (NYSE: HAS) is transforming itself into a global player. The toymaker is extending its reach through physical stores, web and electronic media. Brian Goldner, CEO of Hasbro (HAS) since 2008, has said, “The first thing we had to do was focus on certain brands and get them to be relatively large." The company’s top eight brands are responsible for more than 50% of its revenue.
Hasbro has struck it big with franchises of hit Hollywood movies including Iron Man and Transformer. The company has entered into a deal with Electronic Arts (NASDAQ: ERTS) for converting its games into electronic formats. The toy giant is also eyeing the iPhone App market. Hasbro financials look comfortable. The company currently has a debt-equity ratio of 42%. It has a comfortable cash cushion at $636 million. The stock is currently trading at 15X multiple of E2010 net profits.
