Pro Analysis

Buy Hasbro because Marvel, 'Star Wars' movies will boost earnings this year, Goldman says

Star Wars gadgets, toys and memorabilia
Artur Widak | NurPhoto | Getty Images
Star Wars gadgets, toys and memorabilia

Investors should buy Hasbro shares because its earnings results will top expectations in the coming year, according to Goldman Sachs, which initiated on the toy company with a buy rating.

"Hasbro is a best-in-class toy company with a strong portfolio of entertainment-driven products including Marvel, Star Wars, Disney Princess, and Transformers," analyst Michael Ng wrote in a note to clients Monday. The company has "pricing power, as evidenced by its high and stable gross margins, makes it well positioned to manage near-term inflationary risks."

Hasbro reported better-than-expected fourth quarter earnings on Feb. 6.