Earnings Play: Hasbro

How to play Hasbro's 2Q earnings release on Monday morning.

Charts (2)

On Monday, before market, Hasbro (HAS) is expected to release 2Q EPS of $0.20 compared to $0.78 the prior year on revenue of approximately $994.8M vs. $984.5M last year. The company manufactures toys and games, and on its current analyst consensus rating is 12 buys, 6 holds and 0 sells, according to Bloomberg. 

From a technical point of view, on a daily chart, Hasbro's stock price has been trying to hold above a rising support trend line that began to form in late-March. The RSI is currently over 60 and appears to be getting ready for a slight pull back. Price may lose some steam and fall back to its $75.00 support level, right on top of the trend line, where a bounce is likely to occur. If price successfully bounces it could continue upward to retest the $84.00 resistance level. If price can break above the $84.00 level, there is a high probability that price will continue rising and grind toward the $90.00 level. If price fails to find support at the $75.00 level, we could see price fall to the $70.00 level. If price cannot find support at $70.00, then price would likely begin a new-short term downtrend, as price will have broken to the downside of the rising support trend line.    



Source: GAIN Capital, TradingView

More from Earnings

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.