Top toymakers attract activists

Article Excerpt

The toy industry has suffered in the past few years as COVID-19 shut down retail stores. Rising raw material costs and shipment delays have also hurt earnings. The easing pandemic and the opportunity to build back even stronger earnings is why activist investors are now targeting toymakers Hasbro and Mattel, and their top brands. HASBRO INC. $91 is a hold. The company (Nasdaq symbol HAS; Consumer sector; Shares outstanding: 139.4 million; Market cap: $12.7 billion; Dividend yield: 3.0%; Takeover Target Rating: Medium; www.hasbro.com) is one of the world’s largest makers of family and leisure time products. The company’s core brands include G.I. Joe, Transformers, Nerf, Tonka, and Monopoly. Hasbro recently agreed to acquire D&D Beyond from Fandom for $146.3 million in cash. Hasbro already owns the fantasy franchise Dungeons & Dragons. This purchase is for the leading digital toolset and game companion for the company’s games. D&D Beyond, which boasts nearly 10 million users, will be absorbed into Hasbro’s Wizards of the Coast division, which controls Dungeons…