Hasbro's (HAS) decision to maintain its full-year guidance does not indicate slower growth for "Magic: The Gathering" as stronger-than-expected demand for owned intellectual property and back-catalog products suggests healthy upside for the year, UBS said in a note emailed Thursday.
The brokerage said Q1 "Lorwyn Eclipsed" strength could push operating margins toward or above the high end of Hasbro's 24% to 25% full-year guidance range.
Meanwhile, UBS said that upcoming video game releases, "Exodus" and "Warlock," could be loss-making in their first year following launch.
UBS reiterated its buy rating and $110 price target on the stock.
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