) plans to develop mobile versions of classic board games like
Monopoly to capitalize on strong growth in digital gaming.
On Tuesday, the toy maker signed a deal with digital game
developerElectronic Arts (
) to create versions of Monopoly, Scrabble, Yahtzee and other
popular games for smartphones and other handheld devices. Terms
of the deal weren't disclosed. EA was featured in a recent
Hasbro has been cutting costs and teaming up with electronic
gaming outfits to stay on top of the latest trends. Last year, it
introduced a new line of digital games with social game developer
"Deals like these provide Hasbro an opportunity to participate
in (the) faster-growing digital gaming/casual entertainment
category, a market that is expected to grow significantly in the
years ahead," Zack's Equity Research said Wednesday.
It's also working on efforts to save $100 million a year by
Profit for the first quarter rose 25%, the best in 12 quarters
and above views. Q2 earnings are due before the market opens July
22, with profit expected to rise 6% to 35 cents a share.
Despite choppy quarterly profits, annual earnings have risen
steadily over the past eight years, marred only by a slight dip
during the deep recession of 2008.
Hasbro's three-year earnings stability factor is 3 on a scale
of 0 to 99, with 0 being most stable. Profit this year is
expected to rise 5% to $2.95 per share, followed by a 9% increase
Meanwhile, the stock has risen 28% this year and 36% since the
same time last year, easily outpacing the S&P 500. The
company also pays a quarterly dividend of 40 cents a share, good
for a hefty annual yield of 3.5%, well above the S&P 500
average of 2.5%.