03:21 PM EDT, 05/16/2025 (MT Newswires) -- Hasbro ( HAS ) could weather the impact of tariffs on its business, thanks to the strength in its gaming portfolio, UBS said in a note emailed Friday.

Even though the company's supply chain does not have the same flexibility as Mattel ( MAT ) , the portfolio could offset tariff impact and drive upside to earnings estimates, the firm said.

UBS said it was raising its fiscal 2025 earnings estimate by $0.05 to $4.30 per share to account for upside in the Wizards of the Coast business segment, which publishes the collectible card game Magic: The Gathering.

The new estimate also accounts for Hasbro's ( HAS ) Q1 beat, UBS said.

The company in April reported Q1 adjusted net earnings of $1.04 per diluted share, compared to the FactSet consensus of $0.67.

Revenue for the quarter was $887.1 million, compared with consensus of $771.1 million.

Hasbro ( HAS ) has raised its outlook for the Wizard business to mid to high teens growth percentage, compared with 5% to 7% revenue growth previously. According to UBS, the guidance raise adds $90 million to $100 million to operating profit.

"We believe Hasbro's ( HAS ) strategy of tightly managing inventory, combined with potential shelf space gains given broader disruption for the industry and the category (including private label,) leaves Hasbro ( HAS ) nicely positioned heading into Q2 and H2," the firm said.

The firm has a buy rating on the stock with a price target of $82.

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