SAN DIEGO, Nov. 19, 2024 (GLOBE NEWSWIRE) — Robbins LLP reminds investors that a class action was filed on behalf of all persons and entities that purchased or otherwise acquired Hasbro, Inc. (NASDAQ: HAS) common stock between February 7, 2023 and October 25, 2023. Hasbro is a leading toy, game, and entertainment company with global reach.
For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.
The Allegations: Robbins LLP is Investigating Allegations that Hasbro, Inc. (HAS) Misled Investors Regarding its Inventory Levels
According to the complaint, during the class period, defendants failed to truthfully represent the quality of inventory and the appropriateness of the levels of inventories carried by Hasbro and its retailers compared to customer demand. In truth, the Company had a significant buildup of inventory that it was struggling to manage, and which far exceeded customer demand.
Plaintiff alleges that on October 26, 2023, Hasbro announced its financial results for its fiscal year 2023 third quarter and disclosed an 18% decline in Consumer Product revenues year-over-year, “driven by exited businesses, soft industry trends and prioritization of inventory management across both owned and retail inventory.” Hasbro revised its full year guidance for Consumer Product, disclosing that it now expected a revenue decline of 13% to 15% for the Company, compared to the previously forecast 3% to 6% decline. It attributed this revision wholly to the Consumer Product segment. In the attendant earnings call, defendants revealed that the Company was forecasting “$50-ish million of onetime cost” that was to be spent on “mov[ing] through inventory at the retailer level, extra marketing to move through the inventory, [and] extra obsolescence cost” in its Consumer Products segment. On this news, Hasbro’s stock price declined by $6.38 per share, or 11.7%, from a closing price of $54.75 per share on October 25, 2023, to a closing price of $48.37 per share on October 26, 2023.
What Now: You may be eligible to participate in the class action against Hasbro, Inc. Shareholders who want to serve as lead plaintiff for the class must submit their application to the court by January 13, 2025. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Robbins LLP: Some law firms issuing releases about this matter do not actually litigate securities class actions; Robbins LLP does. A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. Since our inception, we have obtained over $1 billion for shareholders.
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