Toy and entertainment company Hasbro (NASDAQ:HAS) will be reporting results tomorrow before market open. Here’s what to look for.

Hasbro missed analysts’ revenue expectations by 1.3% last quarter, reporting revenues of $1.28 billion, down 14.8% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

Is Hasbro a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Hasbro’s revenue to decline 20.6% year on year to $1.02 billion, improving from the 23.2% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.33 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Hasbro has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Hasbro’s peers in the consumer discretionary segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Mattel delivered year-on-year revenue growth of 1.6%, beating analysts’ expectations by 1.2%, and Bark reported revenues up 1.1%, in line with consensus estimates. Mattel traded up 15.3% following the results while Bark was down 6.1%.

Read our full analysis of Mattel’s results here and Bark’s results here.

Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices up 1.5% on average over the last month. Hasbro is up 6.1% during the same time and is heading into earnings with an average analyst price target of $76.79 (compared to the current share price of $61.25).

Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.