Sales of Magic: The Gathering, a three-decade-old card game, have been booming. "It is a mega franchise," Hasbro's CEO says. Once a fringe fixture of comic-book stores and hobby emporiums, a trading-card game has become a powerhouse in the toy industry.

Magic: The Gathering has long been Hasbro's biggest brand. But lately, it has found a new gear, notching growth that has surprised Wall Street—and pushed Hasbro's chief executive to rhapsodize to investors about its scale. The surge in popularity for Magic couldn't have come at a better time for Hasbro, which also makes Monopoly games, Nerf guns and G.I. Joe action figures.

Sales of traditional toys have been under pressure for years, driven by declining birthrates and a shift toward videogames and online games. Sales of dolls are down 36% from 2021 to 2025, according to data from intelligence firm Circana. Toddler and preschool toys are down 15% over the same period.

But games and puzzles—the segment that includes Magic—have boomed during that time frame, up 36%. Those types of toys attract an audience that is typically older, increasingly including adults, and more likely to make repeat purchases.