A toy launcher with a drum magazine assembly that has a rotatable drum portion mounted for rotation, with a rear plate and a central support with an opening for a support axle. A ring of projectile holders is connected to the rear plate, with each projectile holder holding at least two projectiles arranged in a generally radially stacked configuration. Generally radially extending walls are located between adjacent projectile holders. Each of the projectile holders includes a slot on a radially inner side into which a projectile biasing arm extends at a projectile launch position. A pusher is located in the housing adjacent to the projectile launch position. Drive wheels are positioned in front of the drum magazine assembly at the projectile launch position. The drive wheels are motorized so that they rotate to propel a projectile pushed from the drum between the drive wheels for launching the projectile.