Disney Plans to Cut 1,000 Jobs as Part of Cost-Cutting Initiative
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy DIS?
Source: CNBC
- Layoff Initiative: Disney plans to cut up to 1,000 jobs, primarily affecting the marketing department, as part of a broader cost-cutting strategy aimed at enhancing operational efficiency amidst financial pressures.
- Executive Transition: Josh D'Amaro took over as CEO in mid-March, marking a significant executive restructuring after a period of uncertainty, with the goal of improving overall business performance through departmental consolidation.
- Marketing Department Restructuring: The marketing department was consolidated in January under Asad Ayaz as Chief Marketing and Brand Officer, representing the first time all business units are managed under a single marketing leader, aimed at enhancing brand consistency and market responsiveness.
- Historical Context: Following Bob Iger's return as CEO in late 2022, Disney has implemented a sweeping restructuring plan that includes cutting $5.5 billion in costs and eliminating 7,000 jobs, highlighting the challenges and opportunities the company faces during its transformation.
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Analyst Views on DIS
Wall Street analysts forecast DIS stock price to rise
19 Analyst Rating
16 Buy
3 Hold
0 Sell
Strong Buy
Current: 102.590
Low
123.00
Averages
137.29
High
152.00
Current: 102.590
Low
123.00
Averages
137.29
High
152.00
About DIS
The Walt Disney Company is a diversified worldwide entertainment company. The Company's segments include Entertainment, Sports and Experiences. The Entertainment segment generally encompasses its non-sports focused global film and episodic content production and distribution activities. The lines of business within the Entertainment segment along with their business activities include Linear Networks, Direct-to-Consumer, and Content Sales/Licensing. The Sports segment encompasses its sports-focused global television and direct-to-consumer (DTC) video streaming content production and distribution activities. The lines of business within the Sports segment include ESPN and Star. The Experiences segment includes Parks and Experiences and Consumer Products. Parks and Experiences consists of Walt Disney World Resort in Florida, Disneyland Resort in California, Disney Cruise Line, and others. Consumer Products includes licensing of its trade names, characters, visual, literary and other IP.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Webcast Access: Investors can access the webcast via Disney's official website, ensuring broad participation and information dissemination, which enhances engagement with stakeholders.
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- Market Challenges: While Disney's theatrical business is expected to rebound strongly in 2026, the company faces multiple challenges due to underperformance post-pandemic and pressures from the rise of streaming, particularly in its media networks segment.
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