Disney to Continue Investing in Franchises and New Characters
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy DIS?
Says will continue to invest in franchises, new stories and characters. Says moving towards interactive model. Says Disney+ will become the "digital centerpiece" of the company. Says company is "selective, but not closed off" on third party distribution on Disney+. Says forward bookings on cruises "very encouraging." Says not seeing material changes to consumer behavior from elevated gas prices.
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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: 108.660
Low
123.00
Averages
137.29
High
152.00
Current: 108.660
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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- Analyst Optimism: Morgan Stanley analyst Sean Diffly noted that despite investor concerns regarding the macro environment and consumer state, Disney delivered strong growth across all segments, refining profit guidance and showcasing confidence in sustainable double-digit earnings growth.
- Strong Business Performance: JPMorgan analyst David Karnovsky highlighted that all Disney segments outperformed expectations, particularly in SVOD profitability for Entertainment, while Experiences benefited from solid consumer demand and capacity expansion.
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- Operating Income Improvement: Disney reported total segment operating income of $4.60 billion for the quarter, exceeding the consensus estimate of $4.38 billion, showcasing enhanced profitability across all business areas, especially with experiences segment income reaching $2.62 billion.
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