Disney (DIS) Stock CRASH | This Might Get Worse ....

TL;DR

Disney's stock is down due to declining revenues and profitability, particularly in the television business, and the company faces challenges with its media division and streaming services.

Transcript

is Disney's woke or Progressive ideology turning away customers and that is why the stock is down or is there something a little bit deeper going on with the Walt Disney Company what is going on investors hopefully you guys are doing well out there Walt Disney stocked down 11 can't remember last time that happened that's over 11 per share we are si... Read More

Key Insights

• 🎟️ Disney's stock decline is due to missed revenue expectations and concerns about profitability.
• 🔉 The media division, especially television, is experiencing declining revenues and profits.
• 💖 The park business is performing well, but future growth may be challenging due to difficult comparisons and potential economic factors.
• 😀 Streaming services are facing challenges in achieving profitability and increasing pricing.
• 🗯️ ESPN's loss of sports rights deals is impacting viewership and advertising revenue.
• 🐕‍🦺 The macroeconomic environment and consumer sensitivity to streaming service prices may further impact Disney's performance.
• 🔬 Investing in Disney carries risks due to potential further decline in profitability and stock valuation.

Questions & Answers

Q: Why is Disney's stock down, and what are the main factors impacting its performance?

Disney's stock decline is primarily due to missed revenue expectations, declining profitability in the media division (especially television), and concerns about future revenue growth and profitability.

Q: What are the challenges facing Disney's media division?

Disney's media division is experiencing declining revenues and profitability, particularly in the television business. ESPN, in particular, is losing sports rights deals, leading to decreased viewership and advertising revenue.

Q: How is the park business performing for Disney?

The park business is a bright spot for Disney, with significant revenue growth, particularly compared to last year. However, future growth may face challenges due to difficult year-over-year comparisons and potential economic uncertainties.

Q: What are the concerns about Disney's streaming services?

While Disney's streaming services, including Disney Plus, Hulu, and ESPN Plus, have seen growth in paid subscribers, profitability remains a challenge. The company is investing heavily in content and marketing, but pricing power is limited, and losses have been incurred.

Summary & Key Takeaways

• Disney's stock has dropped 11% and is at a 52-week low, with a 43% decline year to date.

• Revenues for Disney in Q4 missed expectations by over $1.3 billion, and analysts are concerned about future revenue growth.

• The profitability of Disney's media division, particularly in television, has significantly declined, while the park business remains strong.