Talking DIS: Disney Stock Not Fully Appreciated
The Upside is High for DIS
Here’s a stat for you, courtesy NASDAQ.com:
According to data from Samba TV, about 1.6 million households streamed at least one episode of WandaVision on its premiere weekend. Moreover, 655,000 watched the first episode the day it premiered. That compares to 1.04 million households for the season 2 premiere of The Mandalorian in October.
I love the “unironic” title to that article, by the way: Disney+ May Have Another Hit Original Series.
Ha! I mean, that is a lot of people. And that’s probably why we’re reading another business article. This time titled by the equally rhetorical line: Why Is Everyone Talking About Disney Stock?
Everyone’s Talking Dis?
Well, I can take a guess, but, “Why exactly is everyone talking about The Mouse?”
On January 22, John Ballard of The Motley Fool explained:
Disney’s stock price jumped toward the end of 2020 after management updated its plans for streaming in December. But the stock still has more upside.
And Disney+ is the biggest reason for all the chatter:
- Disney expects investments in new content, including dozens of original series coming from Star Wars, Marvel, Disney Studios, and Pixar, to accelerate the growth of Disney+ over the next few years.
- Management forecasts total subscribers across Hulu, ESPN+, and Disney+, reaching between 300 million to 350 million by fiscal 2024.
- Disney is already planning to increase the subscription fee by one dollar to $7.99 in the U.S. in March, which will come the same month that Disney launches the animated film Raya and the Last Dragon as a premier access title on its streaming service. This follows a successful launch of Mulan as a premier access title last year, which was originally scheduled for a theatrical release.
I mean, my 11.5 shares, and I will take that bet.
And hopefully, all of that scratch gets reinvested into all of the products that my family loves.
Nor would a dividend or two.