Disney Stock Closes Above $90 For the First Time Since 2020
Propelled by yesterday’s strong earnings report and the end of the SAG-AFTRA strike, shares in The Walt Disney Company ($DIS) spiked to three-year highs today.
The big news from Disney CEO Bob Iger yesterday was that Disney planned to cut $7.5 billion in costs this year, up from the $5.5 billion target set in February.
Disney’s Stellar Earnings Report
The company’s streaming figures also came in much stronger than expected with nearly 7 million net additions to Disney+. That number was well above the estimate of 2.68 million that Wall Street had expected.
Disney has also been able to narrow its streaming losses to $387 million, which was lower than analysts had expected. All together, it was a great showing for Disney.
Wall Street seems bullish on the company, following its latest earnings report. Stocks in The Walt Disney Company closed at $90.34 which was up almost 7%.
The last time the company’s stock closed that high was back in August 2020.
Hollywood Has Labor Peace
Further propelling Disney’s stock upward, was the announced end of the SAG-AFTRA strike.
With the actors and studios finally agreeing to a deal, Hollywood will soon be able to ramp up production again. It will be the first time in six months that Tinseltown will have labor peace.
With Disney’s finances clearly improving, and the stock at a multi-year high, Iger may also be able to stave off another proxy battle from Nelson Peltz.
The activist investor had reportedly been waiting for Disney to report their earnings before deciding on his next move.
No matter what Peltz decides, it has been a great 24 hours for Iger and Disney. If the Disney CEO can keep the momentum going, he may just re-establish himself as Hollywood’s Golden Boy.
Thanks for visiting MickeyBlog.com! Want to go to Disney? For a FREE quote on your next Disney vacation, please fill out the form below and one of the agents from MickeyTravels, a Diamond level Authorized Disney Vacation Planner, will be in touch soon!