Thinking About Disney Stock: Up, Up, Down?
Three articles on Disney Stock caught my eye this AM; all from analysts from The Motley Fool.
Disney Stock: For your perusal, I submit…
Firstly, Parkev Tatevosian’s, “Finally, Some Good News For Disney.”
He wrote:
- [T]he NBA agreed to host all of its games at the Disney World resort in Orlando. The league is reportedly paying Disney $1.5 million per day for the privilege.
- That will amount to almost $150 million to host the 22 teams for eight regular-season games and the playoffs.
- Overall, the NBA continuing its season and playing all the way through to declare a champion is likely to bring in at least $400 million in revenue for Disney.
Secondly, a familiar face around these parts, Rick Munarriz posted, “3 Things Disney World Hotels Got Right In The Pandemic.”
- Disney World has turned to a reservation system to allocate the available daily slots… Those staying at a Disney resort as well as those with day passes are being prioritized over annual passholders.
- [Thus] The new reservation system — while far from convenient for all parties — is helping drum up staycation requests from locals. This is a pretty big deal at a time when travel restrictions are in place.
- Disney has been able to provide a largely clean and safe environment for the season to play out… The NBA provided Disney with a revenue boost in securing the hotels and sporting complex, but it also have the House of Mouse three fewer hotels to have to fill with guests in the new normal.
Lastly, one sour note was noted by Howard Smith in his piece, “3 Stocks That Could Tank With College Being Cancelled (scroll down).”
He wrote:
The progress on streaming services alongside the restart of professional sports, including the NBA playoffs at Disney’s ESPN Wide World of Sports complex in Orlando, has helped push the share price back to within 10% of where it started the year. Now that college football is at risk, however, the recent gains may recede. Investors should be prepared for another dip in Disney’s share price if ESPN’s College GameDay isn’t there to help bring in revenue this fall.
NO stock advice construed here! Far from it. However, based on my meager purchases since July (and noting I only own 11 — very experimental — shares); even with all the ups and downs, I am still UP near 25%.
Fingers crossed…
Finally, why don’t you weigh in: What do you think? Is the outlook good for The Walt Disney Company? Or would you sell?