The Walt Disney Company (DIS) - NYSE
  • Mon, Jul. 25, 12:14 PM
    • Star Trek Beyond topped the box office, providing a nice score for Paramount (VIA +0.5%, VIAB) in a week where five films shared a weekend take that was up 29% Y/Y.
    • The latest Star Trek film showed a decline from the last entry (Star Trek Into Darkness) but logged $59.6M for a easy first place, outgrossing the $29.3M The Secret Life of Pets (CMCSA, in its third week) and the $21.6M scared up by Ghostbusters (SNE -2%).
    • Two other debuts hit the $20M mark: Horror-thriller Lights Out (TWX +0.3%) drew $21.6M, and Ice Age: Collision Course (FOX -0.4%, FOXA -0.3%) a worse-than-expected $21M.
    • The Secret Life of Pets fell off 42% but brought its cumulative take to over $260M. Meanwhile, Finding Dory (DIS -0.2%) was sixth with $7.2M over the weekend, but brought its six-week take to $460.2M.
    | Mon, Jul. 25, 12:14 PM | 4 Comments
  • Wed, Jul. 20, 10:13 AM
    • Walt Disney (NYSE:DIS) is off 1.9% today as Stifel Nicolaus downgrades to Hold, pointing to a fully valued stock and "somewhat of a split story."
    • The firm's Benjamin Mogil maintains a price target of $110, implying 10.6% upside from yesterday's closing price of $99.47.
    • On the one hand, the studio business has a solid pipeline, and it and the related consumer products businesses call for a strong multiple; the studio pipeline isn't an outlier, he says, but a reflection of strong cycles from Marvel, Pixar, and (increasingly) Disney Animation and Disney live action.
    • “On the other side of the ledger is the Media segment," he writes. "While there has been some relief/reduced concern around the carriage and MVPD subscriber numbers at ESPN YTD, we estimate that F2017 will be a likely flat year to possibly at Cable OI."
    • Disney is set to release earnings in three weeks, on Aug. 9 after the close.
    | Wed, Jul. 20, 10:13 AM | 28 Comments
  • Mon, Jul. 11, 11:05 AM
    • Viacom (VIA -2.7%, VIAB -2.2%) is lower today as Wells Fargo downgrades it to Underperform after a fresh look at earnings models in its Media and Telecom sector.
    • Domestic advertising is healthy, Marci Ryvicker and team write, but Viacom's networks aren't joining in the gains. CBS (CBS +0.4%) and Time Warner (TWX +0.5%) are "fine," with estimates left as is, but "when it comes to VIAB, we can't put this lightly -- we significantly cut numbers," saying estimates for domestic affiliate fee growth went to negative $30M from the previous $39M in gains.
    • "We know this is currently trading on corporate governance 'events,' but we don't see how anyone can come in and successfully turn this company around over the next 12 months," Wells says. "It has fallen too far too fast, in our opinion, esp. in cable nets (which have LT contracts)."
    • On average, the analysts expect 5% affiliate fee revenue growth; ESPN (DIS +0.3%) could be mid-single digits ("due to easy comps") and high single digits for everyone else except Viacom, for which it expects a bit decline.
    | Mon, Jul. 11, 11:05 AM | 1 Comment
  • Thu, May 26, 9:27 AM
    • Netflix (NASDAQ:NFLX) is up 3.7% premarket, and Time Warner (NYSE:TWX) up 0.9%, after the two were linked as takeover targets in a story about Apple's (NASDAQ:AAPL) content ambitions.
    • The Financial Times reports that Apple exec Eddy Cue raised the idea of buying Time Warner at a meeting with the company's head of corporate strategy at the end of last year.
    • Those ideas didn't get to Apple chief Tim Cook or Time Warner CEO Jeff Bewkes, sources told the FT, but the story does suggest Apple may not be content just talking about licensing others' content for a future TV service.
    • Meanwhile, several bankers suggest to the FT that Netflix is a more likely target for Apple, since an Apple service could then still support a wider range of content makers.
    • Several media companies would be bad targets for Apple because of dual-share structures that favor founders or family ownership (like Comcast, Fox, CBS, and Viacom). Notable exceptions to that concern are Time Warner and Walt Disney (NYSE:DIS).
    | Thu, May 26, 9:27 AM | 50 Comments
  • Tue, May 24, 7:55 PM
    • Making good on CEO Les Moonves' upbeat projections, CBS (CBS +1.8%) is wrapping up a stellar run on top of the ratings, logging its eighth straight year as the most-watched network overall as well as grabbing demographic coups.
    • It was also the network's 13th overall ratings win in 14 years (Fox (FOX +1.4%, FOXA +1.4%) stole a year in 2007-08 during the writer's strike).
    • With just a few nights left to count, CBS has won adults 18-49 for just the second time in 24 years, with the help of Super Bowl (which helped the last time it did so, three years ago). It's also No. 1 in adults 25-54 for the ninth time in 13 years.
    • Meanwhile, NBC (CMCSA +1%) had the best first-year class, with new drama hits Blindspot and Chicago Med, and had its most-watched season without a Super Bowl or Olympics in nine years. It would have virtually tied CBS in adults 18-49 if not for the Super Bowl.
    • ABC (DIS +0.3%) saw its ratings decline 14% this year, and decline 18% among adults 18-49.
    • Among the big broadcasters in total, though, viewership declined 7% to another record low amid even greater program variety from newer programming/digital entrants.
    | Tue, May 24, 7:55 PM | 2 Comments
  • Wed, May 11, 10:33 AM
    • Walt Disney (NYSE:DIS) is off 4.2%, giving up a chunk of the past month's gains (it was up 10.8% since April 12), after yesterday saw the company's first earnings miss in more than two years.
    • Analysts have poured out updates today. Regarding the elephant in Disney's earnings room, ESPN, Piper Jaffray says the network wasn't the reason for weakness, and that ad sales are pacing up there (and scatter pricing is trending 20% above upfront levels at ABC). The firm's Stan Meyers maintains Disney at Overweight with a $120 price target.
    • Bernstein (Market Perform, $110 price target) suspects the stock may be caught in a range as estimates legged down again. Consumer products missed (though that may be a problem of systematically high forecasting, not a business problem, analyst Todd Juenger says) and a revenue slowdown at Parks may mainly be yield management -- which leaves (undisclosed) domestic affiliate fees as the key worry. They're liable to decelerate again in H2 as Time Warner Cable and Charter merge, Juenger says.
    • Deutsche Bank acknowledged a tough quarter but noted guidance wasn't as bad as it looked at first. Advertising outlook isn't related to the New Year's college football playoff timing that spurred a decline in Q2, and films and parks look like they can outperform expectations. Consumer products missed "pretty materially (18%)," but "Consumer Products & Interactive Media is an inherently volatile business from quarter to quarter." It's maintaining a Hold rating and $113 price target.
    • Topeka Capital Markets barely trimmed its price target (to $129 from $130) and rates the stock a Buy. Jefferies Group, meanwhile, reiterated its Hold and cut its price target further, to $92 from $101.05, noting "downside risk to Cable segment EBIT, tough Studio comps (F3Q should be another big quarter), and a deceleration in domestic Park EBIT growth in F17 and beyond."
    | Wed, May 11, 10:33 AM | 16 Comments
  • Wed, May 11, 9:12 AM
    | Wed, May 11, 9:12 AM
  • Tue, May 10, 5:43 PM
    • Last summer, with trouble brewing at ESPN, Walt Disney (NYSE:DIS) CEO Bob Iger took the subject head-on at the very beginning of the company's earnings call. This afternoon, it's all about the wild success in Filmed Entertainment and upcoming Shanghai park launch that led off a relatively brief set of prepared remarks, rather than the sports network or who takes over for its departed COO (and what that means for Iger's departure).
    • With the call still under way, shares are now down 5.3% in after-hours trade following the earnings miss.
    • Disney became the fastest ever to $1B at the domestic box office -- hitting it last weekend in just 128 days, beating last year's record (Universal, in 165 days), with the help of the all-time fifth-best opening, by Captain America: Civil War.
    • But at ESPN, ad revenue fell 13%. Iger declined to give numbers on over-the-top deals when it comes to Sling TV and Sony, but "we anecdotally were told that after ESPN was included in their package, they saw a very encouraging trend in sign-ups." He added that he doesn't believe getting into Hulu distribution will affect current distribution relationships.
    • As for the surprising exit of Iger's heir apparent, COO Thomas Staggs, Iger says "we're sorry what came to pass," but "I will remind people that I have just over two years left" as CEO, the board is very actively engaged in succession planning, and "I don't currently have any plans to extend beyond the June [2018] expiration date."
    | Tue, May 10, 5:43 PM | 13 Comments
  • Tue, May 10, 5:37 PM
    | Tue, May 10, 5:37 PM
  • Tue, May 10, 5:08 PM
    • Walt Disney (NYSE:DIS) is now down 6.6% after hours as its earnings call gets under way. Along with its earnings miss, the company is shuttering its videogame publishing unit.
    • Disney is taking a $147M charge against earnings to put an end to its Infinity-branded "toys-to-life" console business.
    • Revenues in Consumer Products and Interactive Media, a division which the company merged last year, had fallen 2% this quarter to $1.19B.
    • The company launched Infinity in summer 2013, following on success by Activision Blizzard and its Skylanders toys-to-life products, and promised to fill it with buyable characters from Disney animation, Star Wars and Marvel properties.
    • Updated: Disney says it will still release Infinity playsets/characters for Alice Through the Looking Glass and Finding Dory later this month and in June.
    | Tue, May 10, 5:08 PM | 16 Comments
  • Tue, May 10, 4:26 PM
    • Walt Disney (NYSE:DIS) is sliding after hours, now down 6.3%, following its first miss on earnings in more than two years.
    • The company fell short of expectations on revenues as well as profits, which grew just $35M to $2.1B total, as the film division is going gangbusters but its biggest business (Networks) was flat in revenue thanks to cable declines, and consumer products sales fell.
    • Revenues by segment: Media Networks, $5.79B (down fractionally); Parks and Resorts, $3.93B (up 4%); Studio Entertainment, $2.06B (up 22%); Consumer Products and Interactive Media, $1.19B (down 2%).
    • Operating income grew in all segments except Consumer Products and Interactive Media, where it dropped 8% to $357M. Operating income grew 9% in Media Networks, to $2.3B.
    • Conference call to come at 5 p.m. ET.
    • Press Release
    | Tue, May 10, 4:26 PM | 104 Comments
  • Mon, Apr. 25, 7:45 PM
    • Disney (DIS +0.8%) has teamed up with Nokia (NOK -2.6%) to set its course for virtual reality.
    • The entertainment giant has a multi-year deal to use Nokia's OZO 360-degree cameras for varying vectors from its films to its marketing materials, and it even used them to make VR extras for The Jungle Book.
    • The cameras can help fill a well of content that could be used to keep Facebook's Oculus Rift and the HTC Vive humming. Nokia introduced the $60,000 OZO in November, though rivals that could include GoPro, Lytro and Jaunt may be following up soon with competing models.
    • Now read Nokia: It's A Yield Play »
    | Mon, Apr. 25, 7:45 PM | 18 Comments
  • Tue, Apr. 19, 7:53 PM
    • With college basketball putting away the equipment after its tournament, Fox News (FOX -0.1%, FOXA -0.3%) reclaimed the top spot in prime-time cable ratings from TBS (TWX -0.5%), drawing 1.8M viewers on average.
    • TBS and HGTV (SNI -0.5%) tied for second place with 1.5M viewers, while Turner's TNT tied with ESPN (DIS +1.1%) for fourth, with 1.4M.
    • On the all-day basis, Nickelodeon (VIA -7.1%, VIAB -8.3%) was in a familiar spot at the top, with 1.1M viewers, ahead of Fox News, Adult Swim, Disney Channel and HGTV (though Viacom investors' eyes are on tense negotiations with Dish Network). And ESPN took the adults 18-49 demographic with 734K viewers.
    • Zombies are still killin' it for AMC Network (AMCX -0.6%), as Fear the Walking Dead was cable's top show for the week, with 5.5M viewers topping CNN's Democratic Debate with 5.4M and TNT's Memphis/San Antonio NBA playoff game, with 3.9M.
    • Now read Viacom: Opportunity Hidden In A Soap Opera »
    | Tue, Apr. 19, 7:53 PM | 23 Comments
  • Mon, Apr. 18, 2:43 PM
    • Disney (NYSE:DIS) stock is still riding high today, +3%, after a triumph at the weekend box office with a reimagining of The Jungle Book.
    • The film crested $103M to easy surpass another debut, Barbershop: The Next Cut (TWX +1.1%), which took the No. 2 spot with $20.2M.
    • The Jungle Book (which opened slightly ahead overseas) added $189.9M in a foreign take to make an impressive worldwide total of $293.5M.
    • Earlier, Pivotal Research upgraded Disney to Buy and gave a 17% boost to its price target for the stock.
    • The success of Warner's Batman v Superman: Dawn of Justice is still front-loaded, as that film fell off another 61% in its fourth week to $9M and the No. 4 spot. It's earned $311.3M domestically and $829.3M worldwide, however.
    • As for Universal (CMCSA +1%), a heavily watched studio after its dominant 2015, The Boss slid 57% in its second week to finish third with $10.2M. It's a big drop for a Melissa McCarthy film, but for a film that's been plagued by poor reviews.
    • Now read Debugging The Disney Misconceptions »
    | Mon, Apr. 18, 2:43 PM | 40 Comments
  • Mon, Apr. 18, 10:01 AM
    • Walt Disney (NYSE:DIS) has popped 2.4% in the first minutes today after an upgrade by Pivotal Research, and following another in a string of strong box office debuts.
    • Pivotal upgraded to Buy from Hold, and raised its price target from $104 to $121 -- implying 22.7% upside from Friday's closing price.
    • The company's reboot of The Jungle Book overwhelmed box-office competitors over the weekend, drawing $103.6M after opening in more than 4,000 theaters -- more than $83M more than its nearest film competition.
    • Last week, JPMorgan Chase reiterated its Buy rating and $118 target on shares.
    • Now read Disney Park Activist Play With 200% Return Potential »
    | Mon, Apr. 18, 10:01 AM | 19 Comments
  • Wed, Apr. 13, 5:45 PM
    • Walt Disney (NYSE:DIS) gained 2.2% and hit its highest point this month on no particular news, but on a day when it rolled out a lengthy clip from animation anchor Finding Dory to wrap a presentation at CinemaCon.
    • The studio showed the first 27 minutes of the sequel to 2003's Finding Nemo, along with a number of recent trailers (Rogue One: A Star Wars Story, The BFG, Doctor Strange) and the finished Captain America: Civil War film.
    • Distribution chief Dave Hollis also voiced support for the traditional theatrical window ("Our commitment ... has never, ever been stronger") in the face of window-busting strategies including Sean Parker's The Screening Room, which offers a $50 price to see a movie in-home at the same time as its theatrical release.
    • The company's reboot of The Jungle Book is likely to do strong business in its U.S. debut this weekend.
    • Now read Disney Is In Good Hands »
    | Wed, Apr. 13, 5:45 PM | 28 Comments
Company Description
The Walt Disney Co. together with its subsidiaries and affiliates is a diversified international family entertainment and media enterprise. It operates through five business segments: Media Networks, Parks & Resorts, Studio Entertainment, Consumer Products and Interactive Media. The Media... More
Sector: Services
Industry: Entertainment - Diversified
Country: United States