I've been trading and investing in stocks for over 10 years now and I've had some really good highs and some bad lows. I started accumulating Disney about two years ago when it was trading in the $28-$30 range. I had a nice position which I intended to go Buffet style and hold it forever. I ended up outsmarting myself and selling my shares around $35. Sitting here watching it at over $60 is just amazing. I really like the LucasFilm acquisition and owning Disney is like owning a mutual fund due to their diversification. Congrats to the longs out there. You've got a winner here.
I bought 100 shares at 55 back in 1984 and thought about selling it a year later for 70. I did some new research and decided to hold on. It has split 4-1 two times and 3-1 once since then. That works out to 4800 shares with a cost of a little over $1. Sometimes you have to think for yourself and follow the crowd.
I have a friend that bought disney at 28 within the last two years, and sold at 35 - I told him to buy it back if it dipped to 32, which it did (to my surprise), but he didn't - and we haven't seen the 30's since. When it broke 40, I told him it was worth buying if it dipped under 40 - it didn't dip. I told a couple of young relatives, after it broke 50, that, if it dipped under 50, it was worth buying - it didn't dip.
Cramer said, after it broke 60, to buy it if it went under 60 - I don't know if we will see under 60 after yesterday.
The recent bump can be attributed to Iron Man - it beat last year's records for the Avengers, and, if that held true, then we could see over $1.5 billion - that's unlikely (but they may have a wild card in the China market). But the real story is that this bodes well for next year's Avengers ($2 billion anyone), the other Marvels to come out (Captain America, Thor, etc), and even the Star War franchise. The movie studios have a hard time putting out a blockbuster each year (look at Time Warner after Harry Potter), but Disney seems to have a full slate for many years.
I fully intend on averaging back into Disney once the markets correct a bit. Everything is looking toppy here so I have to imagine we'll get a correction going into this summer. If not then hey I was wrong once again.
Many years ago I owned a stock that bounced around 5 - 10 for many years. One day one poster posted that he had just sold at 9, would be back when it hit 6, had done that several (if not many times), and was profitable. It never hit 6 again. I continued an upward swing that essentially resulted in a buy out at about 60 about 7 years later.
All I have to say about Disney is that if it doesn't do well, that will be the least of your problems. For it not to do well, the entire world has to fall apart. For it to do well, the world's economy has to do well or even just get by for awhile.
I had a friend who bought a 28, and sold at 35. When it dipped to 32, I told him to buy it back. he didn't.
I told some nephews last summer when it was just breaking 50 to buy it if it fell to the 40's. I was wrong. They should have bought it then.
It's clear to me that the LucasFilm and Marvel acquisitions really changed the game for Disney. They have a treasure trove of content to pull from for many years to come. They paid a total of $8 billion for both companies when some would argue that Marvel's character licenses could have fetched $5-$6 billion on their own. It was a brilliant move by Disney. I had the right company picked out I just timed it completely wrong.
FYI... I found out over 25 years that there is no bad time to buy a good company. If you are waiting for a correction or this or that, you could wait a long time. Just a thought. No reason why this cannot be a $70 or 75 stock by years end. Trying to time the market is suicide....
I hear you. One of my buddies had CMG at $60 and sold it at $80, it's now $360. I'm expecting a market correction this summer so if DIS gets back down to the $45-$50 range I would consider jumping back in.