My favorite delusional DIS investors are the ones who pull stock price objectives from thin air. DIS 150. It's such a special company that 5 times sales and 30 times peak earnings is appropriate?
This "quality investment" has broken down badly. If you don't see it, you are not looking. Hopefully, you not investing anyone's money other than your own.
It's funny that the continued overbought conditions of the last several years don't seem to concern you folks equally as much.
Imagine that. DIS is still a cyclical earnings play after all (with the downturn just around the corner perhaps?) Hard to justify paying over 3 times revenue for that.
Markets are telling anyone who will listen that major earnings disappointments are imminent for Q3. Lots of blue chips will be disappointing which will draw the market much lower. Currency issues aren't an abstract problem and many companies doing international business have been reporting them already.
Specific to DIS, I have no inside info, but it is unrealistic to expect that the earnings trend of the last several years can continue (they never do) or that DIS will be immune. Hence the foolishness to chase the extreme valuation based upon nothing more, I would suggest, than that the so called investors can relate to and feel good about the brand.
I agree! How about selling the Star Wars retreads to the government for use as a interrogation tool with terrorists. The bad guys will have to watch until they crack?
Chasing richly valued stocks on the greater fool theory will keep on working until it doesn't.
I'm recommending that you and the other feel good "investors" on this board buy as much DIS as you can here. Put it away for about 10 years.
This only ensures that the currency crash will be ugly.
Question. Who is going to buy your outrageously expensive shares? All the foolish money is already in. Maybe the earnings and balance sheet will catch up to make this a fair valuation in another 10 years?
Believing earnings will continue to accelerate indefinitely is the stuff Disney movies are made of. Immediate 10% haircut when the reality of the first earnings miss hits.
Stock buybacks are useful when a stock is undervalued. No case can be made that this stock is anything but overvalued, unless you are using fantasy accounting.