|Bid||108.10 x 1800|
|Ask||108.34 x 1300|
|Day's Range||107.51 - 109.00|
|52 Week Range||97.68 - 120.20|
|Beta (3Y Monthly)||0.51|
|PE Ratio (TTM)||14.83|
|Earnings Date||May 8, 2019|
|Forward Dividend & Yield||1.76 (1.62%)|
|1y Target Est||126.45|
I, with five remotes, should know. Customer fatigue with streaming will ultimately lead to a Great Rebundling.
The Latest on Tech Stocks Apple, Google, Disney, and Netflix(Continued from Prior Part)Netflix stock surged despite Disney’s acquisition of FoxThe Walt Disney Company’s (DIS) acquisition of 21st Century Fox’s assets poses a big threat to
The Latest on Tech Stocks Apple, Google, Disney, and Netflix(Continued from Prior Part)Disney now has access to a huge library of movies and shows The Walt Disney Company (DIS) has finally closed on its acquisition of most of 21st Century Fox’s
Disney's (NYSE:DIS) acquisition of 21st Century Fox closed on Mar. 19 at 9 p.m. Disney stock dropped the next day, and the one after that as investors chose ambivalence over irrational exuberance.Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsCEO Bob Iger was more subdued about Disney's $71 billion acquisition that makes it one of the biggest content creators on the planet. * 7 Beaten-Up Stocks to Buy as They Reverse Course "I wish I could tell you that the hardest part is behind us; that closing the deal was the finish line, rather than just the next milestone," Iger said in an email welcoming Fox employees into Disney. "What lies ahead is the challenging work of uniting our businesses to create a dynamic, global entertainment company with the content, the platforms, and the reach to deliver industry-defining experiences … for generations to come."No pressure.The merits of this deal have been debated for more than a year. Now that the die is cast, the owners of Disney stock are cautiously optimistic about the company's future. However, Iger is right. There are a lot of moves to be made -- including laying off 3,000 people, most of them at 21st Century Fox -- before labeling the acquisition a success. Realistically, we won't know for three to five years if Iger's final act was a winning one. So, if you own DIS stock, you'll have to be very patient.I'd forget about the nitty-gritty of what has to be done and focus on all the good things that are already happening at Disney. Why?Because if you focus on the deal, you'll soon realize that most big acquisitions fail to deliver the big score. The cost synergies imagined -- in this case, $2 billion or more by 2021 -- either fail to materialize, or they set off a series of unintended consequences that make the merged entity weaker rather than stronger. Here Are the FactsWhile it's not a new stat, it's one that hasn't changed much in the past six years. MoneyWatch contributor Margaret Heffernan, an entrepreneur, CEO, and author, wrote a piece in April 2012 that discussed why mergers fail. She noted that mergers fail anywhere between 50% and 85% of the time, with most failing to deliver any value for shareholders. That's not to suggest that Disney's gambit won't succeed. It's just that it's got a very steep hill to climb before the celebrations can truly begin. If you want to read an excellent article about why acquisitions don't work, read Paul McCaffrey's February 28 piece for the CFA Institute. It drills down into all the major flaws of the rationale for acquisition, using esteemed economics professor Aswath Damodaran as a significant source. "In two thirds of all mergers, what they find is the mergers fail that very simple capital budgeting question with synergy incorporated in the returns," Damodaran said. "And here's the most final and most damning evidence that mergers don't work: Do you know half of all mergers are reversed within 10 years of the merger? The company that did the acquisition phase finally shows up and says, 'Didn't work.'"If you are holding Disney stock because you think this acquisition will add value to it, I'd sell DIS immediately. Despite Iger's best hopes, no evidence suggests the merger will be a home run. However, if you believe that some of the company's initiatives in the works for a long time, such as Disney+, will be good for the company, that's a more rational basis for owning Disney stock. The Bottom Line on Disney StockLast September, I wrote an article that argued DIS was much more than just its soon-to-be-launched streaming service. Don't get me wrong, I see Disney+ and ESPN+ as difference-makers for the company, but I also believe that its old divisions like Parks and Resorts play a crucial role in Disney's overall business. Parks and Resorts delivers consistent revenue and earnings growth every year, without fail. While it's true that the movie business has blockbusters, it also has colossal failures that cost the company millions, even billions. Moving forward, Bob Iger has a massive job in front of him. The odds of him succeeding are probably 50/50. That said, if anyone can do it, he'd be near or at the top of my list.Do I think Disney stock is worth owning? I do. However, I think Disney stock is worth owning, regardless of whether the 21st Century Fox acquisition delivers all the promised benefits and synergies. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Retail Stocks That Will Continue to Rebound in 2019 * 5 Stocks To Buy for the Happiest Employees * 7 ETFs for a Millennial Portfolio Compare Brokers The post Will Disney Stock Get a Lift From the Fox Deal? appeared first on InvestorPlace.
The Walt Disney Company plans to discuss fiscal second quarter 2019 financial results via a live audio webcast beginning at 4:30 p.m. EDT / 1:30 p.m. PDT on Wednesday, May 8, 2019.
How Disney’s Fox Acquisition Could Pay Off(Continued from Prior Part)Disney’s focus on streaming services Walt Disney (DIS) is working on expanding its streaming services amid the growing adoption of video-on-demand services. In April 2018,
How Disney’s Fox Acquisition Could Pay Off(Continued from Prior Part)Disney acquires Fox’s premium contentWalt Disney (DIS) acquired most of 21st Century Fox’s assets for $71.3 billion yesterday. The assets not acquired by Disney were
Walt Disney World is bringing the 1930s back in style via its new Disney's Rivera Resort, which is slated to open later this fall. The theme park giant (NYSE: DIS) shared some new peeks inside the guest rooms at the resort that are themed after the architecture and environment likely seen by Walt Disney and his family on trips to Europe in the 1930s. The new 300-unit timeshare resort slated to open later this fall is the 15th Disney Vacation Club property.
How Disney’s Fox Acquisition Could Pay Off(Continued from Prior Part)Fox assets include Star India With its acquisition of 21st Century Fox (or 21CF), Walt Disney (DIS) gained Fox’s film and TV studios, cable networks, a 30% stake in Hulu, and
LOS ANGELES (AP) — Fox 2000, the specialty unit behind such diverse literary adaptations as "Hidden Figures," ''Love, Simon" and "Life of Pi," is closing shop under the Walt Disney Co.
Apple Inc is expected to launch an ambitious new entertainment and paid digital news service on Monday, as the iPhone maker pushes back against streaming video leader Netflix Inc. But it likely will not feature the New York Times Co. Mark Thompson, chief executive of the biggest U.S. newspaper by subscribers, warned that relying on third-party distribution can be dangerous for publishers who risk losing control over their own product. Thompson, who took over as New York Times CEO in 2012 and has overseen a massive expansion in its online readership, warned publishers that they may suffer the same fate as television and film makers in the face of Netflix's Hollywood insurgence.
How Disney’s Fox Acquisition Could Pay Off(Continued from Prior Part)Disney acquires a 30% stake in Hulu With the closure of its 21st Century Fox (or 21CF) acquisition yesterday, Walt Disney (DIS) received a 30% stake in Hulu. Before the
How Disney’s Fox Acquisition Could Pay Off(Continued from Prior Part)Fox assets acquired by DisneyYesterday, Walt Disney (DIS) gained control over most of 21st Century Fox’s (or 21CF’s) media and entertainment assets, including its film
Competition and resistance are everywhere when it comes to a stock like Netflix (NASDAQ:NFLX). But if investors subscribe to the idea challenges off and on the price chart are meant to be overcome, now is a very good time to go long Netflix stock. Let me explain.Source: Vivian D Nguyen via Flickr (Modified)There are so many things that could go wrong with Netflix stock and its bullish fan base. Off the price chart, there's NFLX's glaringly rich price-to-earnings ratio, which fetches a multiple of 139 on a trailing basis and a still stiff forward price of 58 times earnings.Still, continued strong double-digit revenue and subscriber growth make more than a good argument why NFLX investors maintain their support. And forecasts, such as Netflix doubling its subscriber base over the next decade, keep the company's momentum narrative intact and the pricey multiple concerns at bay.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut what about Netflix's storied cash burn and those competitive threats Netflix stock faces?Those are challenges that do appear to be growing every day. Currently, Apple (NASDAQ:AAPL) and Disney (NYSE:DIS) are set to enter the streaming video on demand or SVOD market in 2019 with new platforms of their own. Once again though, and as InvestorPlace contributor Rohit Chhatwal notes, those dangers are likely more superficial than real for a myriad of reasons. * 10 Stocks on the Rise Heading Into the Second Quarter And what about the resistance and challenges NFLX stock has to contend with on the price chart? Here too, the story is unfolding as a very strong narrative for Netflix bulls. Netflix Stock Daily Chart Click to EnlargeFollowing a steep correction late last year and then a quick and roughly equally sized rally, it was difficult to subscribe to being a fan of NFLX stock in the short-term. Along with streaming device maker Roku (NASDAQ:ROKU), I wrote as much back in the first half of January.Despite the fact that shares now roughly 10% higher, it was a good observation. In the face of my cautious point of view, NFLX experienced early gains, but it wasn't without even more difficult-to-handle, gut-wrenching volatility as bulls and bears dueled around the 200-day simple moving average.In the here and now though, conditions are looking definitely up for Netflix stock bulls.Following Netflix's bears ceding control and shares trading laterally over several weeks, backed by the 200SMA and 62% retracement level, Wednesday's session witnessed a market-bucking breakout on heavier and above-average subscriber rates from investors.It's very bullish.That's not to say there's no chance for a scary sequel to emerge on the NFLX stock chart. As I've been known to say, there are no guarantees on Wall Street except the opening and closing bells.But with the breakout in Netflix well-supported by a friendly looking stochastic set-up, shares have the technical wherewithal to reclaim their prior all-time-high of $423.21 established last summer. That's about $50 or 13% higher and where an initial price target for profit-taking makes sense.For investors that believe in the inevitability of that bullish challenge, buying Netflix stock today could make sense. But rather than maintaining a "buy and hope" strategy, I'd recommend a blended and practical stop of 5%. This exit allows investors to contain exposure to a manageable amount relative to the potential upside reward. It also lays slightly beneath Netflix's three-day low and at this point in time, not a price level on the NFLX stock chart that needs to be revisited.Disclosure: Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Specialty Retail ETFs to Buy the Industry's Disruption * 5 Stocks To Buy for the Happiest Employees * 3 Out-of-Favor Consumer Stocks to Buy Compare Brokers The post The Best Way to Join the Netflix Stock Breakout appeared first on InvestorPlace.
Shares of Apple (AAPL) climbed over 3.4% in morning trading Thursday as buzz builds regarding the highly anticipated unveiling of its new streaming video service that hopes to challenge Amazon Prime (AMZN), Netflix (NFLX), and Disney (DIS). The climb is part of a larger 2019 comeback, which begs the question is now the time to buy Apple stock?
"This tax credit has a documented value year after year after year," Senator Liz Krueger said.
Sell-side enthusiasm about the new Fox Corporation (Nasdaq: FOXA ) continued Thursday, with Credit Suisse taking a bullish stance on the new TV network company that was spun off from the old 21st Century ...
Disney's (DIS) ESPN+ will be the exclusive distributor of 12 live PPV events of Ultimate Fighting Championship (UFC) per year.
I've said it before, and I'll say it again. Buy Disney (NYSE:DIS) stock in 2019 to benefit from the positive catalyst of the company's streaming offering.Source: Richard Stephenson via Flickr (Modified)The thesis is simple. Calendar 2019 will the year that Disney breaks through in streaming. The mainstream emergence and widespread adoption of the company's streaming services, ESPN+ and Disney+, will turn Disney's cord-cutting headwind, into a streaming-growth tailwind. This pivot will dramatically improve investors' sentiment towards Disney stock, add significant clarity to the company's long-term growth outlook, and enable Disney stock to break out of its multi-year, sideways trading range. * 10 Stocks on the Rise Heading Into the Second Quarter This thesis just became much more powerful. That's because Disney's ESPN+ streaming service is now the exclusive provider of Ultimate Fighting Championship (UFC) pay-per-view (PPV) events.InvestorPlace - Stock Market News, Stock Advice & Trading TipsUFC PPV events are a big deal. They average around 500,000 viewers per event, with the big events drawing in 1 million-2 million-plus viewers.Now, all those UFC fans will need an ESPN+ subscription in order to watch PPV events in their own homes. That means millions of new subscribers will sign up for ESPN+ and add millions of more dollars to Disney's top line through shared PPV revenue.The UFC deal in and of itself won't be a needle mover for Disney stock. I think it will add about 0.5% to the company's total revenue. But it is the first of many steps which show that ESPN+ has tremendous long-term growth potential, and that long-term growth potential can become a major needle-mover for Disney stock.So the idea of buying Disney stock in 2019 to benefit from the company's streaming products remains as strong as ever today. That's why I'm doubling down on my bull call on DIS stock. ESPN+ Scores a Big WinUFC fans are exceptionally loyal, and truly love watching UFC events. So most them will subscribe to ESPN+ to watch UFC PPV events without thinking twice. Conservatively, I estimate that ESPN+ will obtain roughly 1.5 million new subscribers in the wake of the UFC deal. At $5 per month, that would add $90 million per year to Disney's top line.Meanwhile, assuming 500,000 viewers per event and an average price of $60 per event (with 12 events in a year), DIS would obtain total PPV revenue of $360 million. UFC normally takes a 60% cut, so that should translate into just under $150 million in PPV revenue for Disney. That's a roughly $250 million revenue opportunity for Disney as a result of the exclusive UFC PPV deal. That's a drop in the ocean for DIS. It's less than 0.5% of the company's $60 billion of projected revenue this year.But this deal isn't about the direct PPV and subscription revenue that Disney will obtain. Instead, this deal is about ESPN+ taking constructive steps towards becoming a major sports streaming player. Today, it's an exclusive UFC PPV deal which brings in 1-2 million new subscribers. Tomorrow, it's exclusive agreements to stream certain college sports, which will bring in millions of more viewers. The next day, it's exclusive agreements to stream certain pro sports, which will bring in millions more viewers.In other words, ESPN+ appears to be on a path to winning exclusive streaming rights for sporting events. The more streaming rights that ESPN+ wins, the more ESPN+ will grow, because sports have sticky viewers. So Disney could potentially use streaming subscriptions to offset all of the revenue it will lose from cord-cutting. The Long-Term Upside From Streaming Is CompellingUltimately, Disney's streaming opportunity is huge.Roughly 60% of Americans consider themselves to be sports fans. There are nearly 130 million households in the U.S. Thus, there are roughly 80 million households in the U.S. in which one or more people watch sports.If DIS can leverage its exclusive streaming partnerships to turn just half of the sports households in the U.S. into ESPN+ subs, that would equate to 40 million subscribers to the streaming service. Prices presumably would go up as ESPN+ obtains more exclusive streaming partnerships. At $10 per month, 40 million subscribers would equate to nearly $5 billion of annual subscriber revenue.All of a sudden, the needle is moving for Disney stock, since nearly $5 billion represents almost 10% of Disney's current revenue base.Disney+, the company's upcoming entertainment streaming service, could be even more lucrative, given its higher subscription prices and higher number of potential subscribers. It's true that it will face tougher competition, thanks to Netflix (NASDAQ:NFLX), Amazon (NASDAQ:AMZN), and others.But, as shown by Disney's box-office domination, consumers have time and time again expressed a willingness to pay to see Disney's content, even in the era of robust streaming consumption. Consequently, Disney's streaming service will be able to effectively compete with the other streaming services once it has had time to ramp up its content.Overall, then, Disney's financial results can be meaningfully boosted by its streaming services. That's why buying Disney stock ahead of this company's big streaming initiatives makes sense. If Disney fully capitalizes on its potential streaming opportunity, cord-cutting fears will be put to rest,, waking up the bulls and causing Disney stock to break out from its multi-year, sideways trading range. The Bottom Line on DIS StockDisney is making aggressive and promising moves in the streaming space. Cumulatively, those moves improve Disney's long-term growth outlook. As a result, the outlook of Disney stock will continue to rise in 2019, enabling DIS stock to head higher.As of this writing, Luke Lango was long DIS, NFLX, and AMZN. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Specialty Retail ETFs to Buy the Industry's Disruption * 5 Stocks To Buy for the Happiest Employees * 3 Out-of-Favor Consumer Stocks to Buy Compare Brokers The post Streaming Will Be Huge for Disney Stock in 2019 appeared first on InvestorPlace.
The Latest Updates from the Telecom Sector(Continued from Prior Part)AT&T reorganizes WarnerMedia unit AT&T (T) recently reorganized its WarnerMedia division in a move that seems to be aimed at cutting costs and allowing for more investments
Viacom's contract dispute with AT&T comes as Disney sealed the $71 billion deal with Fox, creating another mega-media company. Michael Wolf, CEO and co-founder of Activate and former president of MTV, and Tuna Amobi, senior media analyst at CFRA Resear...