Realizing that streaming services began gaining traction coincided with a shift in consumer preferences from traditional TV, Disney braced itself up for strategic adjustment.
In 2019 Disney acquired streaming services Hulu after completing acquisition of Century Fox and reached an agreement with Comcast. In the same year Disney launched its own streaming services Disney+ offering contents from Disney, Pixar, Marvel, Star Wars and National Geographic. And now in December 2024 Disney's streaming portfolio added FuboTv to explore sports-centric streaming offerings.
After years of negatively impacting Disney, its streaming services is now growing in profits and seen to compensate even surpass the decline in traditional TV revenue. The positive shift has induced Hamilton Faber, an analyst from Redburn Atlantic, to upgrade Disney's stock rating from Neutral to Buy, and increased the price target from $100 to $147.
Faber represents the market that is now more optimistic about Disney with its recent content successes. Also, Disney management's three-year guidance offers solid footing and looks attainable.
This article first appeared on GuruFocus.免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。