Wall Street Doesn't Seem to Care About What Disney Just Had to Say – TheStreet.com

Shares of Walt Disney Co (DIS) are down about 5.5% to $101 in Wednesday’s early morning trading session, after the company beat on earnings per share and missed on revenue expectations, as sales slipped 0.3% year over year.

Despite the revenue miss and negative reaction to the report, analysts don’t seem too turned off when it comes to Disney’s stock. JPMorgan analyst Alexia Quadrani says Disney shares remains “very attractive” near current levels, given that Disney has one of the strongest content portfolios in the industry. She maintains her overweight rating and $130 price target, implying roughly 30% upside from current levels.

Piper Jaffray’s Stan Meyers also maintained his overweight rating and $130 price target, saying he remains upbeat on the studio, parks and consumer-products divisions. Credit Suisse’s Omar Sheikh also kept his overweight rating, but lowered his price target to $120 from $125 — still implying about 20% upside from current levels.

One monumental note on the company’s conference call was about content distribution. Specifically, Disney does not plan to rely on Netflix, Inc. (NFLX) and wants to build its own over-the-top platforms. This has NFLX stock down about 3.3% to $172.50 in early Wednesday trading.

Morgan Stanley’s Benjamin Swinburne doesn’t seem too concerned. While Disney’s action could impact Netflix’s second half of fiscal 2019, he remains optimistic about its other growth channels. He maintains his overweight rating and $210 price target on NFLX stock.

Piper Jaffray analyst Michael Olson largely iterated similar sentiments, while maintaining his overweight rating and $215 price target on Netflix. UBS analyst Doug Mitchelson also kept his buy rating and $190 price target on Netflix.

More of What’s Trending on TheStreet:

Filed in: Analyst Coverage Tags: 

You might like:

The VR Version of Cat Collecting Game 'Neko Atsume' Is the Only Reality I Need – Motherboard en_us The VR Version of Cat Collecting Game 'Neko Atsume' Is the Only Reality I Need – Motherboard en_us
How Primitive Electronics and Expensive Video Games Turned Toys'R'Us Into a Consumer Juggernaut – Motherboard en_us How Primitive Electronics and Expensive Video Games Turned Toys'R'Us Into a Consumer Juggernaut – Motherboard en_us
'Holo' Is a Dumb New Augmented Reality App That You Should Get – Motherboard en_us 'Holo' Is a Dumb New Augmented Reality App That You Should Get – Motherboard en_us
This Ransomware Demands Nudes Instead of Bitcoin – Motherboard en_us This Ransomware Demands Nudes Instead of Bitcoin – Motherboard en_us
iPhone 8 Teardown: If it Cracks, Good Luck Replacing That New Glass Back – Motherboard en_us iPhone 8 Teardown: If it Cracks, Good Luck Replacing That New Glass Back – Motherboard en_us
Being a Male Duck Is One Big Dick Measuring Contest – Motherboard en_us Being a Male Duck Is One Big Dick Measuring Contest – Motherboard en_us
Turning Off Wi-Fi and Bluetooth in iOS 11's Control Center Doesn't Actually Turn Off Wi-Fi or Bluetooth – Motherboard en_us Turning Off Wi-Fi and Bluetooth in iOS 11's Control Center Doesn't Actually Turn Off Wi-Fi or Bluetooth – Motherboard en_us
Roger That: A Short History of the Walkie Talkie – Motherboard en_us Roger That: A Short History of the Walkie Talkie – Motherboard en_us

Leave a Reply

Submit Comment
© 2017 Stock Investors News. All rights reserved. XHTML / CSS Valid.