Zacks Investment Research upgraded shares of Walt Disney (NYSE:DIS) from a strong sell rating to a hold rating in a report published on Tuesday, Zacks.com reports. They currently have $120.00 target price on the entertainment giant’s stock.
According to Zacks, “Disney’s increasing investments in ESPN+ and Disney+ are expected to hurt margins. Higher programming costs at ESPN due to increase in contractual rate for a few sports programs are anticipated to keep profits under pressure. Further, due to the ongoing investments, Disney anticipates DTCI operating loss to be higher in third-quarter fiscal 2019. Notably, shares have underperformed the industry on a year-to-date basis. Nevertheless, Avengers: Endgame tasted phenomenal success, which is expected to reflect in the company’s near-term top line. Currently, the film holds the record for the fastest earning $1-billion film globally, beating Avengers: Infinity War.”
A number of other research firms have also recently commented on DIS. Barclays lifted their price target on shares of Shopify from $155.00 to $225.00 and gave the stock an equal weight rating in a research note on Wednesday, May 1st. Morgan Stanley reaffirmed an overweight rating and set a GBX 4,000 ($52.27) price target on shares of in a research note on Thursday, June 13th. Credit Suisse Group set a €38.00 ($44.19) price target on shares of Dialog Semiconductor and gave the stock a buy rating in a research note on Thursday, May 9th. Guggenheim reaffirmed a buy rating and set a $157.00 price target on shares of Walt Disney in a research note on Tuesday, April 23rd. Finally, Citigroup set a $86.00 price target on shares of Prologis and gave the stock a buy rating in a research note on Thursday, June 6th. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and nineteen have issued a buy rating to the company. Walt Disney presently has an average rating of Buy and a consensus target price of $144.89.
Walt Disney (NYSE:DIS) last released its quarterly earnings results on Wednesday, May 8th. The entertainment giant reported $1.61 EPS for the quarter, topping analysts’ consensus estimates of $1.59 by $0.02. Walt Disney had a net margin of 22.55% and a return on equity of 15.67%. The firm had revenue of $14.92 billion during the quarter, compared to analysts’ expectations of $14.53 billion. During the same period in the previous year, the company earned $1.84 EPS. The firm’s revenue for the quarter was up 2.6% compared to the same quarter last year. On average, equities research analysts predict that Walt Disney will post 6.57 earnings per share for the current fiscal year.
The business also recently disclosed a Semi-Annual dividend, which will be paid on Thursday, July 25th. Shareholders of record on Monday, July 8th will be given a $0.88 dividend. The ex-dividend date is Friday, July 5th. Walt Disney’s dividend payout ratio (DPR) is 24.86%.
In other Walt Disney news, EVP Alan N. Braverman sold 94,462 shares of the business’s stock in a transaction dated Friday, July 5th. The shares were sold at an average price of $141.18, for a total value of $13,336,145.16. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Brent Woodford sold 4,000 shares of the business’s stock in a transaction dated Thursday, May 16th. The shares were sold at an average price of $135.24, for a total transaction of $540,960.00. The disclosure for this sale can be found here. Over the last three months, insiders sold 156,423 shares of company stock valued at $21,995,625. 0.36% of the stock is owned by corporate insiders.
Several institutional investors and hedge funds have recently made changes to their positions in the company. BKD Wealth Advisors LLC boosted its position in Walt Disney by 0.5% during the fourth quarter. BKD Wealth Advisors LLC now owns 38,756 shares of the entertainment giant’s stock valued at $4,250,000 after purchasing an additional 189 shares during the last quarter. Puzo Michael J boosted its position in Walt Disney by 399.7% during the fourth quarter. Puzo Michael J now owns 21,610 shares of the entertainment giant’s stock valued at $2,368,000 after purchasing an additional 17,285 shares during the last quarter. Simmons Bank boosted its position in Walt Disney by 1.8% during the fourth quarter. Simmons Bank now owns 27,648 shares of the entertainment giant’s stock valued at $3,031,000 after purchasing an additional 495 shares during the last quarter. Elefante Mark B acquired a new position in Walt Disney during the fourth quarter valued at approximately $289,000. Finally, UMB Bank N A MO boosted its position in Walt Disney by 11.7% during the fourth quarter. UMB Bank N A MO now owns 231,535 shares of the entertainment giant’s stock valued at $25,388,000 after purchasing an additional 24,162 shares during the last quarter. 64.14% of the stock is owned by hedge funds and other institutional investors.
About Walt Disney
The Walt Disney Company, together with its subsidiaries, operates as an entertainment company worldwide. The company's Media Networks segment operates cable programming businesses under the ESPN, Disney, and Freeform brands; broadcast businesses, including ABC TV Network and eight owned television stations; and radio businesses.
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