Back to top
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Is Disney A 'Buy' After Reporting Earnings?
Disney (DIS - Free Report) resumed its downtrend this week as the media conglomerate widely missed on its fiscal Q2 earnings and revenue expectations. DIS, currently a Zacks Rank #3 (Hold), has now fallen short on two of its last three earnings reports.
Shares of the entertainment giant hit a new low for the year following the earnings release. Disney posted quarterly earnings of $1.08 per share, missing the Zacks Consensus Estimate by -10%. Revenues of $19.25 billion also missed estimates by -4.96%.
Disney+ faces intense competition from Netflix and Amazon Prime. The streaming company maintains a leveraged balance sheet with substantial debt. Despite the recent downtrend, the stock is still relatively overvalued compared to its industry group.
Investors may want to look elsewhere for more profitable opportunities until the company shows signs of a turnaround.