Disney (DIS - Free Report) is preparing to release its December quarter earnings after the bell, Tuesday, Feb 4th, and the market’s eyes will be fixated on the company’s esteemed new streaming service, Disney+.
Expectations have been growing since this service was released in November. The media giant announced that they had gained 10 million subscribers in the first 24 hours of the platform’s release, which pushed shares of DIS towards growth multiples.
Disney+ undercuts the cost of most of its cohorts at $6.99 per month and still offers a vast library of quality content. This service is slowly becoming a must-have household streaming platform.
An analysts for Rosenblatt Securities think that Disney+ rounded out the year with 25 million subscribers. This estimation would blow past market expectations.
DIS typically isn’t a big mover on earning, but this new significant topline driver is changing everything for the firm. If Rosenblatt’s subscriber estimations can be, I could see a sizable upside to the share price.
Another thing to look out for is any added integrations costs from the 21st Century Fox acquisition as well as the extent to which the coronavirus is impacting Disney’s profitability. Both of these factors could put negative pressure on the stock.
For more detail on this upcoming earnings, take a look at my recent article: Will Disney+ Blast DIS To Infinity & Beyond?
Tuesday's earning could have implications on Netflix (NFLX - Free Report) , as well as Comcast (CMCSA - Free Report) , and AT&T's (T - Free Report) impending streaming platform expectations.
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