Disney posted its fiscal first quarter earnings that crushed analysts’ expectations. The entertainment giant’s revenue also surpassed estimates.
Adjusted earnings for the quarter came in at $1.06, vs 63 cents expected by analysts polled by Refinitiv.
Revenue of $21.82 billion was well above expectations of $20.91 billion.
Disney+ total subscriptions was 129.8 million as of quarter-end, also exceeding the 125.75 million expected, according to StreetAccount. Almost 12 million Disney+ subscriptions were added in the quarter. The streaming platform’s average revenue per user (ARPU) in the U.S. and Canada grew to $6.68 per month from $5.80 a year ago.
Revenues generated by the company’s parks, experiences and consumer products division was $7.2 billion during the quarter, double the $3.6 billion in the prior-year quarter. The segment’s operating income climbed to $2.5 billion compared to a loss of -$100 million in the year-ago quarter.
Disney’s move business is yet to fully recuperate from pandemic-induced challenges. While earnings from Disney’s co-production “Spider-Man: No Way Home” with Sony offset losses on other films it released during the quarter, many of which were unable to recover substantial marketing and production costs.
Disney’s consumer products segment experienced a -8.5% decrease in revenue following the closure of several Disney-branded retail stores during the second half of 2021.
DIS saw its Momentum Indicator move below the 0 level on April 09, 2024. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 95 similar instances where the indicator turned negative. In of the 95 cases, the stock moved further down in the following days. The odds of a decline are at .
The 10-day RSI Indicator for DIS moved out of overbought territory on April 03, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 31 similar instances where the indicator moved out of overbought territory. In of the 31 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Moving Average Convergence Divergence Histogram (MACD) for DIS turned negative on April 04, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 44 similar instances when the indicator turned negative. In of the 44 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 10-day moving average for DIS crossed bearishly below the 50-day moving average on April 24, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 16 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where DIS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 12 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
DIS moved above its 50-day moving average on April 24, 2024 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where DIS advanced for three days, in of 292 cases, the price rose further within the following month. The odds of a continued upward trend are .
DIS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 172 cases where DIS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. DIS’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.213) is normal, around the industry mean (5.400). P/E Ratio (74.558) is within average values for comparable stocks, (87.119). Projected Growth (PEG Ratio) (0.871) is also within normal values, averaging (2.822). Dividend Yield (0.002) settles around the average of (0.040) among similar stocks. P/S Ratio (2.503) is also within normal values, averaging (29.645).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. DIS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
an operator of amusement parks, hotels, television stations and radio broadcasting stations
Industry MoviesEntertainment