Shares of The Walt Disney Company have garnered an average rating of “Moderate Buy” from the twenty-eight brokerages currently covering the firm, according to MarketBeat Ratings. Analysts have given the stock a balanced outlook, with nine firms issuing a hold rating and nineteen providing a buy rating. The consensus 12-month price target stands at $131.18, reflecting confidence in the company’s future performance.
Recent Analyst Upgrades
The stock has been the focus of several recent research reports, indicating a positive trend. On August 4, 2023, Morgan Stanley raised its price target for Disney from $120.00 to $140.00, emphasizing an “overweight” rating on the shares. Similarly, on June 27, 2023, Guggenheim also increased its price objective from $120.00 to $140.00 while maintaining a buy rating.
On August 11, 2023, Keefe, Bruyette & Woods reaffirmed a “market perform” rating, while Raymond James Financial confirmed a “neutral” rating for the stock. JPMorgan Chase & Co. also adjusted its target, increasing it from $130.00 to $138.00, retaining an “overweight” rating.
Quarterly Earnings Performance
Walt Disney recently reported its quarterly earnings on August 6, 2023. The entertainment giant achieved earnings per share of $1.61, surpassing analysts’ consensus estimates of $1.45 by $0.16. The company recorded revenue of $23.65 billion for the quarter, slightly below the consensus estimate of $23.69 billion. Notably, Disney’s revenue increased by 2.1% year-over-year, reflecting resilience in a competitive market. The company had a return on equity of 9.67% and a net margin of 12.22%.
Equity analysts anticipate that Disney will report earnings per share of $5.47 for the current fiscal year, suggesting continued financial stability.
Institutional investors have been adjusting their positions in Disney shares. In the first quarter, MJT & Associates Financial Advisory Group Inc. established a new position worth approximately $26,000. DiNuzzo Private Wealth Inc. significantly increased its holdings by 82.5% in the second quarter, now owning 208 shares valued at around $26,000.
Additionally, Kessler Investment Group LLC boosted its position by 274.0% in the first quarter and now holds 273 shares worth approximately $27,000. Harbor Asset Planning Inc. and Total Investment Management Inc. also acquired new stakes in the second quarter, each valued at $37,000.
Currently, institutional investors and hedge funds own 65.71% of Disney’s stock, indicating strong institutional confidence in the company’s long-term prospects.
Founded in 1923, The Walt Disney Company operates globally as a diversified entertainment company. It encompasses three primary segments: Entertainment, Sports, and Experiences. Disney produces and distributes a range of content across various channels, including the ABC Television Network, Disney+, and FX. The company is known for its original programming produced under several well-known banners, including Marvel, Lucasfilm, and Pixar.
As analysts continue to monitor the company’s performance, the outlook remains cautiously optimistic, with further adjustments expected as market conditions evolve.
