Is Disney Stock A Buy Right Now As 'Shang-Chi' Tops $400 Million

[freeamfva]

Is Disney Stock A Buy Right Now As 'Shang-Chi' Tops $400 Million

After being closed at various times during the past 18 months, all of Walt Disney's (DIS) theme parks are now open. Some Disney cruises have resumed. And Disney+ continues to offer hit shows and new movies.To get more latest news on disney, you can visit shine news official website.

Disney stock had also rebounded to new highs after coming back more than 140% from its March 2020 coronavirus crash lows, though it has since pulled back.

It's been a wild ride on Wall Street since early 2020, as the stock market fell into a bear amid the coronavirus crash. Disney stock got slammed as the Dow Jones index company closed its theme parks and suspended Disney Cruise Line departures.

Shift For Dow Jones Disney Stock
And its quarterly results showed some of those ill effects. But it's looking forward as Covid-19 cases slow down and countries rush to administer vaccines. That led to a rally in travel-related stocks as restrictions eased, though the rapidly spreading delta variant is raising concerns.

While its theme parks and cruise businesses have taken a hit, the entertainment giant has found great success with its Disney+ streaming service. And movie theaters have been reopening, which boosts prospects for box-office sales.

After a 15-month delay, "Black Widow" debuted July 9 via Disney+ Premier Access and in theaters. It took in $80 million in domestic box office receipts in its opening weekend, making it the biggest premiere since the pandemic began. The "Jungle Cruise" had a similar hybrid release on July 30.

"Shang-Chi and the Legend of the Ten Rings" kicked off exclusively in theaters on Sept. 3 and racked up a record-breaking $94 million during the Labor Day weekend. And Marvel's newest superhero movie dominated the domestic box office for four straight weekends. Last week, it reached a new milestone by becoming the first pandemic-era movie to pass $200 million domestically.Globally, "Shang-Chi" has racked up more than $400 million in sales so far — and it hasn't even been released in China yet.

Disney+ has produced several Marvel-based hit TV and streaming shows, including "WandaVision" and "The Falcon and the Winter Soldier." "Loki" kicked off June 9 and became the most watched Disney+ Marvel show to date, with 890,000 U.S. households tuning in for the debut.
Disney+ Continues To Grow
After the close Aug. 12, Disney reported fiscal Q3 results that topped views on both the top and bottom lines. It earned 80 cents a share on revenue of $17.02 billion vs. FactSet forecasts for 55 cents on $16.76 billion.

Disney+ subscriptions of 116 million beat FactSet views for 115.2 million. ESPN+ had 14.9 million, and Hulu had 42.8 million. Total streaming subscriptions hit 174 million, above estimates for 170.3 million.

Chapek said Disney+ is available in parts of Japan with expansion to the rest of the country in late October. South Korea, Taiwan, and Hong Kong will follow in mid-November. Star+ will launch throughout Latin America later this month.

Media and entertainment revenue climbed 18% to $12.7 billion, including a 57% jump in direct-to-consumer revenue to $4.3 billion and a 16% bump in linear networks to $7 billion.

Theme parks and products revenue nearly quadrupled to $4.3 billion as resorts opened back up. Disney estimates the segment will see operating income improve by $2.2 billion in the current quarter vs. a year ago, after declining by $1.6 billion from fiscal Q1 to Q3 vs. pre-Covid results.

On Sept. 21, Disney stock stumbled 4% in heavy volume after Chapek said at a Goldman Sachs conference that the delta variant Covid-19 resurgence is creating production delays. That's reflected in his lower-than-expected forecast for Disney+ subscribers in the current quarter, Barron's reported. Analysts were looking for 17 million, according to FactSet.