Barron’s recently had a piece on Walt Disney Co (NYSE:DIS), in which they point out that the stock price is flat over the past ten years. That, of course, is an awful return in which you would have been just as well putting the money under a mattress. When you include dividends, the 10-year stock return is close to 10%, but that still pales in comparison to the S&P 500 Index (SPX), which has returned over 200% from 10 years ago.I will not be speculating on theme park demand, ESPN subscriber growth, or anyth ...

Core Insights - Hulu will replace the Star tile on Disney+ internationally, marking its first major international expansion following Disney's acquisition of Comcast's stake in Hulu [1][4] - Disney's streaming business showed strong performance in its latest earnings quarter, with Hulu set to become a "global general entertainment brand" [1] - A unified Disney+ and Hulu streaming app experience is expected to be available to consumers next year, enhancing technology and personalization features [2] Group 1 - Hulu has been targeted as an international brand since at least 2009, but remained U.S.-only until now [2] - The Star brand was previously used as the general entertainment tile across Latin America and Asia [3] - Disney completed the buyout of Comcast's stake in Hulu, which was part of a larger acquisition of 21st Century Fox for $71.3 billion [4] Group 2 - Hulu programming has been integrated into Disney+ in the U.S., with speculation about Hulu's future as a standalone app [5] - Disney executives described the integration of Hulu into Disney+ as a "major step forward" for creating a comprehensive entertainment package [5]

Group 1 - Major stock index futures are showing positive trends, with Dow futures up 0.29%, S&P 500 futures up 0.23%, and Nasdaq futures up 0.06% [1] - Chinese concept stocks are mixed in pre-market trading, with Alibaba up 1.53%, Pinduoduo up 1.07%, JD down 0.03%, Baidu up 0.87%, and Li Auto down 3.09% [1] - Uber's stock is up 2.3% in pre-market trading ahead of its Q2 earnings report scheduled for release before market open on Wednesday [1] Group 2 - AMD's stock is down over 6% in pre-market trading after reporting Q2 revenue that exceeded expectations but a significant drop in operating profit margin to 12% from 22% year-over-year, with adjusted net income of $781 million, down 31% year-over-year [1] - Advanced Micro Devices (AMD) has lowered its revenue guidance for the next quarter to between $6 billion and $7 billion, with adjusted earnings per share expected between $0.40 and $0.52. The revenue forecast for fiscal year 2026 has been reduced from $40 billion to $33 billion, a decrease of 17.5% [2] - Novo Nordisk's weight loss drug Wegovy saw a 67% increase in Q2 sales, reaching 19.53 billion Danish kroner [2] Group 3 - The U.S. Department of Health has withdrawn approximately $500 million in funding for mRNA vaccine development, affecting major vaccine manufacturers including Pfizer, Moderna, and Sanofi, with Pfizer down 0.3%, Moderna down 0.3%, and Sanofi down 0.4% [2] - Disney has made a significant move by exchanging equity in ESPN for core assets from the NFL, establishing a deep partnership with one of the most commercially valuable sports IPs in the U.S., resulting in a 3.3% increase in Disney's stock [3]

>> Now, fiscal third quarter results from Disney out. Julia Boorstin is with us. There's going to be talking about Disney all day long.So many things. >> Well Disney beating earnings expectations is fiscal third quarter earnings of $1. 61 ahead of estimates of $1.47%.Revenue grew 2% to $23.65% billion. That is just below estimates of $23.7% billion. This is its first revenue miss in over a year.Now, Disney Plus subscriber growth was just ahead of estimates, as was its average revenue per user. The company a ...

Streaming Service Launch - ESPN's direct-to-consumer streaming service will launch on August 21st, priced at $29.99 per month [1] - The service will offer everything ESPN has, including new features for fantasy sports, betting, and personalized sports center, accessible outside the cable bundle [1] - ESPN aims to be agnostic, allowing cable subscribers to authenticate and access the streaming service without additional cost, incentivizing them to maintain their cable subscriptions [1] - The industry is closely watching how many cable subscribers will cancel to opt for the ESPN streaming service, potentially pairing it with other streaming services like Netflix or Amazon [1] WWE Rights Acquisition - Disney is paying $325 million per year over 5 years for the US rights to 10 of WWE's premium live events, previously on Peacock, to be shown on ESPN [1] - These events, including WrestleMania, Royal Rumble, and SummerSlam, will move to ESPN starting in the 2026 calendar year [1] Stock Market Reaction - Disney's stock is up 3 and one-third percent following the news, indicating Wall Street's positive reaction [1] - The NFL will take a 10% stake in ESPN, potentially contributing to the stock's upward movement, signaling long-term security and NFL rights on ESPN [1] Industry Impact - The launch of ESPN's streaming service is a significant media question, affecting every media company tied to the linear cable bundle [1] - The industry is trying to find out how many more customers will cancel traditional cable now that ESPN can be accessed outside the bundle [1]

Entertainment giant Disney, which is counting on its streaming and theme-park businesses to drive growth, raised its profit forecasts in its current fiscal year https://t.co/k1elBmBFFJ ...

Core Insights - Disney reported Q3 revenue of $23.65 billion, slightly below the forecast of $23.68 billion [1] - Adjusted earnings per share (EPS) were $1.61, exceeding the estimate of $1.46 [1] - For the fiscal year, Disney now expects adjusted EPS of $5.85, up from the previous estimate of $5.75, while market expectations were at $5.77 [1]

Disney shares fell in early trading after the media and entertainment company reported third-quarter results that disappointed some investors https://t.co/0Xvx3L2fjz ...

Core Viewpoint - Disney's Q3 revenue reached $23.65 billion, reflecting a year-over-year growth of 2.1%, slightly below the forecast of $23.68 billion [1] Financial Performance - Revenue for the third quarter was reported at $23.65 billion [1] - Year-over-year growth was recorded at 2.1% [1] - The revenue forecast was estimated at $23.68 billion, indicating a slight miss in expectations [1]

Financial Performance - Total revenues for the quarter ended June 28, 2025, were $23,650 million, an increase of 2.1% from $23,155 million in the same quarter of 2024[14] - Net income attributable to The Walt Disney Company for the quarter was $5,262 million, compared to $2,621 million in the prior year, representing a 100% increase[14] - Earnings per share (diluted) for the quarter was $2.92, up from $1.43 in the same quarter last year, reflecting a 104% increase[14] - Comprehensive income for the nine months ended June 28, 2025, was $11,741 million, up from $11,091 million in the same period last year, indicating a growth of 5.85%[25] - The company reported an income before income taxes of $3,211 million for the quarter ended June 28, 2025, compared to $3,093 million for the same quarter in 2024, reflecting an increase of 3.8%[36] - The company reported a 50% increase in income before income taxes for the nine months ended June 28, 2025, totaling $9,958 million compared to $6,621 million in the prior year[167] Cash Flow and Assets - Cash provided by operations for the nine months ended June 28, 2025, was $13,627 million, compared to $8,453 million for the same period in 2024, indicating a 61% increase[20] - Total assets as of June 28, 2025, were $196,612 million, slightly up from $196,219 million as of September 28, 2024[18] - The company has $5.4 billion in cash and cash equivalents as of June 28, 2025, down from $6.0 billion as of September 28, 2024[60] - The company has a total borrowing of $42.3 billion as of June 28, 2025, down from $45.8 billion as of September 28, 2024[61] Equity and Liabilities - The total equity attributable to Disney shareholders increased to $109,145 million as of June 28, 2025, from $100,696 million as of September 28, 2024[18] - The company’s current liabilities decreased to $32,972 million as of June 28, 2025, from $34,599 million as of September 28, 2024[18] - The balance of retained earnings as of June 28, 2025, was $59,109 million, up from $49,273 million in the previous year, reflecting an increase of 19.56%[25] Segment Performance - Total segment revenues for the quarter ended June 28, 2025, reached $23,650 million, an increase from $23,155 million in the same quarter of the previous year, representing a growth of 2.14%[34] - Segment operating income for the quarter was $4,575 million, compared to $4,225 million in the prior year, reflecting an increase of 8.27%[34] - The Entertainment segment reported revenues of $10,704 million for the quarter, a slight increase from $10,580 million year-over-year, while operating income decreased to $1,022 million from $1,201 million[34] - The Sports segment generated revenues of $4,308 million, down from $4,558 million in the previous year, with operating income increasing to $1,037 million from $802 million[34] - The Experiences segment achieved revenues of $9,086 million, up from $8,386 million, with operating income rising to $2,516 million from $2,222 million[34] Shareholder Actions - Common stock repurchases totaled $711 million in the quarter ended June 28, 2025, compared to $1,522 million in the same quarter of the previous year[25] - The company declared dividends of $0.50 per share amounting to $0.9 billion on July 23, 2025, and January 16, 2025[81] - During the quarter ended June 28, 2025, the company repurchased 7.2 million shares for $0.7 billion, while 23.7 million shares were repurchased for $2.5 billion in the nine months ended June 28, 2025[82] Legal Matters - The company faced multiple legal challenges, including a securities class action lawsuit alleging misstatements regarding subscriber growth for the Disney+ platform[92] - The company intends to vigorously defend against the lawsuits, which are in early stages and cannot reasonably estimate potential losses at this time[94] - The company reached a settlement in principle for the Biddle/Fendelander Action, which is not expected to be material for the company[98] Tax and Deferred Revenue - The effective income tax rate was negative 85.1% in the current quarter, primarily due to a $3.3 billion non-cash tax benefit from the change in Hulu's U.S. income tax classification[144] - The company expects to recognize $16 billion in revenue from unsatisfied performance obligations, with $2 billion in fiscal 2025, $6 billion in fiscal 2026, $3 billion in fiscal 2027, and $5 billion thereafter[43] Subscriber Metrics - Disney+ domestic paid subscribers increased to 57.8 million, a 5% increase year-over-year, while international subscribers rose to 69.9 million, a 6% increase[184] - Hulu's total paid subscribers reached 55.5 million, reflecting a 9% increase year-over-year, with SVOD only subscribers at 51.2 million, a 10% increase[184] - Average monthly revenue per paid subscriber for domestic Disney+ increased to $8.09, a 5% increase from the previous year, and international revenue rose to $7.67, a 17% increase[185][187] Costs and Expenses - Cost of services decreased by 2%, or $0.2 billion, to $13.0 billion, impacted by a 7 percentage point decrease from the Star India Transaction[137] - Selling, general, administrative and other costs increased by 7%, or $0.3 billion, to $4.1 billion, driven by higher marketing costs[138] - Interest expense, net decreased by 5% to $324 million, attributed to lower average debt balances and rates[141]