Bernstein Affirms Outperform on Walt Disney (DIS) Despite Mixed Earnings

Core Insights - The Walt Disney Company (NYSE:DIS) is recognized as a strong slow growth stock, receiving an Outperform rating from Bernstein SocGen Group with a price target of $129, despite acknowledging that recent earnings reports were not ideal [1][3] Financial Performance - Disney's entertainment unit experienced a 6% revenue decline year-over-year, totaling $10.21 billion, primarily due to challenges in linear TV channels and theatrical releases [2] - Operating income for linear networks decreased by 21% to $391 million, while streaming operating income increased by 39% to $352 million, indicating a positive shift towards streaming services as pricing rose [2] Growth Potential - Bernstein highlighted Disney's capability to achieve double-digit growth in earnings per share, which is rare for a company of its size, particularly without reliance on AI trends [3]