The Walt Disney Company (DIS) Looks to Cash In on Its Success

Page 1 of 2

Tomorrow, The Walt Disney Company (NYSE:DIS) will release its latest quarterly results. The key to making smart investment decisions on stocks reporting earnings is to anticipate how they’ll do before they announce results, leaving you fully prepared to respond quickly to whatever surprises inevitably arise. That way, you’ll be less likely to have an uninformed, knee-jerk reaction that turns out to be exactly the wrong move.

As a major entertainment force in the Dow Jones Industrials , Disney has made a series of hugely lucrative strategic decisions that have produced massive growth for the company. And with The Walt Disney Company (NYSE:DIS)’s recent blockbuster releases, the future is looking even better. Let’s take an early look at what’s been happening with Disney over the past quarter and what we’re likely to see in its quarterly report.

Stats on Disney

Analyst EPS Estimate $0.76
Change From Year-Ago EPS 31%
Revenue Estimate $10.48 billion
Change From Year-Ago Revenue 8.9%
Earnings Beats in Past 4 Quarters 3

Source: Yahoo! Finance.

Will Disney fly like Iron Man this quarter?
In recent months, analysts have become even more optimistic about The Walt Disney Company (NYSE:DIS)’s earnings, pushing up their estimates for the just-finished quarter by a penny per share and adding $0.06 to their full-year fiscal 2013 EPS consensus. The stock has soared, jumping 20% since late January and hitting all-time highs.

Iron Man 3 and its huge opening weekend are just the tip of the iceberg for Disney’s movie production segment, as the company’s buyout of Marvel Entertainment several years ago has paid off big-time with multiple blockbuster series. Disney’s $4 billion acquisition of Lucasfilm in late 2012 hasn’t even started to kick in on the sales front, with thousands of new characters on which to base films or other forms of entertainment content.

Yet The Walt Disney Company (NYSE:DIS) knows how important it is to control how that content gets to its audience. Early in the year, Disney made a multiyear deal to provide content to AT&T Inc. (NYSE:T) for its U-verse digital network, embracing multiple distribution channels beyond its previous deal with online-streaming giant Netflix, Inc. (NASDAQ:NFLX) and demonstrating the sway its premium-quality content gives it among content distributors hungry to deliver that content to their customers. For its part, Netflix needs The Walt Disney Company (NYSE:DIS) in order to establish itself as the premier digital streaming company, while AT&T Inc. (NYSE:T) desperately needs to boost its content availability in order to retain customers who might otherwise flee to alternative content-providers.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

Burger Kings: The 10 Most Expensive Burgers in the World

The 10 Most Ethnically Diverse Countries in the World

The 10 Most Exclusive Credit Cards in the World

The 10 Most Expensive Cruise Ships in the World

The 10 Fastest Supercomputers in the World

The 10 Best Countries for Doing Business 2015

6 Most Expensive Fruits In The World

10 Worst Airlines in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!