5 Best Blue Chip Stocks To Buy

In this article, we discuss the 5 best blue chip stocks to buy. To read our detailed analysis of other blue chip stocks, the risk/reward and methodology of this list, take a look at the 10 Best Blue Chip Stocks To Buy.

5. The Walt Disney Company (NYSE:DIS)

No. of Hedge Fund Holders: 109

The Walt Disney Company (NYSE:DIS), along with its subsidiaries, is a top global family entertainment and media company. The company operates theme parks and also produces film and TV content. In recent years, The Walt Disney Company (NYSE:DIS)’s Disney+ has also gained market share against Netflix, Inc. (NASDAQ:NFLX) and Amazon.com, Inc. (NASDAQ:AMZN).

Hedge funds like the stock. At the end of the second quarter, 109 hedge funds tracked by Insider Monkey owned stakes in The Walt Disney Company (NYSE:DIS). The total value of these stakes is $3.2 billion. This is compared to 113 hedge funds in the previous quarter that held stakes worth $5.17 billion in the firm.

Here is what Oakmark Fund has to say about The Walt Disney Company (NYSE:DIS) in its 2 2022 investor letter:

“Disney (NYSE:DIS) is one of the most beloved consumer companies in the world. Its media business has a rich library of intellectual property, which provides a powerful engine for creating new content across the Disney, Pixar, Marvel, and Star Wars brands. This content also contributes to the success of Disney’s theme parks, which generated nearly half the company’s earnings and grew more than 10% annually in the decade prior to the pandemic. Shares have fallen nearly 50% over the past year as investors worried about the company’s ability to transition its media business to a direct-to-consumer streaming world. This transition has required management to make investments in its Disney+ streaming service that are depressing profitability today. However, we believe these investments will ultimately produce attractive returns as Disney+ continues to grow subscribers and increase pricing over time. As a result, we were able to purchase shares at a substantial discount to our estimate of intrinsic value.”