Stock price when the opinion was issued
Lumpy road to recovery, but Iger's making progress. Streaming is becoming profitable. Content offerings are turning around, with a huge library. Parks have slowed, investment has increased; yet still a destination vacation for many across the world. Good growth in cruise ships. Undemanding multiple under 20x PE. She's being patient; upside from here.
A lot going on here in recent years, but just a few years ago, the stock was nearly doubled, based on hopes for Disney+. That said, they will be a long-term winner in streaming; their content is strong around the world. Also, their theme parks keep selling, and are expanding internationally. Probably we've seen peak Marvel, but Disney holds a deep catalogue of content, including Star Wars. If they can sort out management and make streaming profitable, they should return to 20% margins.
Spike in stock is due to fears of an economic slowdown being put at bay. Theme parks are expanding, but will depend on macro environment. ESPN is more challenged. Disney+ is challenged because NFLX is beating everybody. Paying 20x PE for 12-13% growth. Doesn't dislike the name, but some segments are having a tough go.
The theme parks are doing great, especially in China, but nobody is talking about them. He expects them to be more resilient than the rest of travel and leisure. Does Netflix have a theme park? Disney can afford and has the cash to pay Comcast to buy the rest of Hulu, unlike some investors, and in fact it's one reason he owns Disney. He just added more shares recently. Doesn't believe they will sell ABC; they aren't as desperate as the bears say. Disney is about to play offence.