Despite setbacks in 2021, one analyst maintains a positive outlook for Disney Stock.
Checking in with The Motley Fool remains a must for this guy and his 13 shares of DIS. And while I rejoiced when my tiny cadre hit $203 earlier this year, after that, it stayed pretty disappointing.
Through it all, however, Fool.com remained pretty positive as various writers took deep dives into Disney.
Today was more of the same from The Motley Fool, as Jeremy Bowman wrote about Disney’s upside and outlook. However, the analyst admitted that the company had a tough year on Wall Street.
A Tough 2021.
“The entertainment giant’s stock is down 15% year to date, badly trailing the S&P 500‘s gain of 26%,” explained Bowman. “A slowdown in growth at Disney+ and the resurgence of the delta coronavirus variant helped torch what had looked like a promising year for the family entertainment company.”
However, looking forward, Bowman sees plenty to like from Mickey & Co.
“Disney may be down at this point, but it would be a mistake to count it out,” wrote Bowman. “A number of catalysts could drive the stock higher in 2022, including a COVID recovery, though the omicron variant seems to be spoiling that hope for now.”
The Mouse expected a more significant comeback in tourism; while Disney’s Parks have been busier, the full impact of fans returning was blunted by COVID-19’s resurgence. But another critical factor was the “below-expectations” subscriber growth for Disney+.
A Better 2022?
However, hope is on the horizon.
“Disney+ subscriber growth could pick up next year as the upcoming content slate looks stacked,” Among the expected releases are several Star Wars and Marvel-themed shows, including The Book of Boba Fett, Obi-Wan Kenobi, She-Hulk, and Ms. Marvel. Additionally, new animated content is coming to the platform, including The Ice Age Adventures of Buck Wild and a live-action remake of Pinocchio.
“Netflix has demonstrated the tight relationship between new content and subscriber growth, and that should ring true for Disney+ as well, especially since production efforts were set back by the pandemic, which also created an unexpected surge in demand,” added Fool.com.
Bowman’s full article also speaks to why Disney might MISS on any significant recovery, as well.
However, this novice investor and his baker’s dozen will keep a refillable-mug-half-full outlook as the calendar turns.
Check out the full story here.
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