Buying Disney Stock? I Hope You’re a Patient Investor
Shares of Disney have shown some life of late, as the DIS stock price touched a 30-month high in early August before again pulling back. Disney, by its CEO’s own admission, is trading short-term earnings for long-term profits. While investors wait on the fruits of those investments, the Disney stock price may stay stuck for another couple of years. Disney lost a bidding war with Comcast (NASDAQ:CMCSA) for the U.K.’s Sky plc (OTCMKTS:SKYAY), but the better phrasing is “lost.” DIS is actually is up 3%-plus on over the past five trading days, as investors seem happy to let Comcast acquire the British satellite giant. That bit of good news might seem like enough to jumpstart a rally in DIS stock. But the stock remains relatively close to the high end of its multi-year range. Even with the Comcast-Sky-Fox-Disney bidding wars now seemingly settled, the reshaping of Walt Disney isn’t over just yet.