Walt Disney (NYSE:DIS) stock was down 0.22% in late afternoon trading on May 9. The company published its second-quarter results for fiscal 2019 on the previous day. Disney stock has been on an absolute tear in 2019. Shares have climbed 23.1% for the year.
Earnings per share hit $1.61 excluding items in the second quarter, which exceeded analyst expectations. Revenue hit $14.92 billion compared to $14.36 billion expected by analyst consensus per Refinitiv.
The entertainment super-giant closed its $71 billion acquisition of Fox in the second quarter, which was reflected in the report. This brings a massive amount of content under Disney’s umbrella as it prepares to launch its streaming service Disney Plus.
Disney properties have continued to dominate at the box office. Avengers: Endgame has pulled in nearly $2.3 billion worldwide as of this writing. That is good for the second-largest box office gross of all time, which Endgame managed to reach in under three weeks.
It is well-positioned to break the all-time mark of $2.78 billion set by Avatar in 2009/2010. Endgame’s stunning results will be included in Disney’s next quarterly report.
Disney Plus has a legitimate shot to usurp the top streamers, including Netflix. The platform will launch and cost only $6.99 per month. The company’s entertainment properties, including Marvel and Star Wars, are the hottest in the mass market right now. It caters to a broad demographic and has the cash to back up a big push in the streaming war.
The stock has retreated from all-time highs but is still trading at a premium. Nonetheless, Disney is tough to bet against and it has tremendous momentum in its sector.
