Despite reports coming in from the Hollywood Reporter that Walt Disney’s (NYSE:DIS) ‘Star Wars: The Force Awakens’ has likely broken a record for their opening night, with estimates ranging from $50 to $60 million in ticket sales, the company’s stock continues to fall. Following yesterday’s drop, shares continue to decline as investors and traders seem to be ‘selling the news’. Although the film was obviously priced into Walt Disney’s (NYSE:DIS) shares, the selloff is surprising many within the industry. While some analysts are predicting that the latest Star Wars film may only be the 3rd highest grossing film of all time, indications in the early going show that ticket sales are incredibly brisk, and the film has received better reviews than many had even hoped for.
It will be interesting to see what happens come Monday when further information is released regarding total weekend ticket sales. The stock is down 2.67% or $3 following the news, hitting $109.01 per share. Approximately 3.50M shares traded hands. DIS shares have risen 1.55% since May 15, 2015 and are currently uptrending. It has outperformed the S&P500 by 3.81%.
From a total of 20 analysts covering The Walt Disney Company (NYSE:DIS) stock, 11 rate it a “Buy”, 0 a “Sell”, and 9 a “Hold”. This means that 55% of the ratings are positive. The highest target price is $136 while the lowest target price is $10.55. The mean of all analyst targets is $119.30 which is 9.44% above today’s ($109.01) stock price. The Walt Disney Company was the topic of 38 analyst reports since July 24, 2015 according to the firm StockzIntelligence Inc. Goldman Sachs maintained shares on December 15 with a “Neutral” rating. Pivotal Research initiated shares with a”Hold” rating and a $106 target share price in their report from an October 20. Guggenheim downgraded DIS stock in a recent report from November 16 to a “Neutral” rating. Macquarie Research maintained the rating on September 1. Macquarie Research has a “Outperform” rating and a $122 price target on shares. Finally, Argus Research maintained the stock with a “Buy” rating in a report they issued on a November 9.
The institutional sentiment increased to 1.33 in Q2 2015. It’s up 0.15, from 1.18 in 2015Q2. The ratio improved, as 101 funds sold all their Walt Disney Co shares they owned while 548 reduced their positions. 116 funds bought stakes while 748 increased their total positions. Institutions now own 1.00 billion shares which is 2.38% less than the previous share count of 1.03 billion in 2015Q2.
Winch Advisory Services Llc holds 15.54% of its total portfolio in Walt Disney Co, equating to 104,034 shares. Rit Capital Partners Plc owns 509,000 shares representing 12.14% of their total US portfolio. Moreover, Lindsell Train Ltd has 11.54% of their total portfolio invested in the company, equating to 1.65 million shares. The New York-based Klingenstein Fields & Co Llc has a total of 10.54% of their portfolio invested in the stock. Tukman Grossman Capital Management Inc, a California-based fund reported 1.76 million shares owned.
Since March 6, 2015, the stock had 0 insider buys, and 4 insider sales for a total of $3.27 million in net activity. Chen John S sold 6,000 shares worth $611,822. Braverman Alan N sold 18,473 shares worth $2.19M. Woodford Brent sold 2,000 shares worth $237,000. Matschullat Robert W sold 2,965 shares worth $324,545. The insider Lozano Monica C sold 397 shares worth $43,948.
The Walt Disney Company, incorporated on July 28, 1995, together with its subsidiaries and affiliates, is a diversified international family entertainment and media enterprise with five business divisions: media networks, parks and resorts, studio entertainment, consumer products and interactive media. The company has a market cap of $184.49 billion. Media Networks comprise an array of broadcast, cable, radio, publishing and digital businesses across two divisions the Disney/ABC Television Group and ESPN Inc. It has 22.24 P/E ratio. Walt Disney Parks and Resorts is a well-known provider of family travel and leisure experiences.