Stocks of The Walt Disney Company continue to slide, reaching into the $70 range for the first time since the COVID-19 selloff on March 18, 2020 (intraday low of $79.07). Taking away that anomoly, which only lasted briefly before closing at nearly $89 that same day, you’d have to travel back in time to October 16, 2014 to find a comparable stock price.
Disney is getting battered in the streaming and linear markets, with the theme parks being the only shining light in an otherwise gloomy outlook. Disney has not announced when they plan to present their fourth quarter earnings, which closes at the end of this month, but the company traditionally gives an update in early November.
Longtime Disney CEO Bob Iger was brought back to the helm on November 20, 2022 after a short stint by Bob Chapek as CEO. Since Iger’s return, Disney stock is down more than 15% as Iger & Co. struggle to right the ship that is currently largely being kept afloat by its theme park division.
Theme park watchers have September 9th circled as the date that Disney Parks Chairman Josh D’Amaro hosts a presentation at the Destination D23 event in Orlando, FL. The presentation is titled A Celebration of Disney Parks, Experiences and Products: Yesterday, Today and Tomorrow and promises “an entertaining presentation looking to the future of Disney parks, featuring updates from around the world and some fun surprises along the way”.
In an August 9th earnings report, Iger said this about the 8 months since he returned:
Our results this quarter are reflective of what we’ve accomplished through the unprecedented transformation we’re undertaking at Disney to restructure the company, improve efficiencies, and restore creativity to the center of our business.
In the eight months since my return, these important changes are creating a more cost-effective, coordinated, and streamlined approach to our operations that has put us on track to exceed our initial goal of $5.5 billion in savings as well as improved our direct-to-consumer operating income by roughly $1 billion in just three quarters. While there is still more to do, I’m incredibly confident in Disney’s long-term trajectory because of the work we’ve done, the team we now have in place, and because of Disney’s core foundation of creative excellence and popular brands and franchises.
In July, Iger’s contract was extended through 2026 – a two-year extension of his original contract from November 2022. The Disney Board of Directors noted that “Iger’s extension provides continuity of leadership during the Company’s ongoing transformation, and allows more time to execute a transition plan for CEO succession, which remains a priority for the Board”.
In a July 12th statement Disney Chairman Mark Parker said “Bob has once again set Disney on the right strategic path for ongoing value creation, and to ensure the successful completion of this transformation while also allowing ample time to position a new CEO for long-term success, the Board determined it is in the best interest of shareholders to extend his tenure, and he has agreed to our request to remain Chief Executive Officer through the end of 2026”.
As always, keep checking back with us here at BlogMickey.com as we continue to bring you the latest news, photos, and info from around the Disney Parks!