Shares of this media giant fell short of Wall Street estimates in the extended session Tuesday, so the staff at FXTimes.com takes to the charts to determine if this has presented a buying opportunity.
Walt Disney Co. (DIS) shares dropped in the extended session Tuesday after the media giant’s quarterly revenue fell short of Wall Street estimates.
Disney reported third quarter net income to company of $2.5 billion compared to $2.2 billion for the prior-year quarter. Earnings per share increased to $1.45 from $1.28. EPS excluding certain items was $1.45 for the quarter.
Analysts had expected the company to report profit per share of $1.42 for the quarter. Analysts’ estimates typically exclude special items. Revenue increased to $13.10 billion from $12.47 billion last year. Analysts expected revenue of $13.23 billion for the quarter.
Sales in the company’s media networks—its biggest segment, which includes ABC and ESPN—rose 5% from the year-earlier period to $5.77 billion. In the company’s conference call, CEO Bob Iger detailed subscriber losses for crucial television channels and the “continued development” of new TV alternatives.
Walt Disney Co. shares dropped in the extended session Tuesday after the media giant’s quarterly revenue fell short of Wall Street estimates.
Click
to Enlarge
As of Tuesday afternoon, Disney’s shares had gained about 30% year to date, boosted by news of upcoming Frozen and Star Wars sequels, making it the fastest-growing stock in the Dow Jones industrial average. The Dow, on the other hand, is down about 2% for the year.
On Monday, Walt Disney extended its partnership with Japanese clothing chain Uniqlo, a subsidiary of Fast Retailing, as the retailer looks to expand its presence in China. Through the collaboration, Uniqlo will design clothing, accessories, and plush toys featuring Disney and Marvel characters, expanding a tie-up that began in 2009 when Uniqlo launched its Mickey Mouse and Minnie Mouse T-shirt collection.
By the Staff of FXTimes.com
