Disney Stock Approaching 9 Year Low

[Lilofan]

That is long term debt, which has been slowing going down over time, ~3% decline year over year. So they have no issue paying down their debt.

That has nothing to do with their cash on hand which would be used for a stock buyback, as of the same June2023 quarter they had $11.5B.

What a concept to be debt free , just a dream for some. Cash on hand can help pay down debt, just an idea.

 

[Disney Irish]

And they owe how many tens of billions?

And what would you like to signal to “the market”?

Sure…they’ll buy in on the bump…but dump it. Because they no longer trust the product and their place in the market.

TWDC would be a pump and dump. Might as well sell it and break it up then. That’s the bridge to the other side

You missed the lead.

DIS debt load is not as outrageous as some of you are making it out to be. I haven't checked every studio, but I think DIS has one of the lowest debt loads if not the lowest of any studio in Hollywood.

 

[Disney Irish]

What a concept to be debt free , just a dream for some. Cash on hand can help pay down debt, just an idea.

Running debt is just a part of business. It would be very rare for any large cap company not to have debt. Even the most cash rich companies, Apple for example has $98B in debt, still have debt.

 

[Sirwalterraleigh]

DIS debt load is not as outrageous as some of you are making it out to be. I haven't checked every studio, but I think DIS has one of the lowest debt loads if not the lowest of any studio in Hollywood.

It’s a factor…maybe not a huge one, but still

And you continue to bury the lead…like “selective google research”…they have sunk more than their competitors. It’s degree of decline that has it jittery.
You can be “pro-Disney” and acknowledge some things as not good.

In the last 2 years…Comcast had fallen 29%
Disney 59%

I’m no math whizz…seems “bad” though

Bob won’t come for your nametag and yellow ID card

 

[Lilofan]

Running debt is just a part of business. It would be very rare for any large cap company not to have debt. Even the most cash rich companies, Apple for example has $98B in debt, still have debt.

Could easily eliminate debt. Apple is worth $3 trillion

 

[Disney Irish]

It’s a factor…maybe not a huge one, but still

And you continue to bury the lead…like “selective google research”…they have sunk more than their competitors. It’s degree of decline that has it jittery.
You can be “pro-Disney” and acknowledge some things as not good.

In the last 2 years…Comcast had fallen 29%
Disney 59%

I’m no math whizz…seems “bad” though

Bob won’t come for your nametag and yellow ID card

I never said things were good, there is obviously concerns with different aspects of the business. I'm just saying that if DIS wants to sure up the stock they can do a buyback like most other companies on Wall St.

 

[Disney Irish]

Could easily eliminate debt. Apple is worth $3 trillion

Point was running debt is normal. DIS is paying down their debt, so the claim that they aren't is false.

 

[Sirwalterraleigh]

I never said things were good, there is obviously concerns with different aspects of the business. I'm just saying that if DIS wants to sure up the stock they can do a buyback like most other companies on Wall St.

That would be incredibly Dumb given their scenario

But don’t believe me - there’s evidence

 

[networkpro]

Whatever they are doing, its not helping the company's valuation.

 

[Disney Irish]

That would be incredibly Dumb given their scenario

But don’t believe me - there’s evidence

Wouldn't be the first time we disagree.

But you make it seem like DIS is on the verge of going bankrupt, its not. I agree things are not rosy right now, but its not as dire as some of you all make it out to be.

And if doing a buyback is dumb, so would a dividend, but I see calls for DIS to do that as well.

 

[Disney Irish]

Whatever they are doing, its not helping the company's valuation.

View attachment 746810

The whole entertainment industry is down right now, so its not just DIS and their own actions. Nothing happens in a vacuum.

 

[ABQ]

Set a new 5 year low today. Fantastic work. Eagerly awaiting that Hulu purchase price and wondering how they will snap that money into existence.

 

[Mmoore29]

Set a new 5 year low today. Fantastic work. Eagerly awaiting that Hulu purchase price and wondering how they will snap that money into existence.

View attachment 746811

Disney has plenty of money for it, especially when the overseas pay-TV assets are sold. Lots of free cash flow, no need to additional loans or debt.

 

[Lilofan]

Point was running debt is normal. DIS is paying down their debt, so the claim that they aren't is false.

I never said Disney is not paying down debt. I stated what their debt is.

 

[Disstevefan1]

 

[Disney Irish]

I never said Disney is not paying down debt. I stated what their debt is.

Except as part of stating that debt you asked -

If the TWDC has" plenty of money " why can't they support paying their debt?

Which indicates you think they aren't paying down their debt which is just false.

 

[TP2000]

But you make it seem like DIS is on the verge of going bankrupt, its not. I agree things are not rosy right now, but its not as dire as some of you all make it out to be.

Like most of us here, I am a lifelong fan of almost all things Disney (especially their parks).

But to gloss over the current status and trajectory of the Walt Disney Company and pretend that this is just a temporary hiccup or nothing to worry about is not a healthy outlook. It's not smart, and it ignores financial reality and history.

Yes, Disney is huge and spends Billions in cash every fiscal year. They have to. But Disney is not too big to fail, or too important to go away entirely. Anyone who pretends otherwise is either very young, or very naive.

Just ask the list of hugely important cultural/financial behemoths of American industry that are no longer:

Sears Roebuck
Eastman Kodak
Pan American World Airways
Oldsmobile, Pontiac, Mercury, American Motors, etc., etc.
Gulf+Western

Disney has a very powerful brand name and cultural cachet, but then so did Sears and Pan Am.

 

[John park hopper]

Holding at 79.32

 

[TsWade2]

I’m sorry, but this is the most depressing thread I ever been on. This thread always want me to say it’s the end of Disney. This is ridiculous! And don’t worry, I’ll try not to visit this thread again.

 

[Disney Irish]

Like most of us here, I am a lifelong fan of almost all things Disney (especially their parks).

But to gloss over the current status and trajectory of the Walt Disney Company and pretend that this is just a temporary hiccup or nothing to worry about is not a healthy outlook. It's not smart, and it ignores financial reality and history.

Yes, Disney is huge and spends Billions in cash every fiscal year. They have to. But Disney is not too big to fail, or too important to go away entirely. Anyone who pretends otherwise is either very young, or very naive.

Just ask the list of hugely important cultural/financial behemoths of American industry that are no longer:

Sears Roebuck
Eastman Kodak
Pan American World Airways
Oldsmobile, Pontiac, Mercury, American Motors, etc., etc.
Gulf+Western

Disney has a very powerful brand name and cultural cachet, but then so did Sears and Pan Am.

View attachment 746840

Never claimed that DIS isn't too big to fail. Even the "too big to fail" banks can fail and be taken over. So anything can fail and be no more especially on a long enough time line. But if you think the stock price is purely just DIS and its internal issues you don't understand the stock market. Sure some of its downward price trend is the internal issues, but the rest of it is the market itself. DIS does not trade in a vacuum, and so is subject to the market whims.