Empirical Asset Management Cuts Walt Disney Stake by 63%

Empirical Asset Management LLC has significantly reduced its position in The Walt Disney Company (NYSE: DIS) by 63.0% during the second quarter of 2023. This adjustment, revealed in the firm’s latest filing with the Securities and Exchange Commission, indicates that the institutional investor now holds 2,211 shares of Disney stock, down from 5,975 shares after selling 3,764 shares throughout the quarter. As of the filing, these holdings were valued at approximately $274,000.

Several other institutional investors have also modified their stakes in Disney recently. Notably, Consilio Wealth Advisors LLC purchased a new position valued at around $228,000, while Harbor Asset Planning Inc. acquired shares worth approximately $37,000. Activest Wealth Management increased its position in Disney by 5.8%, resulting in a total of 3,465 shares valued at $430,000 after an additional 191 shares were acquired in the last quarter. Furthermore, Werba Rubin Papier Wealth Management and WealthPLAN Partners LLC added new stakes valued at around $244,000 and $232,000, respectively. Currently, institutional investors and hedge funds own 65.71% of Disney’s stock.

Analysts Offer Optimistic Outlook

Recent reports from equity research analysts indicate a positive outlook for Disney shares. Barclays has raised its price target for Disney from $120.00 to $140.00, assigning the company an “overweight” rating on July 9, 2023. Evercore ISI followed suit, lifting its target from $134.00 to $140.00 and labeling the stock as “outperform” in a report released on August 4, 2023. Chardan Capital reiterated a “buy” rating on August 11, while Guggenheim also raised its target from $120.00 to $140.00 on June 27, 2023. Lastly, JPMorgan Chase & Co. adjusted their price target upward from $130.00 to $138.00 on July 29, 2023.

Currently, nineteen investment analysts rate Disney stock as a “buy,” while eight analysts suggest a “hold” position. According to MarketBeat, the stock holds an average rating of “Moderate Buy” with a price target of approximately $132.90.

Current Trading Performance

On Friday, August 6, 2023, Disney’s stock opened at $110.69, reflecting a slight increase of 0.7%. Over the past year, the company has seen a fifty-two week low of $80.10 and a high of $124.69. Disney maintains a debt-to-equity ratio of 0.32, a current ratio of 0.72, and a quick ratio of 0.66. The company has a market capitalization of approximately $199.00 billion, a price-to-earnings ratio of 17.35, and a beta of 1.54.

Disney last reported its earnings on August 6, 2023, revealing $1.61 earnings per share, surpassing analysts’ expectations of $1.45 by $0.16. The firm posted a net margin of 12.22% and a return on equity of 9.67%, with revenues amounting to $23.65 billion for the quarter, slightly below the forecast of $23.69 billion. This marks a 2.1% increase in revenue compared to the same quarter last year.

The Walt Disney Company operates as a global leader in the entertainment industry, with diverse segments including Entertainment, Sports, and Experiences. The company produces and distributes content across various platforms, including its renowned franchises such as Marvel, Pixar, and Lucasfilm, making it a cornerstone of modern entertainment.