Disney Stock Has a Lot to Prove This Week
Expectations are low for the media bellwether heading into an important financial update on Wednesday.
Investors aren't expecting to be blown away when Walt Disney (NYSE: DIS) pulls back the curtain to reveal its latest financial results this week. The media giant will announce its fiscal second-quarter numbers on Wednesday morning, hosting an earnings call to discuss its fresh financials an hour before the market opens.
Disney shares have declined 19% since the company's last earnings report three months ago. The stock initially ticked higher after Disney posted better-than-expected results, coming within pennies of hitting a 10-month high the morning of the earnings release. But that rally didn't last. Can it move higher this week -- and this time stick to any initial upticks? Let's size up what Disney and its shareholders are facing heading into this critical update.
Analysts are holding out for $23.1 billion in revenue, 5% above where Disney landed for fiscal second quarter last year. That matches the 5% top-line growth that Disney investors got out of the House of Mouse back in February, but the real head-turner in that financial update was the bottom line.
