Why You Should Buy Walt Disney Stock Now
The Walt Disney Company (NYSE: DIS) is one of the most iconic and beloved entertainment brands in the world. From its classic animated movies to its theme parks and streaming services, Disney has a loyal fan base and a diverse portfolio of businesses that generate strong revenues and profits.
But Disney is not just a great company, it’s also a great investment. Here are some reasons why you should buy Walt Disney stock now:
- Disney has a dominant position in the streaming market. Disney owns Hulu, ESPN+, and Disney+, which together have over 170 million subscribers as of June 2022. Disney+ alone has over 100 million subscribers, making it the second-largest streaming service after Netflix. Disney+ offers exclusive content from popular franchises like Marvel, Star Wars, Pixar, and National Geographic, as well as original shows and movies like The Mandalorian, WandaVision, and Luca. Disney+ also has a global reach, with plans to launch in more countries in the coming years.
- Disney has a strong recovery potential from the pandemic. Disney was hit hard by the COVID-19 pandemic, which forced it to close its theme parks, cruise lines, and movie theaters for several months in 2020 and 2021. However, as vaccination rates increase and restrictions ease, Disney is seeing a rebound in its parks and resorts segment, which accounts for about a third of its revenue. In the third quarter of 2022, Disney reported that its parks and resorts revenue increased by 308% year-over-year to $4.3 billion, while its operating income turned positive for the first time since the pandemic began. Disney also resumed its movie releases, with blockbusters like Black Widow, Shang-Chi and the Legend of the Ten Rings, and Jungle Cruise attracting millions of viewers in theaters and on Disney+.
- Disney has a long-term growth strategy. Disney is not resting on its laurels, but rather investing in its future growth. The company plans to spend $33 billion on capital expenditures in fiscal 2022, up from $16 billion in fiscal 2020. Most of this spending will go toward expanding its streaming services, developing new content, and upgrading its theme parks and resorts. For example, Disney is building new attractions based on Marvel, Star Wars, Frozen, and Avatar at its parks around the world. Disney is also launching new cruise ships, hotels, and experiences to cater to different segments of customers. Additionally, Disney is exploring new opportunities in emerging markets like India, China, and Latin America, where it has a growing presence and demand for its products and services.
How to Buy Walt Disney Stock
If you are convinced that Walt Disney stock is a good buy, here are some steps you need to take to purchase it:
- Open an online brokerage account. You need an online brokerage account to buy and sell stocks like Walt Disney. There are many online brokers to choose from, but you should look for one that offers low or no commissions, a user-friendly platform, and access to research and tools. Some of the best online brokers for beginners are E*TRADE, TD Ameritrade, Fidelity, and Robinhood.
- Research Walt Disney stock. Before you buy any stock, you should do some research on the company’s business model, financial performance, competitive advantages, growth prospects, risks, and valuation. You can find this information on the company’s website, annual reports, quarterly earnings calls, press releases, analyst reports, and news articles. You can also use tools like stock screeners, charts, calculators, and simulators to analyze Walt Disney stock.
- Decide how much Walt Disney stock to buy. You need to decide how much money you want to invest in Walt Disney stock based on your budget, risk tolerance, and investment goals. You should also consider how Walt Disney stock fits into your overall portfolio diversification and asset allocation. A general rule of thumb is to invest no more than 10% of your portfolio in any single stock.
- Place your order for Walt Disney stock. To buy Walt Disney stock online via an online brokerage account: A brokerage account