Walt Disney Stock Price, News & Analysis

Trian Fund Management, which owns about 9.4 million shares of The Walt Disney Company (NYSE: DIS) valued at approximately $1 billion, has issued a supportive statement regarding Disney's recent operational initiatives under CEO Bob Iger. Trian praised these actions as beneficial for shareholders and aligned with their views. They are pleased with Disney's commitment to restoring its dividend and are withdrawing their nomination of Nelson Peltz as a director to prevent a proxy contest, allowing Disney's management to focus on long-term value creation.

Disney has announced the global digital pre-orders for Disney Illusion Island, a 2D platform adventure game set to launch exclusively on Nintendo Switch on July 28, 2023. The game is priced at $39.99 and allows up to four players to explore the vibrant island of Monoth. Players will join iconic characters such as Mickey Mouse and friends in their quest to recover three magical Tomes. The game features engaging gameplay and hand-drawn art. This collaboration with developer Dlala Studios aims to deliver a whimsical experience for Disney fans and gamers alike.

The Walt Disney Company (NYSE: DIS) reported an 8% revenue increase to $23.5 billion in Q1 2023, driven largely by the Disney Parks, Experiences, and Products segment, which saw a 21% growth. Diluted EPS rose to $0.70, an 11% year-over-year increase, although EPS excluding certain items fell to $0.99, down 7%. The company noted a significant transformation to optimize operations and reduce costs. Notably, cash used in operations surged to $974 million, a $765 million increase from the previous year, indicating financial strain. Total segment operating income decreased by 7%, reflecting challenges in Disney Media and Entertainment Distribution.

The Walt Disney Company Board of Directors (NYSE:DIS) has issued a statement regarding Trian Group's proposed board nominations, specifically opposing Nelson Peltz and his son as candidates. The Board believes their election could jeopardize Disney's strategic management during a crucial period for the company. They expressed confidence in board member Michael Froman, emphasizing his extensive background in global trade and international business as vital for navigating risks and opportunities. Disney plans to send out proxy materials soon, urging shareholders to disregard Trian's blue proxy card and to await their own WHITE card for informed voting.

Trian Fund Management, which holds about 9.4 million shares (valued at $1 billion) of Disney (NYSE: DIS), has issued a letter to its shareholders urging a vote to elect Nelson Peltz to the board while withholding votes for Michael B.G. Froman. The letter highlights significant declines for Disney, including a market value loss exceeding $120 billion in 2022 and a 50% drop in earnings per share since 2018. Trian criticizes the current board for failing to prioritize accountability and proper leadership succession, asserting that changes are essential to restore shareholder value.

Trian Fund Management, which owns approximately 9.4 million shares valued at $900 million in The Walt Disney Company (NYSE: DIS), will file a preliminary proxy statement for Nelson Peltz's election to Disney’s Board at the 2023 Annual Meeting. Despite Disney's strengths, its share price is near an eight-year low, and total shareholder return has underperformed the S&P 500. Trian asserts that Disney is facing a crisis due to poor governance, strategy, and capital allocation. Peltz aims to enhance corporate governance and operational performance to boost shareholder value.

The Walt Disney Company (NYSE: DIS) has elected Mark G. Parker as the new Chairman of the Board, replacing Susan Arnold after her 15-year term. The Board recommends shareholders vote for all its nominees, rejecting Trian Group's candidate, Nelson Peltz. Parker, previously Executive Chairman of NIKE, aims to balance growth and profitability while focusing on CEO succession planning. The Board, with an average tenure of four years, is adjusting to enhance governance. Disney's long-term success and market strategies are highlighted amidst evolving industry dynamics.

The Walt Disney Company (NYSE: DIS) will discuss its fiscal first quarter 2023 financial results on a live audio webcast at 4:30 p.m. ET on February 8, 2023. The results will be made public after the market closes on the same day. Investors can access the webcast via the company’s investor relations website.