DIS - Should You Buy Disney Stock Below $100?
2024-07-18 18:18:00 ET
It has been a tough decade for Walt Disney (NYSE: DIS) . The stock just fell below $100 again, a price it had hit all the way back in 2015. After a successful run acquiring Marvel and Pixar in the 2000s, the entertainment giant has been hurt by the transition to streaming TV, the slow decline of movie theaters, and a bloated cost base.
Over the last 10 years, Disney's stock has posted a total return of just 26%. The S&P 500 index has left it in the dust, returning 241% for investors over that same period. However, there are signs that Disney's prospects may be looking up again. Should you buy the fallen angel below $100 a share? Let's investigate further and find out.
As with many large companies, Disney's expenses became overblown during the pandemic. At one point in 2021, the company posted close to $0 in operating profits, something it hadn't done in decades. Earnings declines caused the board of directors to bring back longtime CEO Bob Iger to get Disney back on course.
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Should You Buy Disney Stock Below $100?