Disney (NYSE:DIS) Goes Back to War with DeSantis

With the year about to close, Disney (NYSE:DIS) sets up its 2024. A potentially ill-advised lawsuit is on tap, as well as the adaptation of a movie that might put some life back in Disney’s streaming ambitions. Investors, meanwhile, are skeptical and sent Disney shares down somewhat in the closing minutes of Wednesday’s trading session. Disney is taking aim at Florida Governor Ron DeSantis, or rather the board he created, the Central Florida Tourism Oversight District (CFTOD).

Specifically, Disney alleges that the District isn’t releasing documents according to state law, nor is it preserving public records, also as required. The board was created as a way to supplant the Reedy Creek Improvement District, which DeSantis largely shuttered in the wake of Disney’s involvement in the so-called “Don’t Say Gay” act. Further, Disney alleges that CFTOD members are using their own personal email addresses to communicate about district business, which, if true, would be a violation of public records laws.

A Return to Form for Small-Screen Disney?

We know that big-screen Disney hasn’t always fared well, but there’s some new potential hope on the small screen. Specifically, many are looking to the new version of “Percy Jackson & the Olympians” to breathe fresh life into Disney streaming. Early reports suggest that the small-screen adaptation is largely faithful to the books, which should make it a better alternative to the movies that were more commonly considered, as IGN put it, “…an icky cash grab.”

Is Disney Stock a Buy or a Hold?

Turning to Wall Street, analysts have a Strong Buy consensus rating on DIS stock based on 17 Buys and five Holds assigned in the past three months, as indicated by the graphic below. After a 7.34% rally in its share price over the past year, the average DIS price target of $109.67 per share implies 21.3% upside potential.

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