TD Cowen analyst Doug Creutz reiterated a Hold rating on Walt Disney (DIS – Research Report) today and set a price target of $123.00.
Doug Creutz has given his Hold rating due to a combination of factors including Disney’s strong financial performance in the recent quarter and the potential risks associated with macroeconomic conditions and leadership changes. Disney reported earnings that exceeded expectations, with significant growth across various segments such as Sports, Direct-to-Consumer, and Parks, which contributed to a robust revenue increase. However, despite these positive results, Creutz remains cautious about the future due to uncertainties surrounding the broader economic environment and the upcoming CEO transition.
While Disney’s content licensing showed impressive growth, and the company’s adjusted EPS surpassed estimates, there are concerns about the sustainability of these results amid potential macroeconomic challenges. Additionally, the transition to a new CEO adds an element of uncertainty to Disney’s strategic direction. As a result, Creutz maintains a balanced view, recognizing the company’s current strengths but also acknowledging the risks that could impact future performance.
Creutz covers the Communication Services sector, focusing on stocks such as Live Nation Entertainment, Playtika Holding, and AMC Networks. According to TipRanks, Creutz has an average return of 16.9% and a 63.59% success rate on recommended stocks.