Disney price target raised to $110 from $98 at Barclays

Barclays analyst Kannan Venkateshwar raised the firm’s price target on Disney to $110 from $98 and keeps an Equal Weight rating on the shares. The company’s operating income came in better than expected largely on the back of theme park performance, but investor focus heading into the quarter was more on potential announcements around strategic shifts, the analyst tells investors in a research note. Disney did come out with a new framework to guide expectations, which should offer better visibility with respect to costs and margins, but it may not come without trade-offs on revenue growth, contends the firm. It believes Disney’s "strategic pivot" is heavy on cost cuts and light on a revenue growth, which "may be tough for investors to underwrite" at the present valuation.