Disney (DIS): Shanghai Profit Potential Looks Surprisingly High - FBR
Get Alerts DIS Hot Sheet
Rating Summary:
30 Buy, 19 Hold, 3 Sell
Rating Trend: Up
Today's Overall Ratings:
Up: 11 | Down: 14 | New: 1
Join SI Premium – FREE
FBR Capital analyst, Barton Crockett, believes consensus views underestimate the margin and profit potential of this park. The analyst sees this as a park that can be profitable near term and, over time, settle into operating margins well into the 30%-40% range, on revenues eventually topping $2B. The surprisingly high profit potential comes from pairing the lower cost structure of a developing country with premium pricing and strong consumer interest. With a 43% equity stake, and 70% of the park's management fee, Walt Disney (NYSE: DIS) will retain close to one-half of this park's profits.
No change to Outperform rating or price target of $111.00
For an analyst ratings summary and ratings history on Walt Disney click here. For more ratings news on Walt Disney click here.
Shares of Walt Disney closed at $99.00 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Disney Technology Executive Aaron Laberge to Leave Company - CNBC
- JPMorgan Upgrades Dow Inc. (DOW) to Overweight
- Deutsche Bank Downgrades Boyd Gaming (BYD) to Hold
Create E-mail Alert Related Categories
Analyst CommentsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!