Walt Disney (DIS) PT Lowered to $120 at Loop Capital
Loop Capital analyst Alan Gould lowered the price target on Walt Disney (NYSE: DIS) to $120.00 (from $130.00) while maintaining a Buy rating.
The analyst commented: "Entertainment profits nicely exceeded expectations and the DTC business was profitable, but parks missed, management lowered F4Q guidance for the Experiences division, and said the domestic parks business could be soft for the next few quarters. Despite raising full year EPS guidance to 30% growth from 25% the stock declined 4.5% and is now trading at its lows for the year. We have raised our F2024 EPS estimate by a nickel, but lowered our F2025 estimate by $0.16. With the stock trading at a discount to the market on depressed earnings, we feel it fully discounts the soft park news. We estimate parks will return to growth late next year or in F2026, the DTC business can add $2.5B of profits in the next few years, and the content business has earnings potential of at least $1B. We are lowering our price target to $120 from $130, but reiterate our Buy rating."