Disney earnings selloff brings 'great' buying opportunity, says JPMorgan

JPMorgan analyst Alexia Quadrani says the selloff in Disney shares following the company's fiscal Q3 miss presents a "great" buying opportunity. The quarter came in short of expectations, largely driven by underperformance at 21st Century Fox where the dilution came in at around 60c per share versus the guidance for a 35c hit, Quadrani tells investors in a research note. The "investment thesis is the same and if we liked the stock before earnings, we love it on any weakness," proclaims the analyst. With many moving pieces between the newly acquired Fox and Disney streaming launch, there are bound to be some hits and misses each quarter, Quadrani writes. She still views Disney as a "powerful content play with an unmatched brand" in front of an anticipated successful launch of Disney+ on November 12. The analyst maintains an Overweight rating on the shares with a $150 price target. Disney in premarket trading is down 4%, or $5.51, to $136.39.

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