Disney stocks have hit surprising numbers, but not necessarily in a good way.
©Disney | Walt Disney Company Headquarters
We’ve been watching Disney’s stock values and the entire situation with the Company carefully over the past several months. From changes in leadership, to the Company’s involvement in a number of political situations, the repeal of the Reedy Creek Improvement District, and impressive revenue numbers in theme parks — Disney has seen a lot of change and development over the last few months. And stock values have changed along with it. But recently, the stock hit a surprising low.
Back in March 0f 2021, the Disney stock hit an all-time high of nearly $200 per share. However, things have changed drastically since then.
We recently reported that, as of April 22nd, 2022, the stock fell to around $118-$117. It then continued to fall. In mid-May 2022, it fell to around $108. Now, the stock value has fallen even further. As of June 13th, the stock was trading at around $95.71.
UPDATE: Disney stock prices have continued to fall. As of June 22nd, the stock was trading at around $93.29.
©Google Stock
The last time Disney’s stock saw numbers this low (within recent history) was around March of 2020, a time at which many of its theme parks were closed.
In recent years, the stock’s lowest value was around $85.98 back in March of 2020.
If you look at the stock’s history over many more years, you can see that for many years it did trade at low levels. But these most recent numbers are rather shocking given the high number at which the stock was valued just last year.
There may be a multitude of reasons why this drop has taken place, one of which is the market situation in general. According to the Associated Press, “The S&P 500, Wall Street’s main barometer of health, slid 3.9% [in mid-June] to 3,749. That’s nearly 22% below the high set on Jan. 3.”
Both Nasdaq (32.7% down from its peak) and Dow Jones (17% below its peak) are also presenting slumps. These numbers point toward Wall Street being in the claws of a “bear market,” which means an index or even an individual stock “has fallen 20% or more from a recent high for a sustained period of time.”
EPCOT
According to the Associated Press, bear markets (on average) have taken about 13 months to go from “peak to trough and 27 months to get back to break-even since World War II.” Investors will usually look for a 20% gain from a particular low point, along with “sustained gains over at least a six-month period” to signal that the bear market has ended. Back in 2020, it took less than 3 weeks for stocks to rise 20% from the low they hit in March of 2020. High inflation, changes in interest rates, and more are all playing a role in how things are going.
On June 20th, CNBC shared that Wall Street veteran Ed Yardeni said it won’t be over until there are signs that inflation has peaked. He said, “We’ve got to see a peak in inflation before the market will be substantially higher.”
This is, of course, a developing situation, as stock values can change quickly. We’ll continue to look for more updates.
If you’re interested in learning more about the future of Disney stock, click here. And to read about Disney’s current reputation and how it’s dropping FAST, click here.
Mickey on Castaway Cay
As always, stay tuned to DFB for the latest.
Check out Disney’s earnings report from the last quarter
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What do you think about this situation? Let us know in the comments.
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Replace Chapek NOW!
Need to replace CEO, resigning him will keep the stock falling
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As a Disney share holder l guess certain comments aren’t posted!
Disney will always be a great stock choice. It’s all “on sale”! Great time to get some. Things WILL turn around. They always have. You have to look at the long game.
I agree get rid of Chapek!!!
The luster of Disney magic is tarnished. When you damage your brand, it sometimes never returns to its glory days. The direction of this company has put it on a collision course to do just that. We can no longer enjoy the entertainment of Disney without feeling undermined by a greater and deceptive political agenda. So sad.
Ironic that once Disney announced they would likely extend Chapek’s contract, the stocks fell even further. Maybe now the board members will realize the Bob is just bad news for everyone involved with Disney. Be it shareholders, employee’s, and most importantly, the fans and guest, either way this guy needs to go.
Oh, for heavens sake! Stop getting people worked up over a general market fall and/or correction that has affected almost every single stock on all the exchanges. Smart investors know the stock market is a long game, and that there will be dramatic ups and downs over time. My first share of DIS cost me $16.00 so I’m still way ahead. I am actually looking at buying additional shares right now because I know that DIS is a strong company even if you don’t like the current leader, and the stock, like most of the others, will go back up again over the next year or two.
In all other commodities, this is called a “sale” (AKA time to buy.)
The markets In general are taking a beating lately.
This is a good day to purchase Disney stock if you don’t have any, and if you want more shares.
Agreed- get rid of Chapek. Remember the original principles Walt Disney had when he envisioned DisneyWorld. The company has lost its way! The company is no longer for the average family!
Ditto!
Maybe Disney will finally realize that everything that they have changed to make more money it’s beginning to alienate the people who go there. Disney has to remember that if people are not having a good time and aren’t seeing a value for their money they are going to take their money elsewhere.
Disney needs new management and a new direction.
Time Disney looked to its actual customer base and stopped playing to the woke elite. I predict Lightyear bombs too. I also agree with Steve: Get rid of Chapek!
Maybe Disney should consider a change in leadership. That might help!
Disney stock is dropping like a rock for one reason, stockholders do not like Bob Chapek. They have lost faith in his ability to lead.
Maybe Disney should rethink its astronomical price increases and that ridiculous Genie pay per ride ripoff. Maybe that will generate more revenue with people being able to spend more.
Great time to buy! You know that it wi go back up.
I can see why the stock is falling.
I have been a Disney fan ever since I saw the first airing if the Mickey Mouse Club in October of 1955, I was 3 years old. My family moved to the San Fernando Valley when I was 10. We visited Disneyland our first Saturday after our arrival. When I was 34 I moved my family to the northeast. By that time I had visited the park 46 times including the night I graduated from High School in 1971 (Grad night).
When my wife and I became empty nesters we would travel to Walt Disney World for a week on an average of every two years. I would enjoy planning our trip almost as much as the trip itself. We loved it, it was a place we could truly relax.
So it really pains me to say that the management of the Walt Disney Company has turned it’s back on me within the past couple of years.
In short they have increased both the cost and stress of a visit.
They have cut services, (I loved the Magic Express from the airport).
They did away with the fast pass, which made it possible to plan out, weeks in advance your day at the park around your ride reservation.
They have increase the cost for lodging, food and merchandise.
They are charging additional for preferred line queuing.
Make sure your phone is charged and has a day long battery life. You will need to manage your visit with the Disney’s Genie App. starting at 7:00 am.
The days of an average family getting their moneys worth out of a visit to Walt Disney World is, said for me to say, over.
I had hoped to celebrate both my wife’s and my retirement and my 70th Birthday with a trip to WDW, but with the way WDW has changed a trip would only leave a bad taste and regrets for spending so much money and time for so little.
Yes, I can see why the stock is falling, “the King has no clothes.”
Chapek needs to go. He is an unmitigated disaster. We LOVE Disney, but have no plans to go back to the parks after the disappointments we experienced on our last visit due to his meddling with the magic.
First, I agree with Steve here that Chapek MUST be replaced! And it looks like it’s the time to BUY Disney stock as it will certainly go back up.
Wall Street now understands that Bob Chapek is leading the company in the wrong directions to retain the current guests/fans into becoming future customers.
Hi George. We are not affiliated with Disney. When comments are not approved it is for a number of reasons including, but not limited to insensitivity, inaccuracy, language, etc. All comments must be linguistically appropriate for a wide audience, and generally not inflammatory. Thanks!
Hey everybody, do these comments do any good. Will this really get rid of Chapek?
What’s it take to get rid of him??
I agree with everything Tim Schulze said. The company started losing its magic the day they decided to charge resort guests to park at their already overpriced resorts. A company has to really do something wrong to turn its most loyal, ardent fans against it. It says a lot that a lot of these loyal fans (including me)are happy to see the company in trouble. Get rid of the entire Board, Chapek first. I keep my stock to vote against everything they are for. We want the Magic returned and pronto!
During Covid in 2020, before everything opened back up I bought a few shares for $52/ea.
If it continues to go down, I may buy a few more.
In case Chapek is not aware of it, it’s a CEO’s responsibility to maximize shareholder value. Great job, Bob! Let’s see some results instead of excuses.
Yes, CEOs have the responsibility to increase shareholder value but they are also responsible for optimizing the performance of the company. Now, they can pass on this responsibility AND blame to his/her underlings. Some take the hit, some feed their young to the wolves. We don’t know how the board of executives is measuring Mr. Chapek or whether he’s on a short leash now but as long as people stay in the game and buy the products, he’ll stay.