Disney Stock Falls on Weak Parks Outlook, TV Business Decline
variety.comTodd Spangler NY Digital Editor Disney‘s adjusted earnings per share for the March quarter beat Wall Street forecasts — but the company’s stock price stumbled amid concerning signs for the Mouse House.
Shares of Disney were down 9.5%, to $105.41 per share, as of 11:30 a.m. ET. The pullback comes after the stock was up 29% year to date as of Monday.
While Disney’s theme parks business drove top- and bottom-line growth for the first three months of 2024 — with revenue growth of 10% and segment operating income up 12% — the company said the June quarter’s segment operating income is expected to come in roughly comparable to the prior year, with revenue flat.
On the earnings call, CFO Hugh Johnston told analysts, “While consumers continue to travel in record numbers and we are still seeing healthy demand, we have seen some evidence of a global moderation from peak post-COVID travel” at its theme parks.
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