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Cramer Calls Disney a Hold as Bernstein Reaffirms Outperform

Management steers expectations for parks growth to the back half of the fiscal year.

Overview

  • Jim Cramer labeled Disney a hold, cautioned the stock could drop if the next quarter disappoints, and said he sold shares in his Charitable Trust.
  • Bernstein reiterated an Outperform rating with a $129 price target, acknowledging the quarter was not clean but maintaining a constructive long-term view.
  • Disney shares fell nearly 8% after a report that missed on revenue but beat on earnings, paired with guidance for the year ahead.
  • Segment results highlighted declining linear-TV economics and improving streaming profitability, with operating income down in linear networks and up sharply in streaming.
  • Executives guided the experiences division to high single-digit operating income growth weighted to the second half, implying near-term softness in parks and cruises.