Acerca de Disney.
“I’m taking a hard look at Disney, not necessarily because of the chatter here or because of the dividend cut, but…
(1) Near-term earnings are somewhere in between “bad” and “non-existent”.
(2) Long-term picture is uncertain. I am not convinced we are “back to normal” on June 1. Nor necessarily even in 2-3 years. We may find a “new normal” in which certain Disney operations are permanently impaired.
(3) Love the content and the business, but we’re paying a pretty high multiple for that future given the combination of headwinds and poor visibility.
Haven’t sold yet. Not sure what I would buy if I did sell. But am thinking it makes sense to sell in some of the more conservative portfolios I advise. It isn’t quite as speculative as NFLX, but the investment premise is similar.”