Disney's Streaming Business Looks Seriously Undervalued
Disney's (NYSE: DIS) market cap briefly fell below that of Netflix (NASDAQ: NFLX) last week.
It wasn't the first time that had happened, as Netflix briefly topped Disney in valuation in 2018 when the leading streamer's stock hit an all-time high, but Disney's changed significantly since then.
Most importantly, Disney has built a streaming arsenal to rival Netflix, as it's launched both Disney+ and ESPN+, and acquired two-thirds ownership of Hulu with its acquisition of Fox last year. A deal with Comcast (NASDAQ: CMCSA), which owns the other third of Hulu, gave Disney full operational control of the streaming service, best known for its network TV programming. Additionally, Hotstar, the Indian entertainment service offering both broadcast and streaming connectivity that Disney acquired through Fox, now has 300 million monthly active users.
Source Fool.com
