Wall Street Is Cheering Disney's Earnings Beat. But There's a Better Reason to Buy Disney Stock Right Now.
After years of volatility and a sluggish stock price, investors finally think Disney (NYSE: DIS) did something right. The entertainment giant gave investors a positive earnings report last week, with a huge earnings beat, and Disney stock surged roughly 10% in two days.
But don't buy Disney stock because of one earnings report. There's a much better reason to buy it right now -- and that's CEO Bob Iger.
Disney isn't just a large company, with $89 billion in trailing 12-month revenue. It's a large company made up of various intersecting units, which can be complicated to manage. When done correctly, these parts work together to create a magnificent entertainment machine, and they work to hedge the entire business when some elements come under pressure. This was well illustrated when streaming took off as parks closed early in the pandemic, and more recently when parks rebounded as streaming started to stall. Disney is now trying to get itself to a point where all of its segments are growing profitably.
Source Fool.com
