Disney Stock Soars on Strong Earnings and Optimistic Outlook
Walt Disney Co. shares surged on Wednesday, climbing as much as 12% following the company’s announcement of robust fiscal second-quarter earnings and an upbeat full-year profit forecast. The stock reached an intraday high of $103.31, marking a significant turnaround despite being down 17.22% for the year.
The entertainment giant reported impressive financial results, prompting a revision of its full-year profit outlook. Disney now anticipates an adjusted profit of $5.75 per share for fiscal year 2025, nearly doubling previous estimates and surpassing the consensus expectation of $5.44 per share.
A key driver of Disney’s strong performance was the success of its streaming services, including Disney+ and Hulu. Disney+ added 1.4 million new subscribers during the quarter, contributing to a combined streaming services profit of $336 million. This represents a substantial increase from the $47 million profit reported in the same quarter last year.
The company’s theme park business also played a crucial role in boosting investor confidence. In a move to expand its global footprint, Disney announced plans to open a new theme park in Abu Dhabi, further solidifying its position in the entertainment industry.
While Disney’s performance provides a positive outlook amid ongoing economic uncertainties, the company remains vigilant about potential impacts of tariffs on its business operations.
This strong showing by Disney offers a glimmer of optimism in the current market landscape, demonstrating the company’s resilience and adaptability in challenging times.
