Shares of Walt Disney Co (DIS.N) fell 2 percent on Thursday, one day after the company delayed the release of two movies from its acclaimed Pixar animation studio, "The Good Dinosaur" and a sequel to 2003 hit "Finding Nemo."
Pushing back "Good Dinosaur" to 2015 removes a major film from the media company's movie slate next year, Wedge Partners analyst Martin Pyykkonen said. The postponement of both movies likely contributed to a decline in Disney shares, he said.
As much as I would like this to be true, I think the financial pundits are off the mark.
The markets all hit a downdraft on Thursday. Methinks that Disney stock would have declined if Pixar had announced two animated feature films in '14 instead of ... none.
Diz Co. has BIG cash flows. The amusement parks are part of that. Also merchandise and broadcast and cable. ESPN is making money hand over fist. Animated features, profitable as many of them can be, aren't huge drivers for monthly cash flows.
The main reason that Disney stock declined was it was caught in the middle of a downward market adjustment. And her we are.
It wasn't the lack of Pixar product, though it might be pretty to think so. It was the lower profits, and lack of higher market share. but mainly the plunging stock market.
Posts
1 comments:
Yes, sadly there are no more cartoon feature films from the major animation studios . But that's not how you were using the word "cartoon" .
However, let's not forget that a cartoon is a drawing.
The definition of the word is:
- a drawing in a newspaper or magazine intended as a humorous comment on something ,
- a series of drawings that tell a story ,
- a film or television show made by photographing a series of drawings : an animated film or television show ,
- a preparatory design, drawing, or painting (as for a fresco).
Post a Comment