Disney stock: buy or sell?

DIS stock price: $149.44 0.97% At close on Dec 1st, 2020

Updated on:
Dec 1st, 2020

1

Disney stock brief

  • Disney closed on Tuesday at $149.44 after barely moving a 0.97%.
  • UBS Group posted a neutral rating for Disney on Tuesday, targeting $155.00
  • The Walt Disney Company, together with its subsidiaries, operates as an entertainment company worldwide.

Should I buy Disney stock?

All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $DIS stock a buy?

Currently, Disney stock matches one trading strategy:

ATH buy setup

One of the most recommended trading strategies is to buy on All-time Highs (ATH) breakouts. The good point of buying at all-time highs is that price doesn't struggle with upper resistances, and usually it rises rapidly. However, you must always be aware of a possible bulls trap that may trigger your buy order and then drops sharply. That's why a stop loss is always important. Disney can break to all-time highs any time soon, as it only needs to go up a 2.05%. Setup your buy order at $152.50 if you want to trade with this strategy. The stop loss would be set at $137.25

Buy setupBuy pointStop lossRisk
ATH buy setup$152.50$137.2510.00%

Should I sell Disney stock?

"To sell or not to sell", if you are holding Disney stock?. As when we have to buy shares, determining when is appropiate to sell is not a haphazard decision, and we must use our own trading style. Our trading system selects very simple strategies to guide us on when is the best moment to sell our shares. Be aware that these strategies are not intended for selling short $DIS stock

A guiding principle is that you should never hold an open trade that results in losses greater than those expected by the time of the buy. When to sell shares should always be determined by the stop-loss (automatic or manual)

Is it time to sell Disney stock?

In the current situation of Disney there is not any eligible sell setup, so Disney stock holders with operations in green can keep their positions

Disney ratings

In the last month, 10 brokerage ratings were published for Disney. General sentiment is bullish, with 6 out of 10 posting positive forecasts

Disney analysts' ratings - Last 30 days
Brokerage firmRating
Nov 12th, 2020
Morgan Stanley Buy
Nov 13th, 2020
Bank of America Strong buy
Barclays Buy
BMO Capital Markets Neutral
JPMorgan Chase & Co. Strong buy
Rosenblatt Securities Strong buy
Royal Bank of Canada
The Goldman Sachs Group Strong buy
Wells Fargo & Company Neutral
Dec 1st, 2020
UBS Group Neutral

Disney stock analysis

Downtrend breakout

SMAs overview

DIS stock SMAs chart

Supports and resistances

The current resistance levels are:

  • R1: $152.50 (2.05% above)
  • The current supports are:

  • S1: $148.65 (-0.53% below)
  • S2: $147.30 (-1.43% below)
  • S3: $146.27 (-2.12% below)
  • Bollinger bands

    DIS stock Bollinger Bands chart

    Relative strength index

    The RSI dropped below the overbought level of 70 last Wednesday after just crossing to the overbough zone for 1 day (weak signal). The RSI value on Tuesday was 66.24. Since then, Disney shares slided a 1.35%

    DIS stock RSI chart

    Disney stock price history

    Disney started trading on Jan 2nd, 1962 at $0.06 per share1. Since then, DIS stock surged by 248,966.67%, with an average of 4,292.53% per year. If you had invested $1,000USD in Disney stock on the IPO, it would be valued $2,490,666.67 today.

    1: Adjusted price after possible price splits or reverse-splits

    DIS stock price history chart

    Price target for Disney stock

    Nobody knows how much a stock will be priced in the future. However, many stock price predictions are issued every day by banks, financial institutions and independent analysts.

    Along with buy or sell recommendations, brokerage institutions publish their price target based on the stock price action and the company fundamental data. Most of these estimates follow the release of new financial data by the company, and many times. Again, these predictions are not direct recommendations for individual traders and must not be followed blindly.

    Averaging all price targets exposed below, the estimated price for Disney stock is $159.20. That is a 6.53% than the current price ($149.44).

    Disney stock price predictions
    Brokerage firmPrice target
    Nov 12th, 2020
    Morgan Stanley $135.00$160.00
    Nov 13th, 2020
    Bank of America $146.00$166.00
    Barclays $135.00$150.00
    BMO Capital Markets $150.00$165.00
    JPMorgan Chase & Co. $155.00$160.00
    Rosenblatt Securities $145.00$155.00
    Royal Bank of Canada $124.00$170.00
    The Goldman Sachs Group $142.00$156.00
    Wells Fargo & Company $136.00$155.00
    Dec 1st, 2020
    UBS Group $126.00$155.00

    Earnings and financials

    Shareholders call was hosted by Disney ($DIS) in mid-November after posting the earnings report. Disney reported earnings of $-0.20 per share on revenue of $14.7 billion. The Wall St estimate was $-0.71 per share on revenue of $14.2 billion.

    In comparing, the EPS for the same quarter last year was $1.07, so posted EPS is a decrease of -118.69%. Revenue sank a -23.00% on an annualized basis in the , from $191.0B to $147.1B last quarter.

    Disney ($DIS) is posting Q1 financial report next February. Wall Street forecasts of $-0.50, compared to previous quarter that was $-0.20.

    Disney competitors

    Disney belongs to the Entertainment industry, which contain 28 industry peers.

    Disney major competitors are:

    Disney competitors
    CompanyMarket capRatingBullish ratings1
    Disney ($DIS) $267.5B Buy 6
    Comcast ($CMCSA) $225.0B Neutral 0
    Netflix ($NFLX) $212.3B Buy 1
    Charter ($CHTR) $130.0B Buy 1
    Roku ($ROKU) $29.0B Buy 9
    Liberty Broadband ($LBRDA) $28.1B Neutral 0
    Liberty Media Corporation Series A Liber ($BATRA) $1.2B Neutral 0

    1 In the last 30 days.

    Disney performance

    To better understand Disney performance you must compare its gains with other related stocks in same sector or industry.. For Disney, the benchmark is made against Comcast, Netflix, Charter, Roku, Liberty Broadband and Liberty Media Corporation Series A Liber.

    DIS performance compared
    Company1m3m6m
    Disney ($DIS) 22.30% 11.80% 22.50%
    Comcast ($CMCSA) 18.30% 13.60% 23.40%
    Netflix ($NFLX) -2.30% -7.90% 14.90%
    Charter ($CHTR) 12.30% 6.20% 19.50%
    Roku ($ROKU) 35.20% 65.90% 164.50%
    Liberty Broadband ($LBRDA) 16.10% 13.90% 15.30%
    Liberty Media Corporation Series A Liber ($BATRA) 21.40% 29.10% 11.30%

    Important note:
    The thoughts published in this post are personal and should not be followed as recommendations for you to buy or sell stocks. The author of this article does not have any knowledge of the particular scenarios of the reader, his or her financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are provided for informational purposes only

    Disney summary

    Tuesday, December 1st, 2020
    Open$149.57
    Close$149.44
    Day range$149 - $151.4
    Previous close$148.01
    Session gain0.97%
    Average true range$5.48
    50d mov avg$130.33
    100d mov avg$128.36
    200d mov avg$119.35
    Earnings dateFebruary 2nd, 2021

    Frequently asked questions

    What is Disney stock symbol?

    The Walt Disney Company is a public company trading in the US stock market with the DIS symbol

    Is Disney stock a buy or sell?

    Disney received 10 ratings in the last 30 days: 6 bullish, 0 bearish and 3 neutral.

    Will DIS go up?

    Disney had different price forecasts issued by market analysts in the last 30 days setting the target price to $159.20. That is a 6.53% than the last price ($149.44).