Buy Disney Shares: Trend, Forecasts And Targets
Published: 1 October 2020 by Valentina
The entertainment industry is a billion-dollar industry and one company in particular has made this sector famous in nearly a hundred years of history: the Walt Disney Company. Buying Disney shares means investing in the media, brands, and theme parks that have made this brand famous around the world.
OnlineTradingCourse is the leader shares review website and today, we will analyse this company, its financial situation, investments, and future prospects, in order to understand if buying Disney shares can be a good investment or not.
The steps to follow are these:
- You choose the broker where you want to invest
- You start with trying the Demo account
- When you have enough experience, you can start to invest real money
Let’s start now with the first step: To buy Disney shares, you need a CFD broker like eToro, that allows you to save on trading fees and operate safely. Here are the main CFD brokers on the market, all suitable for buying Disney shares:
Min. Deposit: 50€
Min. Deposit: 100€
Min. Deposit: 50€
Min. Deposit: 250€
Min. Deposit: 100€
72.30% of retail CFD accounts lose money
Min. Deposit: 250€
Buy Disney Shares: History
The Walt Disney Company is an entertainment holding company based at the Walt Disney Studios in Burbank, California.
Founded in 1923 by the brothers Walt and Roy O. Disney as Disney Brothers Cartoon Studio, it has established itself over the years as a leader in the American animation industry and then expanded to the production of films, television programs, and theme parks.
The success began with the cartoon character Mickey Mouse, created in 1928 by Walt Disney and Ub Iwerks. This is one of the most recognizable characters in the world and has become the official mascot of the company.
Disney began producing feature films and then real animated films that set incredible profits for the time. After World War II, Disney also entered the television world with its programs for children.
Walt Disney died in 1966 and his brother Roy became president until 1971 when, upon his death, he left office to various CEOs who carried on the spirit of the company’s founder by developing the new theme park business.
Disney is now one of the biggest entertainment giants. Recently, it has also conqured the digital streaming sector, with the Disney + platform.
The shares of Disney have always followed the company’s success and the stock’s growth curve has taken a sharp spike over the past 10 years.
Disney shares: Real-time quotation and price
Disney: Business Model
Since 1991, the company is part of the Dow Jones Industrial Average, one of the world’s leading stock market indices, and it is also listed on the New York Stock Exchange under the ticker DIS.
Disney’s products and services are sold worldwide and the company’s business is divided into four main segments:
- Media Network,
- Parks and Resorts,
- Studio Entertainment,
- Consumer Products & Interactive Media.
Walt Disney is a diversified global entertainment company. The company’s revenues in 2019 were approximately $ 69 billion and the net income reached approximately $ 9 billion.
Today, Disney is a household name made famous around the world by the cartoons and unique tourist experiences it created with its theme parks.
How to buy Disney shares
To buy Disney shares you first need an intermediary and CFD Brokers are the simplest and cheapest solution. Let’s see why.
CFDs (contracts for differences) are derivatives that replicate the trend of the share price. They also have two great advantages:
- You can invest both upwards and downwards (short selling), allowing you to earn even in the event of a drop in prices
- They don’t charge commissions
Now, let’s see how to invest in Disney shares using CFDs:
- To buy Disney shares, you need to buy the “DIS” CFD, and you will earn if the share prices go up.
- To invest on falling Disney share prices, you must sell the “DIS” CFD and you will earn if the prices fall.
Once you reach the desired profit, just close the transaction and any earning will be net, without the addition of any commission.
Buy Disney shares with the best platforms
CFD Brokers offer trading platforms; i.e. softwares that allow you to trade online and to make profitable investments. But in order to reach a profit, you have to choose the best platforms available.. but how?
First of all, you need to be sure that the broker is a safe and regulated intermediary, in possession of a FCA or CySEC license. After this, you need to evaluate which other features are offered: Services, support, training, etc.
We have made a selection for you and found that the best platforms to buy Disney shares are those offered by eToro, ForexTB and IQ Option.
eToro: Intuitive platform for buying Disney shares
eToro is the most used online broker in the world and its intuitive platform is perfect for buying Disney shares, as we can see in the screenshot below:
To buy Disney shares (or sell them) you have to click on “Invest”, decide whether to buy or sell the stock, and how much to invest in the single operation.
The security of this broker is also underlined by the FCA license and its over 7 million active users.
eToro has also become famous for a revolutionary patent called Copy Trading, which allows you to copy the operations performed by the best traders in the world (on eToro) automatically and for free.
Copy Trading works like this:
- Register on eToro
- In the section “people”, you can choose the traders to copy based on the performance.
- With a click, Copy Trading will copy exactly the same operations of the chosen traders in your account.
- At this point, you will get the same returns as these trading experts (of course, in proportion to your investment), without doing anything else.
Here are some of the best eToro Traders:
Both Copy Trading as well as traditional trading can also be tested on a free Demo account, without taking real risks.
For more details you can read our full eToro review.
ForexTB: Free Course and Trading Signals
ForexTB is very focused on the training and operational support of its investors, which is why its spread is constantly increasing.
To differentiate itself from the competition, it offers two trading platforms, both for free:
- The web platform is easy to use and can be entered from any browser without downloading any software.
- Metatrader 4 is more technical and full of professional indicators and meets the needs of the more experienced traders.
Below we can see a screenshot of the web platform of the Disney shares:
To invest in Disney shares, you need to click on sell or buy and decide how much to invest in the operation.
This Broker has a regular CySEC license, which allows it to operate legally throughout Europe.
The training of ForexTB starts with a free trading course, which is considered one of the best trading courses in the world.
The real strength of ForexTB are the Free Trading Signals that are sent to all investors. They are very detailed indications, studied by the Trading Central, and they have a success rate of 70%.
IQ Option: Buy Disney shares with 10 Euros
IQ Option is now a consolidated reality in the trading world, above all for a truly unique feature, which this Broker offers to all investors.
The minimum deposit required to open a real account with IQ Option is only 10 Euros.
This choice is due to the fact that most novice traders are little capitalized and to entice them to join the financial world, IQ Option has decided to lower the entry threshold as much as possible.
IQ Option is an absolutely reliable intermediary operating in the UK under the FCA license. In addition to the minimum deposit, this broker offers also an educational section in order to improve the level of preparation of its traders. This section can be accessed for free with the link below:
Despite the minimum deposit of only 10 Euros, to practice there is always the Demo account, which allows you to not risk anything, at least not until you are completely in control of the trading platform.
Disney share: Advantages
Disney’s main income recently came from its streaming services, which reached a total of about 100 million paying subscribers.
- Disney + has 60.5 million subscribers and has not yet finished expanding internationally.
- Hulu has 35.5 million paying viewers, up from 27.9 million in the same period the previous year.
These streaming services aren’t profitable yet, but robust subscriber growth has led management to commit to a new streaming offering to be launched next year.
Below, we can see the trend of Disney shares over the last 5 years: The trend was growing until the stop in 2020 due to the coronavirus epidemic that has limited Disney’s theme parks and film productions.
Fortunately, the increase in the streaming sector has allowed the recovery of the asset, which is rapidly recovering reaching back the levels of early 2020.
Disney shares: Disadvantages
The coronavirus pandemic has damaged the company in various ways, but perhaps the worst has been the closing of its theme parks.
That segment contributed by 38% to the revenue in fiscal 2019 and the closure had a negative impact of $ 3.5 billion in the closing quarter.
Obviously, everyone knows it’s just a matter of time and the parks will return to pre-crisis rhythms, but we still don’t know how long it will take.
Analysts value Disney shares positively, but if the stock were to reverse course and stop growing, with CFDs you can aim down and earn even in the event of a collapse in share prices.
Disney’s main competitors are the major international groups engaged in the entertainment sector. Here are the most important:
Disney shares forecast
Disney is among the companies that are recovering fastest from the fallout from the pandemic.
Streaming services are doing very well and sectors that are still slow are accelerating, so it is only a matter of time to see a full recovery of all sectors of the company.
The 6-month chart below shows the uptrend of the Disney stock, which despite being very volatile continues its growth steadily.
Buying Disney shares with a medium / long-term perspective is considered an excellent investment by major international investors. Here are their analyzes and their predictions for the future of the Disney asset:
- Tigress Financial has reconfirmed the “buy” rating for Disney shares.
- Barclays reiterated a “buy” rating and issued a $ 135.00 price target on Walt Disney shares.
- Goldman Sachs Group has initiated hedging on Walt Disney shares. They issued a “buy” rating and a target price of $ 137.00 on the stock.
- Consumer Edge downgraded Walt Disney’s stock from an “overrating” rating to an “average rating” and set a price target of $ 125.00 for the stock.
- BMO Capital Markets raised the target price for Walt Disney shares from $ 140.00 to $ 150.00 and gave the stock an “outperformance” rating.
- Needham & Company LLC has reconfirmed a “suspension” of the rating on Walt Disney shares.
Disney Shares: Target Price
Wall Street analysts have issued positive valuations for Walt Disney shares. Their twelve-month target price is $ 160.00, predicting a sharp rise for the stock over a year.
Buying Disney shares is considered an excellent investment by major international investment banks. In our review, we explained which sectors are driving the stock and which are still in difficulty. We also examined the best platforms to invest in the stock safely and without paying commissions.
At this point, you just have to choose the broker to use and start investing in Disney shares.
If you have little trading experience, it is preferable to practice on a Demo account before investing seriously. After that, you can invest the minimum deposit required by the CFD Broker of your choice and start trading on real markets. Here are the official links to access the Demo accounts:
- Access the eToro Demo account for free by clicking here
- Register on ForexTB and try the Demo account by clicking here
- Access the IQ Option Demo account for free with this link
Yes, but you have to adopt the right strategy. In our guide we talk about it in depth.
CFD Brokers are the easiest and cheapest way to buy Disney shares safely.
eToro offers the best platform to buy Disney shares without paying commission.
The 12-month target price for Disney shares is $ 160.00 per share.