Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Nyse  >  Walt Disney Company (The)    DIS

WALT DISNEY COMPANY (THE)

(DIS)
  Report  
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector newsAnalyst Recommendations

Disney+ Signs Up 10 Million Users, Stirring Investors -- WSJ

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/14/2019 | 02:48am EST

By Erich Schwartzel

LOS ANGELES -- Walt Disney Co.'s flagship streaming service has signed up 10 million users, the company said the day after Disney+ launched.

Disney had been offering subscriptions for several months before Tuesday's launch, including some at a significant discount.

Investors were encouraged by the numbers as Disney shares closed at an all-time high Wednesday. The stock rose 7.3% to finish at $148.72, and it now has risen more than 35% in 2019. Disney, a member of the Dow Jones Industrial Average, was responsible for about 75% of the index's gains Wednesday.

Reaching 10 million subscribers about 24 hours after the formal launch appears to be a robust start for the company, but it's unclear how much each of those customers is worth to Disney. One of the company's most popular subscription promotions sold a three-year deal for roughly $141, or less than $4 a month.

A deal offering a free year of the service to certain Verizon Communications Inc. customers is also likely contributing a significant number of sign-ups.

Speaking at a conference in Barcelona on Wednesday, Verizon's finance chief said about 17 million accounts at the carrier are the kind of unlimited plans that are eligible for the Disney+ promotion.

The CFO, Matt Ellis, declined to say exactly how many of the carrier's customers have begun using the video streaming service, but said "we would expect a pretty significant number" of eligible subscribers to take advantage of the offer.

Disney entered an already-competitive field that is only going to get more crowded in the coming months. Netflix Inc. dominates with 61 million domestic subscribers and another 98 million overseas. Disney+ is so far only available in the U.S., Canada and the Netherlands, but is to expand to foreign markets in the coming months.

Amazon.com Inc., CBS Corp. and even Disney's own Hulu have entrenched online-video presences. Apple Inc. recently introduced Apple TV+, which at $4.99 a month is even more affordable than Disney+, though its limited starting lineup of just nine shows makes it a less-than-formidable competitor, at least for now.

AT&T Inc.'s HBO Max and Comcast Corp.'s Peacock, slated to launch next year, will further test the public's appetite for subscription entertainment packages. Last week Disney disclosed that its ESPN+, which offers sports-oriented programming for $4.99 a month, has 3.5 million subscribers.

Disney has told investors it expects Disney+ to have between 60 million and 90 million subscribers by the end of fiscal 2024, at which point it should achieve profitability.

The Disney+ launch was marred by technical glitches that slowed streaming and kicked users out of the app for several hours. The issues, which were resolved by the end of the day, were driven by servers overwhelmed by the demand of continuous streaming and a large number of sign-ups.

Disney has priced its service at $6.99 a month -- around half the cost of Netflix's most popular plan -- hoping to attract a large number of new users right out of the gate.

Disney+ is counting on two primary kinds of programming to draw users: original shows such as the Star Wars spinoff "The Mandalorian" and a reboot of "High School Musical," and an archive of classic Disney titles, ranging from animated classics like "Bambi" to live-action features such as "Sister Act." The service includes about 500 movies and 7,500 TV episodes in total.

Disney said it would not issue further updates on its subscriber figures outside of quarterly earnings calls with investors.

Sarah Krouse contributed to this article.

Write to Erich Schwartzel at erich.schwartzel@wsj.com

Stocks mentioned in the article
ChangeLast1st jan.
DJ INDUSTRIAL 0.10% 27677.79 Delayed Quote.18.53%
NASDAQ 100 0.14% 8308.396727 Delayed Quote.30.41%
NASDAQ COMP. 0.05% 8570.701343 Delayed Quote.28.41%
S&P 500 0.15% 3117.43 Delayed Quote.24.17%
UNITED PARCEL SERVICE -1.25% 115.01 Delayed Quote.19.42%
WALT DISNEY COMPANY (THE) -0.57% 147.44 Delayed Quote.35.50%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on WALT DISNEY COMPANY (THE)
12/04WALT DISNEY : Announces Semi-Annual Cash Dividend of $0.88 Per Sha…
PU
12/04THE WALT DISNEY COMPANY : Announces Semi-Annual Cash Dividend of $0.88 Per Share
BU
12/04WALT DISNEY : Thinking about trading options or stock in Apple, Alibaba, Bank of..
PR
12/03WALT DISNEY : Cicely Tyson, Seth MacFarlane joining TV Hall of Fame
AQ
12/02Communications Services Down On Merger Doubts -- Communications Services Roun..
DJ
12/02The EU is not finished yet with Google
12/01Frozen 2' Sets Thanksgiving Holiday Box-Office Record
DJ
12/01WALT DISNEY : Protests Have Turned Hong Kong Disneyland Into a 'Ghost Town'
DJ
11/30AMAZON.COM, TIFFANY, WALT DISNEY : Stocks That Defined the Week -- WSJ
DJ
11/29AMAZON.COM, TIFFANY, WALT DISNEY : Stocks That Defined the Week
DJ
More news
Financials (USD)
Sales 2020 81 834 M
EBIT 2020 15 230 M
Net income 2020 8 558 M
Debt 2020 35 499 M
Yield 2020 1,29%
P/E ratio 2020 31,1x
P/E ratio 2021 26,1x
EV / Sales2020 3,68x
EV / Sales2021 3,58x
Capitalization 266 B
Chart WALT DISNEY COMPANY (THE)
Duration : Period :
Walt Disney Company (The) Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends WALT DISNEY COMPANY (THE)
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 30
Average target price 157,50  $
Last Close Price 147,44  $
Spread / Highest target 18,7%
Spread / Average Target 6,82%
Spread / Lowest Target -11,8%
EPS Revisions
Managers
NameTitle
Robert A. Iger Chairman & Chief Executive Officer
Christine M. McCarthy Chief Financial Officer & Senior Executive VP
Susan E. Arnold Lead Independent Director
Maria Elena Lagomasino Independent Director
Mark G. Parker Director
Sector and Competitors
1st jan.Capitalization (M$)
WALT DISNEY COMPANY (THE)35.50%267 260
COMCAST CORPORATION27.78%197 938
THE LIBERTY SIRIUSXM GROUP28.47%15 057
FORMULA ONE GROUP44.27%10 176
ITV PLC12.98%7 388
RTL GROUP-10.84%7 093