Image: Since the beginning of 2018, Disney’s shares have fallen, while the S&P 500 has surged. Though we liked the company more recently, we no longer include shares in the Best Ideas Newsletter portfolio.
Disney has its hands full with its feud with Florida Governor DeSantis, a weakening linear television market, and intense rivalries in the streaming market. All of this won’t be solved overnight and might even worsen. From where we stand, investors simply don’t need the complexity of the Disney story at this time, and the company’s 5-year returns tell the story of a troubled company. With shares of Disney largely fairly valued, we won’t be adding the company back to the Best Ideas Newsletter portfolio anytime soon.
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