Disney Q2 Profit Beats View as Movie Revenue Soars (DIS)

By Dividend.com Staff,

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Entertainment giant The Walt Disney Company ( DIS ) said late Tuesday that its second quarter profit surged 55% from last year, helped by higher revenues and lower costs.

The Burbank, CA-based company reported fiscal second quarter net income of $953 million, or 48 cents per share, compared with $613 million, or 33 cents per share, in the year-ago period.

Revenue rose 6% from last year, to $8.6 billion.

On average, Wall Stret analysts expected a smaller profit 46 cents per share, on lower revenue of $8.4 billion.

The company said that strong box office sales for its movies and a turnaround in ad spending on its TV networks helped propel its latest earnings results.

Still, Disney shares fell $1.06, or -3%, in premarket trading Wednesday.

The Bottom Line
We recently removed shares of DIS from our recommended list, when the stock was trading at $37.04. The company has a .98% dividend yield, based on last night's closing stock price of $35.76. The stock has technical support in the $30-$31 price area. If the shares can firm up, we see overhead resistance around the $38 price level. We would remain on the sidelines for now.

The Walt Disney Company ( DIS ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Created by Dividend.com

This article appears in: Investing Stocks
Referenced Stocks: DIS

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