Disney Stock Downgraded as Analyst Warns of 'Unrivaled Earnings Risk' Due to Pandemic

  • 📰 THR
  • ⏱ Reading Time:
  • 43 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 53%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

MoffettNathanson analyst Michael Nathanson downgraded his rating on Walt Disney's stock to 'neutral' due to the novel coronavirus pandemic, writing: 'The economic impact on the company will be longer than most anticipate.' Details:

"We believe the economic impact on the company will be longer than most anticipate, especially given the risks of a second wave of infections after reopening," writes MoffettNathanson's Michael Nathanson.

"There are a number of risks that could lead this unprecedented event to have a longer impact, with earnings revisions massively skewed to the downside," he wrote in a report. "Our Disney downgrade is also an admission that we believe the economic impact on the company will be longer than most anticipate, especially given the risks of a second wave of infections after reopening.

The analyst further reduced his earnings forecasts for Disney, explaining: "We do expect Disney to be given a pass from investors on fiscal year 2020 earnings and to some degree fiscal year 2021 as the impact of the pandemic likely lingers. However, we are also reducing our fiscal year 2022 forecasts to factor in the additional risk and uncertainty about what a new normal will look like across most of Disney’s businesses.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 411. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Southwest Airlines stock could be a smart buy, market analyst says - Business InsiderSouthwest has put itself in a strong position to weather the coronavirus crisis, according to a Wall Street analyst who upgraded its stock rating.
Source: BusinessInsider - 🏆 729. / 51 Read more »