Diamond Hill Capital Management Inc. Sells 182,104 Shares of The Walt Disney Company $DIS

Key Points

• Diamond Hill Capital Management reduced its Disney stake by 5.7% in the fourth quarter, selling 182,104 shares and leaving it with 3,023,740 shares valued at about $344 million.
• Disney recently topped Wall Street expectations in its fiscal Q2 results, with EPS of $1.57 and revenue of $25.17 billion, while analysts have continued to raise price targets and maintain broadly bullish ratings.
• The company faces both opportunity and risk: it is pushing to revive Star Wars box office momentum with The Mandalorian and Grogu, but it is also dealing with lawsuits over facial-recognition technology at theme park entrances.

Diamond Hill Capital Management Inc. lessened its stake in The Walt Disney Company (NYSE:DIS - Free Report) by 5.7% in the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 3,023,740 shares of the entertainment giant's stock after selling 182,104 shares during the period. Walt Disney makes up about 1.8% of Diamond Hill Capital Management Inc.'s holdings, making the stock its 18th biggest holding. Diamond Hill Capital Management Inc. owned 0.17% of Walt Disney worth $344,011,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors and hedge funds have also recently made changes to their positions in the stock. Vanguard Group Inc. grew its position in Walt Disney by 0.8% in the fourth quarter. Vanguard Group Inc. now owns 159,342,154 shares of the entertainment giant's stock worth $18,128,357,000 after acquiring an additional 1,220,207 shares in the last quarter. State Street Corp raised its position in Walt Disney by 3.0% during the third quarter. State Street Corp now owns 82,019,749 shares of the entertainment giant's stock valued at $9,391,261,000 after purchasing an additional 2,376,706 shares in the last quarter. Invesco Ltd. raised its position in Walt Disney by 6.5% during the third quarter. Invesco Ltd. now owns 12,994,916 shares of the entertainment giant's stock valued at $1,487,918,000 after purchasing an additional 790,365 shares in the last quarter. Amundi lifted its stake in Walt Disney by 2.0% during the third quarter. Amundi now owns 12,971,705 shares of the entertainment giant's stock worth $1,462,645,000 after purchasing an additional 254,626 shares during the last quarter. Finally, Alliancebernstein L.P. boosted its holdings in shares of Walt Disney by 4.3% in the 3rd quarter. Alliancebernstein L.P. now owns 12,650,425 shares of the entertainment giant's stock worth $1,448,474,000 after purchasing an additional 515,938 shares in the last quarter. Hedge funds and other institutional investors own 65.71% of the company's stock.

Key Walt Disney News

Here are the key news stories impacting Walt Disney this week:

• Positive Sentiment: Disney’s stronger-than-expected fiscal Q2 results, along with bullish analyst commentary, are reinforcing the view that streaming, content, and Parks & Experiences are improving. Major investors such as Sound Shore Management also reiterated Disney as a core holding, suggesting confidence in the company’s balance sheet and multi-year turnaround. Should Disney’s Strong Q2 and Institutional Support Require Action From Walt Disney (DIS) Investors?
• Positive Sentiment: Disney is trying to reignite its film franchise with the theatrical release of The Mandalorian and Grogu, betting that a popular Star Wars character can drive box office interest and broader franchise momentum. Disney sends Baby Yoda to bring 'Star Wars' fans to theaters
• Neutral Sentiment: Zacks highlighted Disney as a long-term value stock, which may help support the investment case but does not appear to be a major fresh catalyst on its own. Why Walt Disney (DIS) is a Top Value Stock for the Long-Term
• Negative Sentiment: Disney is facing multiple lawsuits over its new facial-recognition technology at theme park entrances, creating legal and reputational risk and potentially raising regulatory scrutiny around guest privacy practices. Disney Already Facing Lawsuit Over Controversial Facial Scanning at Theme Parks
• Negative Sentiment: A class-action suit alleging misuse of facial recognition at Disneyland entrances adds to near-term overhang for Disney’s parks business, even though the company says the technology is meant to speed guest entry. Disney sued over new facial recognition technology at Disneyland entrances

Walt Disney Trading Down 0.4%

NYSE DIS opened at $103.66 on Friday. The firm has a market cap of $180.00 billion, a PE ratio of 16.56, a price-to-earnings-growth ratio of 1.36 and a beta of 1.41. The Walt Disney Company has a 1-year low of $92.18 and a 1-year high of $124.69. The stock has a 50-day moving average of $101.10 and a 200-day moving average of $106.08. The company has a current ratio of 0.68, a quick ratio of 0.62 and a debt-to-equity ratio of 0.33.

Walt Disney (NYSE:DIS - Get Free Report) last posted its quarterly earnings results on Wednesday, May 6th. The entertainment giant reported $1.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.49 by $0.08. Walt Disney had a return on equity of 8.92% and a net margin of 11.54%.The business had revenue of $25.17 billion for the quarter, compared to analyst estimates of $24.87 billion. During the same period last year, the company earned $1.45 EPS. Walt Disney's revenue for the quarter was up 6.5% compared to the same quarter last year. Walt Disney has set its FY 2026 guidance at 6.640-6.640 EPS. As a group, sell-side analysts forecast that The Walt Disney Company will post 6.85 EPS for the current year.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on DIS shares. Guggenheim increased their price objective on Walt Disney from $115.00 to $120.00 and gave the company a "buy" rating in a research report on Thursday, May 7th. JPMorgan Chase & Co. upped their target price on Walt Disney from $138.00 to $139.00 and gave the stock an "overweight" rating in a research note on Thursday, May 7th. The Goldman Sachs Group reiterated a "buy" rating and set a $151.00 price target on shares of Walt Disney in a research report on Monday, February 2nd. Phillip Securities raised shares of Walt Disney from a "moderate buy" rating to a "strong-buy" rating in a research note on Monday, May 11th. Finally, Morgan Stanley assumed coverage on shares of Walt Disney in a report on Tuesday, February 3rd. They issued an "overweight" rating and a $135.00 price objective for the company. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $134.47.

Walt Disney Profile

The Walt Disney Company NYSE: DIS, commonly known as Disney, is a diversified global entertainment and media conglomerate headquartered in Burbank, California. Founded in 1923 by Walt and Roy O. Disney, the company grew from an animation studio into a multi‑national entertainment enterprise known for iconic intellectual property and family‑oriented storytelling. Disney's operations span film and television production, streaming services, theme parks and resorts, consumer products, and live entertainment.

On the content side, Disney produces and distributes feature films and television programming through a portfolio of studios and labels that includes Walt Disney Pictures, Pixar, Marvel Studios, Lucasfilm and 20th Century Studios, along with broadcast and cable networks such as ABC, FX and National Geographic.

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