Walt Disney: Celebrating 100 Years of Success

Walt Disney, the iconic entertainment company, is commemorating its 100th birthday. Despite some recent challenges, long-term shareholders can rejoice in their investment.

A Legacy of Animation and Theme Parks

On October 16, 1923, Walt Disney and his brother Roy established the Disney Brothers Cartoon Studio. From the early days of classics like Steamboat Willie, which introduced Mickey Mouse, to the visually stunning masterpieces like Snow White and the Seven Dwarfs, Disney has continuously pushed the boundaries of hand-drawn and digital animation. Today, their extensive content library forms the foundation of a vast theme-park empire.

Overcoming Obstacles

Throughout its century-long history, Disney has faced its fair share of controversies and struggles. From strikes to changes in executive leadership, and even disputes with Florida Governor Ron DeSantis, the company has weathered various storms along the way. However, these challenges have not deterred long-term shareholders from reaping substantial returns on their investments.

Impressive Returns for Shareholders

Dow Jones Markets Data provides insights into Disney’s stock performance since January 1972. This data reveals that Disney’s stock has generated a staggering 6,139% return without dividends and an impressive 9,847% return including dividends. In comparison, the S&P 500 index has yielded a price return of 4,075% during the same period, from January 21, 1972, to present day.

Investing in Disney: A Lucrative Choice

To put these numbers into perspective, let’s consider an example. If someone had invested $100 in Disney back in 1972, their investment would be worth $6,238.91 today without dividends or an astounding $9,946.59 when factoring in dividend payouts.

Certainly, Walt Disney’s journey over the past century has been marked by triumphs and challenges. However, the enduring success of the company and the remarkable returns for shareholders serve as a testament to Disney’s ability to captivate audiences and deliver value year after year.

Disney: Navigating Challenges and Seeking a Rebound

A Look at Disney’s Stock Performance

In its rich history, Disney’s stock has experienced both triumphs and setbacks. Remarkably, 1973 stands as the stock’s worst year, plunging by 59%. On the other hand, 1975 marked a stellar year for Disney with a remarkable gain of 140%. Over the years, Disney stock has closed higher for 31 years since 1972, while experiencing losses in 20 years.

The Excitement Surrounding Disney’s Streaming Endeavor

Struggles Amidst New Strategies

Since Iger’s return, Disney has implemented several changes, including price hikes for streaming movies and shows on Disney+ as well as visiting their iconic theme parks. However, these transitions haven’t yielded the desired results. In fact, Disney stock has witnessed a significant decline, tumbling by 58% from its record high.

Lingering Decline and Hope for Recovery

So far this year, the stock has experienced a modest decrease of around 2%, putting it on track for its third consecutive annual decline. Should the shares end 2023 in the red, this would mark the longest yearly losing streak since 2002’s five-year series of losses.

As Disney treads through the challenges, the world watches with bated breath to see if the company can reclaim its former glory.