{"id":170020,"date":"2020-05-05T12:29:26","date_gmt":"2020-05-05T16:29:26","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=170020"},"modified":"2020-05-05T12:29:26","modified_gmt":"2020-05-05T16:29:26","slug":"disney-empire-maimed-by-coronavirus-menace","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2020\/05\/disney-empire-maimed-by-coronavirus-menace\/","title":{"rendered":"Disney empire maimed by coronavirus menace"},"content":{"rendered":"
May 5, 2020<\/div>
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By Han Tan, Market Analyst, <\/strong>ForexTime<\/strong><\/a><\/p>\n

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After US markets close on Tuesday, May 5, Disney\u2019s shareholders will be bracing for the worst, as they come face-to-face with the company\u2019s latest quarterly earnings which is expected to lay bare the financial damage caused by the Covid-19 pandemic.<\/p>\n

Overall, Disney\u2019s profits for the first three months of 2020 are expected to be slashed by half.<\/p>\n

Disney\u2019s land: a not-so-happy place on earth<\/strong><\/p>\n

Disney\u2019s theme parks had been a constant source of revenue and profits for the world\u2019s largest entertainment company. In 2019, over a third of Disney\u2019s total revenue for the year came from its parks, experiences and products segment, which also contributed nearly half of its operating income.<\/p>\n

Covid-19\u2019s global reach has put a dark twist to one of Disney\u2019s most iconic theme park attractions, proving that it indeed is a \u2018small world after all\u2019. Disney\u2019s 14 theme parks have been shut all across the globe, with no definite timeline as to when they might reopen. And when they eventually reopen, the parks could well miss out on the summer crowd. One also has to wonder whether the \u201cnew normal\u201d would even allow for tens of millions of people to roam freely around any theme park.<\/p>\n

Disney\u2019s media networks and studio entertainment, two segments which together accounted for about half of the company\u2019s total revenue last year, have also been slammed hard by the coronavirus outbreak. The coronavirus has caused Disney\u2019s pipeline of produced content to run dry, with the entertainment industry choked by lockdown measures. Live sporting events have been yanked, while big theatrical releases such as Mulan have been pushed back.<\/p>\n

Can the Disney empire strike back?<\/strong><\/p>\n

Set against such depressing business conditions, even the excitement surrounding Disney+ won\u2019t be enough to cast aside the near-term gloom for the House of Mouse, despite the streaming platform being well on-course to hit its target of 60-90 million subscribers worldwide by 2024. As the Star Wars Day celebrations on May 4 give way to harsh evidence of an ailing business empire, Disney\u2019s shares could well lose their claim of having entered a technical bull market since March 23, especially if its fiscal Q2 results prove worse than expected.<\/p>\n

Shareholders will be eager to find out if new CEO, Bob Chapek, can signal a new hope amid the raging uncertainties. Only time will tell how well Disney\u2019s resistance prevailed against the coronavirus menace.<\/p>\n

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Disclaimer: <\/strong>The content in this article comprises personal opinions and should not be construed as containing personal and\/or other investment advice and\/or an offer of and\/or solicitation for any transactions in financial instruments and\/or a guarantee and\/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.<\/em><\/p>\n<\/div>\n

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\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By Han Tan, Market Analyst, ForexTime After US markets close on Tuesday, May 5, Disney\u2019s shareholders will be bracing for the worst, as they come face-to-face with the company\u2019s latest quarterly earnings which is expected to lay bare the financial damage caused by the Covid-19 pandemic. Overall, Disney\u2019s profits for the first three months of […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-170020","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/170020","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=170020"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/170020\/revisions"}],"predecessor-version":[{"id":170026,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/170020\/revisions\/170026"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=170020"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=170020"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=170020"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}