Walt Disney Co (NYSE:DIS) is set to announce its quarterly financial results Wednesday after the bell. Here's what to watch for when the company reports.
The Magic Key: It all comes down to whether investors solely focus on Disney's streaming business or decide to consider all aspects of the company's performance, Market Rebellion co-founder Pete Najarian said Wednesday on CNBC's "Fast Money Halftime Report."
Investors are anxiously awaiting Disney's streaming numbers after Netflix Inc (NASDAQ:NFLX) reported a decline in its subscriber base, the company's first subscriber loss in more than 10 years.
Related Link: Hopes Pinned On Walt Disney, After Netflix Streams Hugely Disappointing Subscriber Numbers
"If you look at the entire composite, it's going to be a lot more positive than people think, but if the focus is directly on streaming, then I think we're going to see a little bit more of the pressure to the downside for Disney," Najarian said.
Disney has been one of the worst performing Dow Jones stocks for nearly two years. Najarian cites investor tunnel vision related to Disney+.
"I think people are only focusing on streaming," he emphasized. "Yes, that is the future to some degree, but let's not be so blind to the idea that the parks are absolutely jammed ... they've got movies that are coming out that people are very excited about ... and it's continuing to reopen more and more. I think there are a lot of reasons to be bullish on Disney right now."
DIS Price Action: Disney is making new 52-week lows on Wednesday.
The stock was down 1.92% at $105.64 at press time, according to data from Benzinga Pro.
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Photo: onecrazykatie from Pixabay.
