Walt Disney stock on Monday closed at its lowest level yet in 2023, nearing a 52-week low as the entertainment company’s recent slide continued.
A fall below $83.83 would mark Disney’s lowest closing price since 2014.
Walt Disney stock (ticker: DIS) ended Monday 3.5% lower to $85.56, while the S&P 500 index was ended with a 0.4% gain. Disney was the second-worst performer in the Dow Jones Industrial Average, which was up 0.2%. Only Verizon Communications stock (VZ), down 7.5%, had fallen more.
Disney stock is up just 1.7% from a 52-week closing low of $84.17 set on Dec. 28. If Disney stock ends below $83.83, it would mark the lowest close since 2014.
Shares have struggled in recent months as investors worried about the volatile media landscape, the Hollywood writers and actors strikes, and the near-term growth prospects of Disney’s theme-park business.
Disney CEO Bob Iger last week received a contract extension through 2026. He had led the company from 2005 through 2020 and rejoined Disney when it fired his successor Bob Chapek in November. The company said last month that Chief Financial Officer Christine McCarthy was stepping down, adding to recent turnover. Disney has rolled out 7,000 job cuts this year.
The cuts were wide-ranging and included high-profile ESPN talent and entertainment executives. The plans for layoffs followed a campaign from activist investor Nelson Peltz, who declared victory after the firm laid out its plans for cost cutting and an eventual return of Disney’s dividend.
The firm is navigating the decline of its profit-rich linear television businesses. The transition to streaming has proven to be choppy and expensive so far.
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