10 Best Stocks to Buy According to Value Investor Oldfield Partners

6. Walt Disney Company (NYSE:DIS)

Oldfield Partners’ Stake Value: $51,293,214

Percentage of Oldfield Partners’ 13F Portfolio: 9.69%

Number of Hedge Fund Holders: 29

In Q3, Walt Disney Company (NYSE:DIS) saw a 2% increase in revenue, driven by the strong appeal of its intellectual property (IP) in its parks, which continues to attract visitors. Although there was a slight decrease in demand, it was not significant. The Experiences division is divided between domestic parks and international ventures, with domestic parks and cruise ships making up 60% of operating income. Attendance remained steady, with a slight increase in per capita spending. For Q4, revenue from parks is expected to be flat, with some expenses related to cruise ships affecting results in 2024 and 2025. However, the entertainment sector, including upcoming releases like “Moana 2” and “Mufasa,” is expected to offset this slowdown.

Disney’s (NYSE:DIS) new NBA deal, which begins in a year, secures valuable sports programming for ESPN, including long-term access to the finals and international rights, which is anticipated to drive significant revenue. The deal also supports ESPN’s shift to digital platforms, with future growth expected from new advertising and distribution opportunities.

Disney (NYSE:DIS) has received 183 Emmy nominations for shows like “Shogun” and “The Bear,” and its film lineup continues to perform well. The success of its IP across Disney, Fox, Hulu, and other platforms is driving increased consumption and pricing power. The company is optimistic about future growth, bolstered by a strong advertising market and the addition of features like improved recommendation engines and new programming.

Disney’s advertising revenue grew by 8% overall, with ESPN up 17% and DTC streaming up 20%. The ad market remains robust, benefiting from live sports and strong streaming content. Disney’s new capability, Disney Streaming, enhances audience targeting for advertisers. While Disney continues its licensing strategy selectively, the primary focus remains on producing and monetizing its own IP.