12 Best Large Cap Stocks To Buy Now

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10. Walt Disney Co. (NYSE:DIS)

Market Capitalization as of September 13: $164.30 billion

Number of Hedge Fund Holders: 92

Walt Disney Co. (NYSE:DIS) is a mass media and entertainment conglomerate known for its iconic characters, stories, and experiences. It produces movies, television shows, theme parks, and consumer products and also owns Disney+, a popular streaming service that offers a vast library of Disney content.

In July, NBA signed an 11-year media agreement with Walt Disney Co. (NYSE:DIS), granting the company exclusive rights to stream all NBA and WNBA live events and programming on its upcoming ESPN consumer platform, set to launch in 2025. The company’s commitment to producing high-quality content is evident from its 183 Emmy nominations for shows like Shotgun and The Bear.

Its cruise ships remain popular and provide family-themed voyages. In August, Disney Cruise Line announced an order for 5 new ships, which are expected to be delivered between 2027 and 2031, on top of 4 other vessels already scheduled to debut. Over the next 7 years, these 8 ships are projected to be over 2x the company’s existing fleet of 5 ships.

In the FQ3 2024, revenue was $24.5 billion, recording an improvement of 7% year-over-year. The company is poised for significant growth with its strategic $5 billion investment in film and television production across the UK and Europe over the next 5 years.

With recent successes at the box office and a profitable streaming segment, Disney is well-positioned to capitalize on its market leadership. 92 hedge funds stakes in the company, with the highest stake at $787.8 million by Fisher Asset Management.

Mar Vista Focus strategy stated the following regarding The Walt Disney Company (NYSE:DIS) in its Q2 2024 investor letter:

“The Walt Disney Company’s (NYSE:DIS) shares declined after its earnings release, even though the company exceeded recently upgraded financial forecasts. While Disney+ and Hulu reached a milestone by turning their first quarterly profit, the company cautioned about theme park attendance returning to pre-pandemic norms. This signals a deceleration following a period of exceptional growth, impacting the stock as theme parks and experiences account for roughly 60% of Disney’s earnings. Despite broader consumer worries, Disney’s stock is still trading with a significant discount to fair value. We expect the gap between Disney’s market price and its intrinsic value to shrink as its streaming division evolves and increases profitability over time.”

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