12 Best News and Digital Media Stocks To Buy

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2. The Walt Disney Company (NYSE:DIS)

Number of Hedge Fund Holders: 76

The Walt Disney Company (NYSE:DIS) is a diversified worldwide entertainment company that functions through the Entertainment, Sports, and Experiences segments. Through its Entertainment segment, it offers non-sports-focused global television, film, and direct-to-consumer video streaming content production and distribution activities. The company’s Sports segment operates ESPN and Star.

The company holds significant market popularity. It ended fiscal Q4 2024 with 174 million Disney+ Core and Hulu subscriptions. The addition of Hulu on Disney+ has provided an all-encompassing platform with diversified content for all ages. It is invested to make its streaming business a significant growth driver for the company. For that, it is strengthening its streaming offering by introducing an ESPN title on Disney+.

The Walt Disney Company (NYSE:DIS) has secured rights to several of the most popular sports for years to come, contributing to a competitive and industry-leading portfolio of sports programming for Disney. This integrated streaming experience has taken the company one step closer to bringing a full sports offering to Disney+ in the US as it prepares for the launch of ESPN’s flagship DTC offering in early fall 2025.

In addition, the Walt Disney Company’s (NYSE:DIS) collaboration with Epic Games will allow it to integrate its popular franchises and brands in a transformative new entertainment and games universe. It ranks second on our list of the best news and digital media stocks to buy.

Diamond Hill Capital Long-Short Fund stated the following regarding The Walt Disney Company (NYSE:DIS) in its first quarter 2024 investor letter:

“Other top Q1 contributors included Meta Platforms, Citigroup and The Walt Disney Company (NYSE:DIS). Media and entertainment company Walt Disney faced — and defeated — an activist campaign and proxy battle during the quarter, giving a boost to shares. Profitability has also improved — with the company announcing it expects to reach double-digits profitability in its streaming business — and it announced forthcoming capital returns to shareholders.”

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