5 Best Reopening Stocks to Buy Now

2. The Walt Disney Company (NYSE: DIS)

Number of Hedge Fund Holders: 112

The Walt Disney Company (NYSE: DIS) is a multinational media and entertainment company. The company has business in mainly four segments, including media networks, studio entertainment, parks, and experiences and products. The Walt Disney Company (NYSE: DIS) is one of the largest entertainment producers and providers globally.

According to RBC Capital, The Walt Disney Company (NYSE: DIS) could exhibit growth momentum for at least the next two quarters due to the reopening of theme parks. Moreover, the television and direct-to-consumer sectors will also continue to grow as the company reported nearly 174 million subscriptions at the end of Q3 2021. The Walt Disney Company (NYSE: DIS) generated $17 billion in revenue, up from $11.7 billion during the same period last year. Argus lifted its price target on The Walt Disney Company (NYSE: DIS) to $255, with a ‘Buy’ rating. The stock soared by 36.04% in the past year.

As of Q2 2021, 112 hedge funds tracked by Insider Monkey have positions in The Walt Disney Company (NYSE: DIS), worth over $10.8 billion.

RiverPark Funds released its second-quarter 2021 investor letter and mentioned The Walt Disney Company (NYSE: DIS) in it. Here is what the firm has to say:

“DIS shares declined for the quarter, taking a pause after a big fourth quarter and first quarter stock price advance, as Disney+ subscriber numbers were disappointing to investors. Disney+, the company’s DTC streaming business, had blown past previous subscriber projections, having gone from zero to 104 million in 17 months, but investors were now expecting 109 million subscribers. Management still expects significant continued growth to 230-260 million subscribers in 2024.

DIS is blessed with a deep library of unique content that includes both live sports (providing large, non-time shifted audiences) and incomparable brands including Disney, Marvel, Pixar and Lucasfilm, as well as the ABC network. The company also has a wealth of upcoming new content, expecting over 100 original titles per year, including two new Star Wars spin-off series, 10 Star Wars films, 10 Marvel films, 15 Disney and Pixar films and 15 Disney and Pixar series.

Now that the disruption in its theme park, cruise and theatrical businesses appears to be coming to an end, we believe that Disney is among the best-positioned media companies in the new landscape to combine multi-channel and DTC distribution. We also note that DIS has an extremely strong balance sheet and a growing pool of free cash flow to be used both to return to shareholders and to invest in future opportunities.”