Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why Disney's "Agents of S.H.I.E.L.D." Could Be Bigger Than "The Avengers"

Get ready, comic book fans!

Disney's (NYSE: DIS  ) Agents of S.H.I.E.L.D. premieres on Sept. 24, to much fanfare on the company's ABC network.

Image source: Marvel.

And yep, that's Clark Gregg in the middle, reprising his role as the beloved Agent Phil Coulson -- you know, the guy Thor's brother Loki so shockingly stabbed to death in The Avengers, and whose reappearance in AoS was enough to spawn a ridiculously popular #CoulsonLives hashtag on Twitter.

Better yet, the first official trailer for Agents of S.H.I.E.L.D. has already shown us the show isn't being planned as a prequel to last year's largest box office hit, with one of the primary characters even referencing Coulson's death before the action even begins:


To be sure, The Avengers ended up raking in more than $1.5 billion worldwide at the box office last summer, effectively securing its place behind only Avatar and Titanic as the third-highest grossing movie of all time.

What's more, The Avengers set dozens of records in the process, most notably including the highest-ever opening weekend gross, highest 10-day gross, and the fastest movie to reach the $500 million mark after just 23 days.

It should come as no surprise, then, that Disney has already confirmed at least two more Avengers sequels are in the works, with the next film set for release in May 2015.

Here's why Agents of S.H.I.E.L.D could be even more important
Though Disney is also set continue its box-office domination through Thor: The Dark World in November, followed by Captain America: The Winter Soldier next April, that still leaves some awfully big shoes to fill for Agents of S.H.I.E.L.D. in the meantime. 

And you know what? I think Agents of S.H.I.E.L.D. is more than capable of doing so.

In fact, there are a number of reasons to believe this compelling new show could prove itself even more important to Disney over the long run than its box-office counterparts in the Avengers franchise.

After all, pumping out big-budget movies can mean relatively chunky, unpredictable revenue over the short term, but Disney's Media Networks perennially stand alone as its single, largest source of revenue and operating income.

Last quarter, for example, Disney's Media Networks achieved 5% year-over-year revenue growth to $5.35 billion, representing more than 46% of the company's total sales. Even more important, Media Networks also grew operating income by 8% over the same period to $2.3 billion, or more than 68% of Disney's total in Q2.

Meanwhile, even on the heels of Iron Man 3, the Studio Entertainment segment last quarter achieved revenue of only $1.59 billion and operating income of $201 million. 

On one hand, though, much of the Media Networks growth came thanks to decent performances from Disney's stakes in ESPN, A&E, and the domestic Disney Channels. ABC, on the other hand, lost ground and will soon suffer through a resulting layoff of about 2% of its staff, or around 175 employees. 

As a result, it's safe to say if Agents of S.H.I.E.L.D. performs well, it could do wonders to prop up the one weak link in Disney's Media Networks, helping the segment to fire on all cylinders and further solidify the entire business.

But that's a lot of pressure!
So what else does Agents of S.H.I.E.L.D. have going for it?

Well, aside from the obvious broad consumer appeal nearly every Marvel property brings, note that The Avengers writer and director Joss Whedon has also signed on as the series' co-creator and executive producer, at least until pre-production on The Avengers 2 gets under way next March. 

What's more, Agents of S.H.I.E.L.D. will enjoy leadership from two executive producers in Jeffrey Bell, who previously wrote for The X-Files and Alias, and none other than Jeph Loeb, who not only currently serves as head of Marvel Television, but whose previous credits also include Smallville, LOST, Heroes, and major comic book work on Spider-Man, Hulk, Iron Man, Wolverine, Batman, and Superman

And with no less than 9,000 distinct characters in the Marvel Universe, there's virtually no end to the possible cameos, storylines, and character offshoots this series could ultimately spawn over the course of what could end up quite literally being decades of superhero-centric TV entertainment from Disney.

Finally, Agents of S.H.I.E.L.D. should also afford Disney the opportunity to profit down the road through royalties as well as physical and digital media sales.

All things considered, that's why I'm convinced this show could prove even bigger to Disney than its big-screen counterparts.

In the end, the world simply can't get enough of superheroes. If you'd like to read more about how to take advantage of this trend as superhero franchises continue to grow, The Motley Fool's new free report "Your Ticket to Cash In on the Superhero Battle of the Century" details what you need to know to profit from your favorite superheroes. Click here to read the full report!

Read/Post Comments (7) | Recommend This Article (8)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On August 31, 2013, at 2:11 PM, saabhubby wrote:

    ABC is putting this show against the NCIS ratings juggernaught (sp). It'll be interresting to see how this plays out. NCIS is very popular even with the younger crowd and they are coming off a very dramatic cliff hanger from Season 10. For myself, even though I am very interested in this show (and I'm 48), I will be watching it online and will tune into NCIS as usual.

  • Report this Comment On August 31, 2013, at 3:16 PM, dizlv wrote:

    I've been looking forward to this show since I heard it was a *possibility*. And even more so the more I hear about it.

    (Still, though, the #CoulsonLives hashtag started being used widely just after his death in Avengers. It predated the actual news of his survival by months!)

  • Report this Comment On August 31, 2013, at 8:34 PM, Alericc wrote:

    You can tell Steve really wants to see this show, never mind that it has almost nothing to do with the original comic series. Add in Josh Whedon and its just another Buffy love fest for the Whedonites.

  • Report this Comment On August 31, 2013, at 10:46 PM, Peyten18 wrote:

    I have to agree with the above statement I will tune into NCIS and dvr this or watch it on On Demand a few days later.

  • Report this Comment On September 01, 2013, at 11:47 AM, TMFMileHigh wrote:

    Hey Steve,

    I had the good fortune of screening the entire first episode at Comic-Con, and without spoiling anything, I can say three things:

    1. Joss directed the first episode, and as you might expect, he includes plenty of callbacks to the recent Marvel films. Just as 'Arrow' is becoming a testbed for other DC properties, "Agents" will be a springboard for new Marvel films and TV shows.

    2. The team's purpose is clear from the outset, and (I think) it properly sets the stage for introducing new characters and adversaries sooner rather than later.

    3. The show's blend of humor and drama is pure Whedon. I won't be surprised if fans of "The Avengers" are drawn in by the show, creating an even bigger groundswell for new Marvel films.




    TMFMileHigh in CAPS and on the boards

    @milehighfool on Twitter

  • Report this Comment On September 01, 2013, at 4:26 PM, berkeleyhills wrote:

    Well it certainly looks fun. Demographic skewed but that's to be expected and I'll miss that weary been there done that vibe that the comic always enjoyed and the film had so much fun with. Not sure a lot of character development is achieved by slowly taking sunglasses off or by surfing the Olivia Munn meme by casting a look alike but TV ain't the movies where it's all about the salt. And you have the ratings booster rocket of a guest appearance to rely on. I suspect the show will be brought on slowly since, as noted in the piece, the greater Marvel Universe is ASTOUNDINGLY complicated. (Wait? What? Galactus is back?) It'll do fine...not The Avengers fine but certainly hold it's own.

  • Report this Comment On September 03, 2013, at 7:49 PM, TMFSymington wrote:

    Hey Tim,

    I'm envious you got to attend Comic-Con in the first place!

    In any case, I can't wait to see where Marvel takes AoS...should be fun to watch as both an investor and a fan. (grin)


    Steve (TMFSymington)

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2618107, ~/Articles/ArticleHandler.aspx, 9/30/2016 6:16:45 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 9 hours ago Sponsored by:
DOW 18,143.45 -195.79 -1.07%
S&P 500 2,151.13 -20.24 -0.93%
NASD 5,269.15 -49.39 -0.93%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/29/2016 4:00 PM
DIS $91.80 Down -0.40 -0.43%
Walt Disney CAPS Rating: *****