Shares of Walt Disney (DIS -1.93%) declined on Friday, following the release of the entertainment giant's fiscal second-quarter results. By the close of trading, Disney's stock price was down 2.6% after falling as much as 5.4% earlier in the day.
Coronavirus-related closures were expected to weigh heavily on Disney's parks and resorts business. That much was true. Revenue in the company's parks, experiences, and products segment sank 44% year over year to $3.2 billion.
Fortunately, Disney+ has emerged as a powerful growth driver for the media conglomerate during the COVID-19 crisis. Wall Street had expected the popular streaming service's subscriber count to rise to 109 million by the end of the second quarter. This important figure, however, came in at only 103.6 million.
Despite the shortfall, management reiterated its long-term growth forecast for Disney+ during a conference call with analysts. "We are on track to achieve our guidance of 230 million to 260 million subscribers by the end of fiscal 2024," CEO Bob Chapek said.
Moreover, with vaccinations ramping up, Disney's parks and resorts business could enjoy a recovery this summer.
For these reasons, investors may wish to use this decline in the entertainment tian's stock price as a potentially lucrative buying opportunity.