It's been an uninspiring first seven months of 2023 for Walt Disney (DIS -0.65%) investors. The stock is trading flat year to date and has failed to participate in the market rally. Will the eighth month be the charm?
Disney has a lot going on in August. It starts with fresh financials that will send the shares moving one way or the other next week. Investors will then have new streaming content, the return of a seasonal theme-park event, and a refashioned attraction area on tap for August.
Can Disney stock get back on track? Let's go over some of the dates in the month ahead for investors to watch.
Aug. 9
Disney will show the market its quarterly report card, and it's not shaping up to be a winner. Analyst estimates have been inching lower in recent weeks, and that's not a good sign for the House of Mouse.
Disney is now expected to post revenue of $20.4 billion for its fiscal third quarter that ended in June, a 5% year-over-year decline. Sluggish attendance trends for Central Florida tourist attractions in the final two months of the year, a few box-office duds, and the continuing erosion of linear TV as a business may eat into Disney's top-line growth.
The bottom line could be even worse. Wall Street pros who were expecting Disney to earn as much as $1.29 a share three months ago are now huddling around $0.89 a share as their target, 18% lower than where it landed last year.
It's not just about the past, of course. Disney will likely discuss how the writer and actor strikes will impact its content pipeline, saving money in the near term but at the expense of delaying upcoming releases. With CEO Bob Iger recently signing on for another two years, it will be worth noting if he updates his priorities or cost-shaving strategies.
Aug. 11
It may be too hot to start thinking about Halloween, but trick-or-treat season always comes early to theme-park operators when premium-priced nighttime experiences are available. Guests will have to pay between $109 to $199 on select nights from Aug. 11 to Nov. 1 to enjoy the Halloween-themed activities at Disney World's Magic Kingdom.
Disneyland's similar Oogie Boogie Bash doesn't start until Sept. 5, but that event is already sold out. Whether you're Disney offering a family-friendly experience or pumping up the scares the way most of its rivals do this time of year, Halloween has become a big way for gated attractions to improve their monetization.
Aug. 23
It was a Star Wars series that put Disney+ on the map when the premium streaming service launched in late 2019, and Disney isn't afraid of keeping that going. Ahsoka is the latest spinoff from the iconic Lucasfilm franchise and will premiere on Disney+ in three weeks.
Will Disney catch lightning in a bottle the way it did with 2019's The Mandalorian again? Many of the subsequent shows have fared well, but there's always the fear that Disney will dilute the franchise with so many offerings.
Aug. 31
Out at Disney's original resort in California, a new land is coming to Disney's California Adventure. San Fransokyo Square will officially open at the end of this month, themed to Pixar's Big Hero 6 franchise. There won't be any new rides going up in the area that once hosted the park's Pacific Wharf section. However, it does give Disney an opportunity to shake up the food-and-retail offerings at the gated attraction.
Between the new land makeover, streaming content, fresh financials, and the return of a popular seasonal attraction, August won't be a sleepy month for Disney. It continues to be the media-stock bellwether that investors keep watching, even if the shares have been a laggard since peaking in early 2021.
