It's a brand new month for Walt Disney (DIS -0.58%). The stakes are high for the bellwether media stock in November. We'll have a critical financial update, a pair of highly anticipated theatrical releases, and a major new theme park expansion debut before the end of the month.
There's never a quiet month for Disney, but this month will be particularly busy for the House of Mouse. Let's take a closer look at the things to watch as a Disney shareholder in November.
Nov. 8
Disney's fiscal year ended in September, and it will announce its fiscal fourth-quarter results after the market closes on Nov. 8. Analysts see revenue clocking in at $20.13 billion for the summertime quarter, flat with where it landed a year earlier. It's a different story on the bottom line, as Wall Street pros see earnings more than doubling to $0.68 a share.
There are factors tugging the top line in different directions, so it's not a surprise that next week's financial update will be essentially flat on a year-over-year basis. The big jump in profitability also adds up. Disney has been cutting costs as part of its plan to shave more than $5.5 billion in annual operating expenses.
Something else that can happen on Nov. 8 is the restoration of Disney's dividend. It announced in February that it would resume paying its the semiannual distributions before the end of the 2023 calendar year, and the company reiterated that commitment six months later. It makes perfect sense for Disney to announce the move at the same time it puts out its fiscal-year financials.
Image source: Disney.
Nov. 10
Disney routinely cranks out many, if not most, of any year's biggest box-office winners. However, this country's top three theatrical releases belong to other studios. Disney has four of the next five on that list, but the company just hasn't been as dominant at the corner multiplex as it was before the pandemic. It had been the top draw for five consecutive years until 2019, and it has fallen short ever since.
The solution to a dry spell for Disney is often a big Marvel release, and that brings us to next weekend, when The Marvels hits a theater near you and Brie Larson returns as Captain Marvel. It's not likely to challenge Disney's most successful Marvel releases, but a strong start and encouraging word-of-mouth can give it legs through the historically busy holiday season.
Nov. 20
The next big thing to open at a Disney theme park isn't happening in the U.S. market. It will be in Hong Kong, where World of Frozen officially opens on Nov. 20.
Disney owns a minority but substantial stake in Hong Kong Disneyland. The new Frozen-themed land should help pick up the turnstile clicks at one Disney's least visited gated attractions.
Nov. 22
Another area where Disney has been falling short in recent years is the box-office success for its flagship theatrical animation business. Even some sequels that have historically been no-brainers have fallen flat. The hurdle to clear for market acceptance is even higher for original properties, but Disney's not afraid to make a wish. Literally.
Wish is the next Disney animated feature, hoping to tell a family-friendly tale with humor, humanity, and a catchy soundtrack. In a clever twist, Wish has been putting out a song from the movie's soundtrack on a weekly basis. Disney's studio entertainment segment has not one but two chances to turn its recent string of bad luck around this month.
