November was pretty good for Walt Disney (DIS -0.04%) shareholders. The leading entertainment stock moved 14% higher last month, its biggest monthly jump since January. Can it keep the rally going, closing out December on a strong note?
The return of Disney's dividend, new theme park experiences, and some notable Disney+ releases should keep the new month interesting. Let's take a closer look at the things to watch as a Disney shareholder in December.
Dec. 8
Disney doesn't have a major theatrical release hitting theaters this month. With the lackluster performance of last month's big-budget releases, The Marvels and Wish, that's probably not a bad thing.
It may seem odd for Disney to sit out this important movie-viewing season, and to have banked on Wish to turn things around after an uninspiring start during the Thanksgiving holiday weekend. But things didn't start out that way. Disney had Magazine Dreams initially slated for a Dec. 8 premiere, but it pulled the film's release in late October.
Disney never officially explained why it's postponing if not outright canning the feature. The industry consensus is that the film stars Jonathan Majors, who is now facing charges of domestic violence in court. It would be risky to put out the film with the actor, who also figures into a couple of Disney's Marvel films.
That doesn't mean Disney+ will sit things out, though. It has a few new movies and shows coming to the platform. Diary of a Wimpy Kid Christmas: Cabin Fever launches on the popular streaming service next week, coincidentally on the same day that Magazine Dreams was supposed to draw audiences to the local multiplex.
Image source: Disney.
Dec. 11
Disney is resuming its semiannual dividend, and investors of record by the close on Dec. 11 will receive six weeks later the first payout in four years. The distribution isn't much, clocking in at $0.30 a share every six months. That amounts to a yield less than 0.7%, a pittance with even some money market funds yielding north of 5% for now.
However, this is still a big moment for Disney's return to normality. With revenue at record levels and Disney+ on track to turn a profit this new fiscal year, now is the right time to return more money to its shareholders in the form of semiannual distributions.
Dec. 20
Disney theme parks are making waves overseas. Exactly one month after World of Frozen, an entire land based on the iconic Frozen franchise, opened at Hong Kong Disneyland, a Zootopia-themed area is opening at Shanghai Disneyland. The section will be anchored by Zootopia: Hot Pursuit, a new immersive ride featuring characters from the animated film.
Opening a new ride is obviously a way to attract new visitors. When it's fleshed out into an entire themed land, it becomes a bigger bet on a particular franchise. With the slate of new domestic attractions for Disney in 2024 limited to the Tiana's Bayou Adventure makeover of the Splash Mountain log flume ride at Disneyland and Disney World, the push for something shiny and new in late 2023 is taking place largely at its minority-owned parks in Hong Kong and Shanghai.
