Walt Disney Company 2021 Strategy and Stock Price Analysis
DOI:
https://doi.org/10.54691/bcpbm.v26i.2029Keywords:
Strategy; Stock Price; Cash Flow.Abstract
This article analyses Walt Disney Company's business strategy and stock price. Disney is currently the second largest media and entertainment firm in the world, behind Comcast, and the outbreak of Covid-19 in 2020 has had a constant impact on Disney's corporate growth. We need to investigate Disney's performance as well as strategy throughout this unique period. I utilised Porter five-force analysis, SWOT analysis, and PESTLE analysis to determine and illustrate Disney's strategy. Next, I individually reviewed the financial reports of Disney and its competitors. I divided Disney into two parts, the DMED department compared with Netflix, the DPEP department compared with Universal, and then Disney compared with Comcast as a whole. Furthermore, I analysed and compared Disney's price-earnings ratio and enterprise value ratio to those of Netflix, NBCUniversal, and Comcast, respectively. Finally, I analysed Disney's stock price and projected the company's free cash flow over the next five years. The analysis reveals that Disney will have good business ability in the future and generate revenue in the future. I hope to provide some enlightenment to stakeholders.
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