Is Disney stock undervalued?


Is Disney stock undervalued? Disney's DIS fiscal fourth quarter displayed the firm's financial might and why we think shares remain undervalued despite challenges it faces. Most notably, the firm has cut costs significantly, sending free cash flow skyrocketing.


Why is Disney stock so cheap?

Disney stock is cheap relative to earnings and the sum of its parts, and it has a path to earnings growth from a steady narrowing of streaming losses and cost cutting elsewhere. Disney also has options, including asset sales and reinstating its dividend.


How much of Disney is owned by China?

Disney's Shanghai resort isn't actually owned by Disney. It's a joint venture with a state-owned enterprise — i.e., the CCP. The split? The CCP owns 57%, Disney just 43%.