CNN Money interviews a plethora of analysts on the reasons behind Disney’s 20% growth in stock price this year. Trending up while most media stock is trending down. Although it’s not mentioned in the piece, I seem to recall the stock took a pretty large jump when Barron’s reported that Apple was considering a takeover since Disney stock appeared undervalued.
The rest of the story considers whether Disney is still a good buy. I think that depends on how much faith you put in Bob Iger and whether or not he ‘gets’ that "quality will out". Eisner had a version of that once "excellence will out", but he lost that along the way. How long can Iger hold out against the forces of stock holders clamoring for profits through cuts instead of quality?