Shares of Walt Disney (NYSE: DIS) started out 2024 hot, but they have cooled down in a major way. Disney stock just closed lower for the fourth consecutive month, failing to participate in the market rally. It's also losing to the market for the fourth consecutive year .
Thankfully for Disney investors, there's no shortage of catalysts to get the stock moving in the right direction in this new month. From a critical financial update to potential game-changing announcements, there are plenty of big dates that can move shares of the media giant in August.
Aug. 7
Every quarterly report is an opportunity to get back on track, and investors won't have to wait long to get fresh financials out of the House of Mouse. Disney reports its fiscal third-quarter results on Aug. 7. In an unusual move, Disney is peeling back the curtain on its financials in the morning. It has historically posted results after the market closes.
Investors already know that some things will weigh on Disney's performance. It warned in its previous quarter that year-over-year comparisons for the fiscal third quarter ending in June will be challenging for its domestic theme parks given rising wage expenses and the timing of the Easter holiday. Disney+ turned heads by posting its first operating profit in the fiscal second quarter, but the media giant warned that it would take a step back in the fiscal third quarter before returning to profitability by the end of the year. Disney has also had two big theatrical releases in back-to-back months, but the record-breaking success of Inside Out 2 and Deadpool vs. Wolverine won't be felt on its financials statements until later.
This all adds up to a low bar of expectations for Disney. Analysts see Disney serving up $21.3 billion in revenue for the quarter, a 4% decline. Wall Street's profit target for the quarter is $1.10 a share, a reasonable 7% but well short of the bottom-line improvement that Disney has been reporting lately.
Image source: Disney.
Aug. 10
A telltale earnings report isn't the only thing investors should be watching next week. D23 is a summertime fan fest for Disney's growing fan base. From Friday to Sunday next week, Disney will be hosting presentations and other events to attendees at the Anaheim Convention Center.
One presentation likely to make headlines in the theme park enthusiast community is "Disney Experiences Showcase" on Saturday night. Disney Experiences Chairman Josh D'Amaro will host the event that promises "updates on new and highly anticipated projects" for its theme parks and cruise ships. Disney has hinted at potential expansion projects at its gated attractions. It has also ramped up its budget to keep its iconic theme parks on top. There should be some firm project plans and timelines out there before the night is over.
Aug. 16
It will be hard for Disney to top the release of Inside Out 2 in June and Deadpool vs. Wolverine in July, but it's hoping for three straight months of blockbuster sequels, as Alien: Romulus opens on Aug. 16. Disney inherited the Alien franchise with the acquisition of 21st Century Fox that was completed in 2019.
The last film in this series didn't fare so well. Alien: Covenant collected just $74 million domestically and $241 million worldwide in ticket sales. However, with Disney on a winning streak after floundering for most of the previous year and a half, let's not assume that the media stock bellwether will end the seasonally potent summer with a dud.
Rick Munarriz has positions in Walt Disney. The Motley Fool has positions in and recommends Walt Disney. The Motley Fool has a disclosure policy .
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