Walt Disney Co. stock continued sliding this week, dropping almost 4% to reach its nine-year low. The investors seem to be less convinced about the company’s ability to return to its former heights and believe the dip might not stop there.
The company had an underwhelming second quarter, missing out on revenues and failing to meet the expectations of analysts when it comes to their Disney+ streaming services. At the time, Disney announced it would make a series of moves, including price hikes and cost cuts, in an attempt to turn things around.
“We’re prioritizing the strength of our brands and franchises, we’re rationalizing the volume of content we make, what we spend, and what markets we invest in,” Disney CEO Bob Iger said at the time.
However, the investors don’t seem to be convinced by the prospects of these moves, and Disney shares have seen their fair share of ups and downs in recent periods. The stock’s most recent closing price came at $82.47, representing its lowest mark since October 2014. A number of analysts believe this is still not a cheap price due to the company’s obvious issues and recommend waiting a while longer before buying the dip.