Part 8/11:
The shift away from traditional entertainment and into streaming is seen as a gamble that may not pay off. Disney’s enormous investment in sports—particularly sports streaming—might be a strategic move to sustain some foothold in entertainment but does not necessarily promise a turnaround. Instead, it may divert resources from more profitable or sustainable areas.
The Decline of the Disney Brand and Other Concerns
Disney’s overall stock performance reflects this malaise. The company's shares have declined 17% over the past five years, significantly lagging the 91% growth of the S&P 500 over the same period. This underperformance underscores investor dissatisfaction and skepticism about Disney's recovery prospects.