not vested
The most-important edge for Disney is the company’s brand.
Being irreplaceable dramatically increases Disney’s pricing power, as well.
Whereas an adult ticket to Disneyland in Southern California ran $1 in July 1955, the cheapest entry-level ticket these days on non-peak-demand days is $104.
In other words, admission price inflation has nearly 10X’d the real rate of inflation in the U.S. since 1955. This type of pricing power, coupled with the incredible brand loyalty of its customers, has driven its profitability higher over many decades.
Walt Disney also deserves credit for the eye-popping ascent of its direct-to-consumer segment. Ramping Disney+ from the ground up to recurring profitability wasn’t easy, but Disney managed to reach this point in record time.
The introduction of ad-supported streaming tiers has spoken to cost-conscious consumers, while the company’s brand power has helped it raise prices on numerous occasions.
Not to sound like a broken record, but Disney is another company that benefits from the nonlinearity of economic cycles.
With downturns being short-lived, Disney typically sees everything from theme-park revenue to advertising and moviegoing increase during long-winded economic expansions.
The final reason investors won’t be disappointed buying shares of Walt Disney is its historically cheap valuation. Its sub-14 forward price-to-earnings ratio works out to a 47% discount to its average forward-year earnings multiple over the last five years.
Source: Daily Trade Alert
https://dailytradealert.com/2025/04/11/ ... right-now/It's all about "how much you made when you were right" & "how little you lost when you were wrong"
