Disney lost nearly $5 billion last quarter, but stock prices surged

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Disney is really an interesting story right now, it is massively exposed to the pandemic. They have just recently announced their results. They lost a staggering amount of money and yet they have some good news about their streaming service and it's like the market just. Has Undying confidence because of the power of Disney's intellectual property well, and the fact that they have pivoted to streaming in a major way I mean only in twenty twenty can you lose four point seven billion dollars in a quarter and have your stock go up because you also announced that you're streaming business hit sixty million subscribers for Disney plus one hundred, million subscribers include Hulu. and. ESPN plus I mean this is the craziness of meteorite. Now in that the the The Walt, Disney Company was more exposed than anybody else to this pandemic because the parks were shut down for most of the second quarter these parks were not operating not generating revenue and they're movie business was essentially shut down because for most of the quarter they were not allowed to release. Movies in theaters yet because the future of the business is in streaming and people on Wall Street and elsewhere are looking to growth in those categories to see if Disney will ever be able to compete with Netflix on that front it's actually a mixed bag for the quarter because streaming is great. Yes Jiming great I mean they don't charge that much for it's seven dollars a month. They have certainly tried to figure out how to keep it stocked. Challenge that Disney has really faced. They came out with the man delorean and then there was just incredibly long pause when you're talking about anything for a person over the age of whatever. Some people are love all of it for life, but primarily, their stuff had been appealing to kids. netflix's firing out new stuff. To the point where you can't possibly keep track of it. Disney was really kind of a bit stalled out. It seemed they had Hamilton and. They got a lot of noise with Hamilton putting the film online, and now they're doing a really big experiment that could affect the future of this industry, which is to put Moulin a two, hundred, million dollar plus film on demand not at the twenty dollar price point that you know universal charge for the trolls released but at thirty dollars. ESSENTIALLY THIRTY DOLLARS And they're saying it's a one off but they're also saying we're GONNA learn from this. This is a one off until it isn't and the interesting thing is that they're not just charging thirty dollars for it, but they're only making it available for Disney plus subscribers. So if you're not one of those sixty million subscribers who already get Disney plus you're GONNA have to sign up for the service and then pay thirty dollars to get Milan it's an interesting strategy. Mean they doing that because if they put it on regular premium video on demand, they would have to share a lot of that price with the platforms that help them That sale up here there's some rumors that they may be sharing a little bit of the price with the theaters that were promised movie that hasn't been confirmed but if they're willing to put it behind essentially a paywall and a paywall, we're really going to see what the demand is for this kind of high-quality a-list Disney content in a streaming

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