Disney Is Spending $60 Billion on Experiences: History Says It's the Right Move That Will Pay Off Years From Now.
Investors certainly know Walt Disney (NYSE: DIS) as the media and entertainment powerhouse that owns popular cable networks including ABC, The Disney Channel, FX, and ESPN. The business also has a budding streaming division that is starting to report positive operating income.But in fiscal 2024, 37% of the company's revenue came from the experiences segment, which encompasses Disney's theme parks, cruise ships, and consumer products. It's a key part of the flywheel that helps the brand connect with consumers across the globe.Management has announced a massive $60 billion investment, double the original plan, for the experiences division over the next decade. That's definitely a large sum of cash, but history says it's the right move that will pay off for the House of Mouse.Continue reading
Investors certainly know Walt Disney (NYSE: DIS) as the media and entertainment powerhouse that owns popular cable networks including ABC, The Disney Channel, FX, and ESPN. The business also has a budding streaming division that is starting to report positive operating income.
But in fiscal 2024, 37% of the company's revenue came from the experiences segment, which encompasses Disney's theme parks, cruise ships, and consumer products. It's a key part of the flywheel that helps the brand connect with consumers across the globe.
Management has announced a massive $60 billion investment, double the original plan, for the experiences division over the next decade. That's definitely a large sum of cash, but history says it's the right move that will pay off for the House of Mouse.
