DIS: Disney Stock Jumps 7% on Quarterly Profit Beat, Prospects for Extra Cost Savings

Mickey Mouse is struggling to get out of this year’s slump. Shares just emerged with a 1.5% gain on the year, floating at their lowest levels since 2014.

• Disney stock DIS rallied nearly 7% on Thursday after the company reported better-than-expected earnings data. For the July to September quarter, the entertainment giant posted revenue of $21.2bn, up 5% from the year-ago time span. It was slightly under Wall Street estimates of $21.4bn.
• Bottom line, profits, arrived well above analysts’ consensus call. Earnings-per-share hit 82 cents, up a majestic 30% from a year ago and flying above the 71 cents eyeballed by the Street. To sweeten the deal, Disney revealed it expects to save an extra $2bn by cutting costs to a total of $7.5bn.
• Share price has been attempting to get out of its sluggish performance. The recent spike helped Disney stock to turn up in the green for the year by a modest 1.5%. In the long run, it is languishing at lows last seen in 2014, posing a potentially lucrative deal for bargain hunters. That is, if Disney CEO Bob Iger’s ambitious expansion plans pan out.