Disney’s stock is fairly valued and it is pricing in strong earnings growth, writes Loop Capital analyst David Miller in a note downgrading to hold from buy, PT $118 unchanged.
- DIS is trading at 16.5x FY18 adj. EPS, with adj. EPS growing in mid-teens
- Says upside from opening of Avatar-World and profitability at the Shanghai park is “built into the stock”
- Sees DIS hovering around current levels until there is a long-term resolution of CEO Bob Iger’s succession plan