Artificial Intelligence Stocks Surge: Potential for Long-Term Growth
Cramer loads up on Disney before earnings.
Jim Cramer, the host of CNBC’s “Mad Money,” has recently revealed that he has loaded up on shares of Disney ahead of the company’s earnings report. Cramer, who is known for his expertise in the stock market, believes that Disney is a solid investment opportunity for investors who are looking for long-term growth.
Disney is set to report its earnings for the second quarter of 2021 on May 13th. The company has been hit hard by the COVID-19 pandemic, with its theme parks and movie theaters being closed for most of last year. However, Disney has been able to weather the storm by focusing on its streaming services, which have seen a surge in subscribers over the past year.
Cramer believes that Disney’s streaming services, which include Disney+, Hulu, and ESPN+, will continue to drive growth for the company in the coming years. He also believes that the company’s theme parks will rebound as the pandemic subsides and people start to travel again.
In addition to its streaming services and theme parks, Disney also has a strong portfolio of intellectual property, including its iconic characters like Mickey Mouse and Star Wars. The company has been able to leverage this IP to create successful movies, TV shows, and merchandise, which have helped to drive revenue growth.
Cramer’s bullish stance on Disney is shared by many other analysts on Wall Street. According to a recent survey by FactSet, 75% of analysts who cover Disney have a “buy” rating on the stock, with an average price target of $206. This represents a potential upside of over 20% from the current stock price.
Investors who are looking to follow Cramer’s lead and invest in Disney ahead of its earnings report should be aware of the risks involved. The company’s theme parks and movie theaters are still facing challenges due to the pandemic, and there is always the risk of competition from other streaming services.
However, for investors who are willing to take a long-term view, Disney could be a solid investment opportunity. The company has a strong brand and a proven track record of success, and its streaming services are well-positioned to benefit from the ongoing shift towards digital entertainment.
In conclusion, Cramer’s decision to load up on Disney ahead of its earnings report is a testament to the company’s potential for long-term growth. While there are risks involved, investors who are willing to take a long-term view could be rewarded for their patience. As always, it’s important to do your own research and consult with a financial advisor before making any investment decisions.