This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Disney's Wonderful World of Content

NEW YORK ( TheStreet) -- In an entertainment-driven world, viewers have been flocking to whichever provider has the best movies and shows. As a result, we've seen drastic changes in home entertainment during the past several years.

Think about it. Ten years ago, the 150-pound, flat screen television was the coolest thing around. Now we have razor thin LCD and LED screens that weigh a couple dozen pounds, if that. We can rewind and record live television. Hell, we even have 3-D TVs in our living rooms now.

But tablet and TV producers aren't the only winners here. The popular slogan, content is king, refers to the companies that actually own the content. They can auction it off to content providers such as Netflix (NFLX - Get Report) and Amazon (AMZN - Get Report) in the form of lucrative licensing deals.

The content usually goes to the highest bidder, which is a definite win for content owners. Thus, content is king. Well, investors, look no further than Disney (DIS - Get Report), the entertainment kingpin.

Let's pretend that Disney isn't diversified with resorts, hotels and cruises for a minute. Let's only think about the company from a content perspective. In 2012, it had the third all-time best selling movie at the box office, with The Avengers. This year, Disney had Iron Man 3, which is currently fifth best all-time and still in theaters.

Fortunately, The Avengers will have a sequel, currently set for May 1, 2015. But Disney hasn't continually come up with great movies decade after decade. It would be rather difficult and nearly impossible to be that good for that long.

Instead, Disney's CEO Bob Iger is okay with spending money to make money. Sometimes this can be a bad thing, but with Iger, this is a great thing. The guy can buy. One of the first things he did when he became CEO of Disney was orchestrate a deal to acquire Pixar, which at the time was run by none other than, Steve Jobs.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AMZN $367.35 -0.97%
DIS $105.26 0.25%
NFLX $418.26 -0.83%
AAPL $124.24 0.70%
FB $83.01 0.11%


DOW 17,678.23 -40.31 -0.23%
S&P 500 2,056.15 -4.90 -0.24%
NASDAQ 4,863.3620 -13.1570 -0.27%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs