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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

5 Rocket Stocks to Buy in October

Walt Disney

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Walt Disney (DIS) is the poster child for the term "economic moat." The firm's catalog of valuable brands and characters spans from the obvious (think Mickey Mouse and Donald Duck) to the less obvious (ESPN, for example). That deep vault of intellectual property fuels an impressive business for the Burbank, California-based firm. Because Disney has its hand in everything from media networks and movie studios to theme parks to merchandise, DIS can leverage the same characters across all of its businesses for substantial profits.

>>10 Multimedia Stocsk With Doulbe the S&P 500 Gains

It's that exact logic that spurred Disney's acquisition of Pixar way back in 2006 - the firm realized that its most popular characters of the last decade had come from its partner, so it bought the Steve Jobs-backed studio more for its creative acumen than its technical talent. And that move has been paying off in spades. Likewise, Disney has a cash cow in sports network ESPN, which makes up the biggest chunk of its TV profits. ESPN is the most valuable network on TV, measured by the affiliate fees that providers are willing to pay to carry the channel. While it's not a cheap business to run (ESPN pays the NFL $1.8 billion annually to carry Monday Night Football), it is a lucrative one.

Theme parks have been a drag on Disney's earnings for the past several years. They're monstrously costly to operate, and under recessionary headwinds fewer consumers have been willing to shell out the cash to take their families to the "happiest place on earth." That said, the late-stage nature of theme parks has the potential to add a significant boost to Disney's profitability once the recovery does come full circle. When times are good, the cash that parks throw off is impressive.

Investors should watch closely when earnings drop on Nov. 7.

3 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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!
DOW 16,979.13 +59.54 0.35%
S&P 500 1,986.51 +4.91 0.25%
NASDAQ 4,526.4820 -1.0320 -0.02%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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