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

Disney = Buy and Hold. Why? Because it is Changing

By: Nicole Urken | 05/07/14 - 05:11 PM EDT

NEW YORK (TheStreet) - On Mad Money, one of the reasons we consistently talk about "buy and homework" versus "buy and hold" is because companies change, the industry dynamics change, and the macro environment changes.  If you want to understand why Disney (DIS) is a stock you can buy for kids and hold over the long term, it is precisely because the company, under the leadership of Bob Iger, is changing in just the right ways and staying ahead of the curve by continuing to remain diversified and growth-oriented with strong, defensive brands.

Frozen is all about the continued success of Pixar (not to mention Tangled or Wreck It Ralph success). On the conference call, CEO Iger said that Marvel is just getting STARTED. And of course there is upside for Lucas (with the great Star Wars cast just announced). This is all separate from the core Disney live motion pictures like Maleficent (Angelina Jolie!) along with Cinderella and Tomorrowland. And, Disney can play China upside (China movie market has tripled in the last four years and will be #1 in the world by 2020).

Of course, given Disney's size, it benefits from the flow-through of each brand to its consumer products division and beyond.

Plus, with the economy rebounding--not to mention INNOVATION--parks are a stand out. And while cable networks missed slightly, ESPN is a core franchise.

Yes, Disney is trading at 20x P/E but its growing faster than ever with superb management. It's a long-term winner. And it's certainly not the same company it was 50 years ago or even 10 years ago.

--Written by Nicole Urken in New York.

>Contact by Email.

Other Posts In Nicole's Stocks and the City:

Get More Investment Ideas:

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.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS

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
Real Money Pro

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
Trifecta Stocks

Trifecta Stocks analyzes over 4,000 equities weekly to find the elite 1% of stocks that pass rigorous quantitative, fundamental and technical tests.

Product Features:
  • Model portfolio
  • Trade alerts
  • Recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
Stocks Under $10

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
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
  • Upgrade/downgrade alerts
Dividend Stock Advisor

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
Breakout Stocks

Bryan Ashenberg, using sophisticated stock screening and fundamental research, identifies potentially explosive small and mid-cap stocks.

Product Features:
  • Model portfolio
  • Small-cap and mid-cap focus
  • Intraday trade alerts
  • Weekly roundups
Options Profits

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
Top Rated Stocks Top Rated Funds Top Rated ETFs