The firm said it lowered its rating on the family entertainment, media, and resorts and theme parks company, based on a valuation call, and its belief a stronger dollar could be damaging to Walt Disney.
Topeka Capital said it was concerned over how the strong U.S. dollar would affect theme park attendance at Disney's Orlando location over the next fiscal year, and into 2016.
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Shares of Disney are down by 0.58% to $92.40 in pre-market trading this morning.
Additionally, Disney is ready to take the holiday shopping season by storm as the enormous success of its 2013 animated film Frozen, has resulted in a huge demand for Frozen related toys, especially dolls. As a result Mattel's (MAT) Barbie Doll was knocked from first place for most in demand toy for the 2014 holiday season, in favor of Frozen themed items, Bloomberg reported.
Separately, TheStreet Ratings team rates DISNEY (WALT) CO as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DISNEY (WALT) CO (DIS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, revenue growth, notable return on equity and reasonable valuation levels. We feel these strengths outweigh the fact that the company shows low profit margins."