Why Jim Cramer Is Betting on 'Iconic' Disney Stock After Coronavirus Pandemic
In case you missed it, Disney has secured a new credit agreement with Citigroup for as much as $5 billion to help tide it over economically as its theme parks remain shuttered and its cruise ships docked.
The credit line is similar to the company’s existing one-year credit line, which was tapped on March 6 ahead of the coronavirus wave that shuttered its U.S. theme parks and other operations globally.
Jim Cramer said that Disney is "iconic" and will bounce back once the world manages to get the coronavirus pandemic under control and social distancing becomes a thing of the past.
On April 9, Cramer's Action Alerts PLUS portfolio--which owns Disney--said, "Disney has been the poster child of what can go wrong from COVID-19 due to theme park closures and loss of live sports. However, the strength of its direct-to-consumer products proves this company benefits from accelerated stay-at-home themes. And with Shanghai Disney potentially re-opening next month and hopefully the return of Major League Baseball and other professional sports soon to come, there are more potential "mini-catalysts" on the horizon."
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