Following the proxy war, what may happen to Walt Disney stock?

Trian Fund Management, an activist investor, spearheaded a push to reinstate activist investor Nelson Peltz and former Disney CFO Jay Rasulo to the Disney board in the ongoing proxy war between Walt Disney and Peltz.

But Disney won the proxy fight; Peltz's petition for a board seat was rejected by Disney's shareholders, and the company's nominees for the board were re-elected.

As to the analysts at Third Bridge, Disney is still under pressure, and with the proxy war coming to a close, "Disney now needs to focus on executing a full agenda of tasks in 2024 to fully put the company on the right path."

"Streaming profitability by the end of this fiscal year is a top priority for Disney, but our experts are sceptical about the company's ability to deliver on its margin goals in the near term," the analysts stated.

They said that there are still a number of unanswered concerns, including the potential for expansion of the joint venture's sports streaming business and the details around Disney's $60 billion investment in its theme parks and experiences.

"With the parks being one of the remaining steady earnings drivers at the company, investors want to know how Disney plans to strengthen this segment for the long term," they stated.

Morgan Stanley stated that investors anticipate Disney to continue running its businesses with a persistent sense of urgency. Morgan Stanley maintains an Overweight rating on Disney stock and a $135 price objective.

The investment bank stated, "We believe it will, including a focus on operational excellence, financial rigour, management succession, and the implementation of a consistent long-term strategy."

(Sources: investing.com, reuters.com)