As Disney’s CEO, Bob Iger, announced he would be stepping down in 2021, leaving his position, alongside announcing a succession plan in the progress, the price of Disney stocks in the market could see rises with the newly revealed video streaming platform.
Bob Iger has been holding the position of Chief Executive Officer at Disney since 2005, being the spinning wheel behind Disney’s acquisitions such as Pixar, Lucasfilm and Marvel in the period from 2006 to 2012, but as per his latest announcement, Iger will be leaving his position in 2021.
The stock under the thicker DIS is currently trading 116.60$ per share after a slight decline with the latest closing at the end of the second week of April 2019, while watchdogs consider that the stock price may rise in accordance with the upcoming streaming service.
Disney Announces a Brand-New Streaming Service: Will the News Affect the Stock Price of DIS in the Market?
The company announced that a new video streaming service will become available for users in November 2019, while the online channel will be called Disney+.
The service offers a similar business model to Netflix, which means that users will be able to follow up with Disney’s movies and animations, which includes some of the biggest big screen names from the franchise, such as “Star Wars” and Marvel movies.
Disney’s new video streaming platform could represent a serious competition to Netflix given the offer of top names in the movies industry, as well as the cheaper subscription set to charge only 6.99$ per month for all users, while the platform offers ad-free streaming service under the mentioned price.
As a consequence, from creating another source for generating revenue, the price of Disney stocks in the market could rise as a consequence, bringing more profits to investors and more momentum for Disney.