Soleil Reiterates Their "Buy" Rating On Disney (DIS)
Yesterday, Disney's EVP of Corporate Communications was charged with conspiracy and wire fraud for allegedly participating in a scheme to divulge non-public information about Disney's (NYSE: DIS) earnings reports to investment firms for a fee. She also claimed that DIS is in advanced discussions with two private equity firms in an effort to sell ABC.
Soleil Securities said in a report today that they "have no idea if this is true, or if it was fabricated so she could charge more money attempting to sell inside information about the company." Disney (DIS) denied that there is any validity to the claims.
Soleil said that while they are unsure if the company is in fact trying to sell the TV network, they think that if a transaction did occur, "given a reasonable valuation for ABC we believe the Street would be happy with the sale." The firm reiterated their Buy rating on DIS shares and $40 price target. During the current trading session, DIS has gained 2.66% to $33.95.
