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Disney's CEO Hypes New Streaming Service: It's Gonna Be Big, It's Gonna Be Hot

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Disney's CEO Hypes New Streaming Service: It's Gonna Be Big, It's Gonna Be Hot
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Walt Disney Co (NYSE: DIS) CEO Bob Iger keeps confirming what was obvious a month ago: The roster of the original Marvel shows currently running on Netflix, Inc. (NASDAQ: NFLX) will be joining the Mouse House’s new streaming service when the contracts between the companies are up in 2019.

“We’re going to launch big, we’re going to launch hot,” Iger said, ladling on the hype for the new Disney streaming service in a call with analysts.

Credit Suisse analyst Omar Sheikh was suitably impressed, setting a price target of $120 and rating it at Outperform. Disney was trading relatively unchanged at $97.01 at last check.

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Hurricane Irma’s negative impact on Walt Disney World in Orlando and the company’s cruise lines notwithstanding, Sheikh said Disney’s current valuation “is looking excessively depressed.”

Here Comes Daredevil And Company

Besides the theatrical releases from the Pixar, Marvel and LucasFilm divisions, the new streaming service will include three to four new made-for-TV movies and four to five series, which presumably include new seasons of those currently running on Netflix: “Daredevil,” “Luke Cage,” “Jessica Jones,” “Iron Fist” and the team-up of all those Marvel comics characters, “The Defenders.”

ESPN will also be part of the streaming service as Disney seeks to funnel its original content away from the cable and satellite companies and into its own viewing platform.

UBS analyst Doug Mitchelson was similarly effusive about Disney's commitment to corralling "Star Wars" and its Marvel properties for on-demand streaming, rating the stock a Buy and setting a price target of $122.

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Related Link: Hurricane Irma Already Impacting Disney Expectations

Latest Ratings for DIS

DateFirmActionFromTo
Sep 2017Bank of AmericaMaintainsBuy
Sep 2017Wells FargoUpgradesMarket PerformOutperform
Aug 2017Loop CapitalMaintainsHold

View More Analyst Ratings for DIS
View the Latest Analyst Ratings

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