Market Overview

Cramer On Buying Disney's Stock Right Now: 'Makes Sense To Me'

Share:
Cramer On Buying Disney's Stock Right Now: 'Makes Sense To Me'

Much like the rest of the market, shares of Walt Disney Co (NYSE: DIS) are trading in the red for 2020 but buying at current levels "makes sense to me," Jim Cramer said Wednesday on "Mad Money."

The case for buying Disney's stock at the current level is based in part on history, Cramer said. Two decades ago, Bob Iger was named President and COO of the media and entertainment company and shares were trading at around $30. Iger took over as CEO in 2005 and the stock has since surged more than 400%.

Why It's Important

Buying Disney's stock amid the broader coronavirus-induced sell-off may seem like an ill-advised move, but not to Cramer. He said investors who sit back and wait for the world to "solve" the coronavirus will end up paying more for Disney's stock.

"I don't know when they're going to solve it, and people are going to go back to Disney," Cramer said. "And when they do, I don't think you'll get it for $115 or $120."

Investors with a 20-year horizon are unlikely to ever see today's price again, Cramer said.

Disney's stock traded around $119.74 at time of publication.

Related Links:

Iger Plus: What To Make Of The Disney CEO's Early Departure, Bob Chapek's Accession

How Large Disney Option Traders Are Positioning Following CEO Transition

 

Related Articles (DIS)

View Comments and Join the Discussion!

Posted-In: Bob Iger CNBC Coronavirus Jim Cramer Mad MoneyLong Ideas Media Trading Ideas Best of Benzinga