Image courtesy of Shutterstock

Disney's Proxy Battle Ends. What's Next for the Stock?

By:Mike Butler

Disney now looks moves ahead with a focus on growth

  • With the Disney proxy battle behind it, the company moves ahead with a focus on growth
  • Disney has had a significant stock price rally from the beginning of the year, but has come off highs recently
  • Disney will report earnings in early May

Disney (DIS) has had a great start to 2024, with over a 30% rally in DIS stock from the 2024 opening print to today.


Nelson Peltz and former CFO Jay Rasulo were seeking board seats, creating turbulence in Disney news, but shareholders recently rejected the idea based on early election returns.

CEO Bob Iger had positive things to say in the latest Disney press release.

“I just want to take a moment to thank our shareholders for your trust and confidence in the Disney Board and management and the ambitious strategy we are implementing across our businesses to build for the future,” Iger told shareholders. “Now that this distracting proxy contest is behind us, we’re eager to focus 100% of our attention on our most important priorities: growth and value creation for our shareholders and creative excellence for our consumers.”

The growth strategy

Iger highlighted a few key focal points for growth moving forward, but a few stand out to me when it comes to potential impact on the stock price.

The first is sustained profitability in streaming. With a mega-brand in Star Wars, and a seemingly unlimited amount of spinoff series available, it should come to no surprise that the streaming service would have a baseline audience. But beyond that, it feels that there is something missing to ignite the spark that would create a broader demand for the service.

Finally, we have ESPN and the potential impact it could have on Disney overall. Sports have always captivated people all around the world, but ESPN stands out as a primary focus for many fans. With the surge in sports betting with companies like DraftKings (DKNG), fans and viewers have even more of a reason to tune in and feel like they have skin in the game.

I believe this is Disney's best shot at explosive growth moving forward. Make a sweeping innovative change that's embraced by sports fans around the globe, and you've got something tangible that could change the way we view sports forever—both digitally and in person.

Disney stock expectations for 2024

With all that said, we can always find solace in the fact that markets will move as they may, and we can look to the options world to put context around expected stock price moves in Disney.


Based on current implied volatility (IV), we can see there is an IV spike in the May 10 options cycle relative to the cycles before it. This tells us that the market is pricing in a binary event, which will more than likely be the next quarterly earnings call for Disney. That cycle boasts a +-$8.74 expected stock price move, which is about 7.5% of the current stock price.

Looking further through the year, we can see that the Jan. 2025 options cycle has an expected stock price move of +-$20.51. This means that this upcoming earnings announcement has about a 40% weight of the overall expected move through this year and more. Many investors and traders are expecting some real stock price movement during the next earnings call, and we'll be here for it to discuss earnings strategy!

Join us around that time on Options Trading Concepts Live for a look at different bullish and bearish strategies ahead of the quarterly earnings announcement.

Mike Butler, tastylive director of market intelligence, has been in the markets and trading for a decade. He appears on Options Trading Concepts Live, airing Monday-Friday. @tradermikeyb

For live daily programming, market news and commentary, visit tastylive or the YouTube channels tastylive (for options traders), and tastyliveTrending for stocks, futures, forex & macro.

Trade with a better broker, open a tastytrade account today. tastylive, Inc. and tastytrade, Inc. are separate but affiliated companies.

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

Related Posts

tastylive content is created, produced, and provided solely by tastylive, Inc. (“tastylive”) and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. tastylive is not in the business of transacting securities trades, nor does it direct client commodity accounts or give commodity trading advice tailored to any particular client’s situation or investment objectives. Supporting documentation for any claims (including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.  Options, futures, and futures options are not suitable for all investors.  Prior to trading securities, options, futures, or futures options, please read the applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange-Traded Options Risk Disclosure found on tastytrade.com/disclosures.

tastytrade, Inc. ("tastytrade”) is a registered broker-dealer and member of FINRA, NFA, and SIPC. tastytrade was previously known as tastyworks, Inc. (“tastyworks”). tastytrade offers self-directed brokerage accounts to its customers. tastytrade does not give financial or trading advice, nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of tastytrade’s systems, services or products. tastytrade is a wholly-owned subsidiary of tastylive, Inc.

tastytrade has entered into a Marketing Agreement with tastylive (“Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’s brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade. tastytrade and Marketing Agent are separate entities with their own products and services. tastylive is the parent company of tastytrade.

tastycrypto is provided solely by tasty Software Solutions, LLC. tasty Software Solutions, LLC is a separate but affiliate company of tastylive, Inc. Neither tastylive nor any of its affiliates are responsible for the products or services provided by tasty Software Solutions, LLC. Cryptocurrency trading is not suitable for all investors due to the number of risks involved. The value of any cryptocurrency, including digital assets pegged to fiat currency, commodities, or any other asset, may go to zero.

© copyright 2013 - 2024 tastylive, Inc. All Rights Reserved.  Applicable portions of the Terms of Use on tastylive.com apply.  Reproduction, adaptation, distribution, public display, exhibition for profit, or storage in any electronic storage media in whole or in part is prohibited under penalty of law, provided that you may download tastylive’s podcasts as necessary to view for personal use. tastylive was previously known as tastytrade, Inc. tastylive is a trademark/servicemark owned by tastylive, Inc.