Is This the Beginning of the End of Fox?
The media industry is going through an incredibly disruptive transition as streaming companies grow, cable use falls, and the movie industry tries to figure out how to maintain a semblance of profitability. In the case of The Walt Disney Company's (NYSE: DIS) recently announced acquisition of most of Twenty-First Century Fox's (NASDAQ: FOX) assets, we see two companies deploying their own strategies to adapt to industry changes.
It makes a ton of sense for Disney to collect more media assets because of its theme parks, media networks, and streaming ambition. What's striking about this deal to me is how it shrinks Fox to a shell of its former self. Becoming smaller makes sense in some ways, but it could lead to the slow death of Fox if there aren't other changes ahead for the media company.
Image source: Getty Images.
Source: Fool.com
Walt Disney Co. Stock
With 53 Buy predictions and not a single Sell prediction Walt Disney Co. is an absolute favorite of our community.
With a target price of 115 € there is a positive potential of 40.67% for Walt Disney Co. compared to the current price of 81.75 €.
