There's a Lot to Like About Disney, But There's No Easy Fix for This Problem
Disney (NYSE: DIS) is the 800-pound gorilla of the media sector, with a collection of assets that are, to understate things, uniquely impressive. That alone might tempt investors to buy the stock now that it has fallen around 45% from its 2021 peak. But there's a lot more going on here than meets the eye, and one problem, in particular, will probably be particularly tough to solve.
Disney recently introduced a new CEO, Bob Iger. Anyone who knows Disney at all knows that he was the CEO until a few years ago when he handed off the reins to Bob Chapek. Chapek was hand-picked by Iger, but his tenure as CEO was difficult. There was a timing issue because he took over just before the coronavirus pandemic led to the closure of non-essential businesses. But there were also self-imposed mistakes that resulted in the board of directors losing faith in his leadership and patrons of the company's amusement parks effectively blaming him directly for rides that had temporarily broken down.
Image source: Getty Images.
Source Fool.com
