What Sent Disney Shares 5% Lower Wednesday?
Shares of entertainment juggernaut The Walt Disney Company (NYSE: DIS) dropped as much as 5.3% Wednesday morning on a pretty wild and unique day of trading. Here's what investors need to know, and what they should keep in mind.
Starting from the view up top, the Dow Jones Industrial Average dropped roughly a percentage point early Wednesday as Boeing pulled the index down after posting a record annual loss and additional charges due to issues surrounding the 777X aircraft. That initial drop was the Dow's largest decline since October. On the flip side, rampant speculation fueled in part by Reddit retail investors pushed struggling stocks with heavy short interest higher yet again with GameStop and AMC Entertainment Holdings soaring as much as 156% and 310% higher, respectively. With all the speculation noise, a broader decline in markets, and investors waiting to hear notes from the Federal Open Market Committee's (FOMC) January monetary policy decision Wednesday afternoon, it's understandable to see Disney's stock take a breather. However, that breather doesn't mean Disney doesn't have plenty going on itself, and that's what investors should keep in mind.
Image source: Walt Disney.
Source Fool.com
