What's Going On With Disney Stock?

Walt Disney Co DIS shares are struggling to find direction Wednesday. Multiple analysts lowered price targets on the stock following the company's Investor day on Tuesday.

What Happened: Disney held its annual Investor day this week. Ahead of the event, the company said it plans to accelerate and expand investments in its Disney Parks, Experiences and Products (DPEP) segment over the next decade.

Disney plans to "nearly double" investments over the next 10 years to approximately $60 billion by investing in expanding and improving parks and cruise lines. The company also plans to prioritize projects expected to generate strong returns.

Disney noted that it believes it has adequate capital to fund all future plans related to the DPEP investment expansion.

"We’re incredibly mindful of the financial underpinning of the company, the need to continue to grow in terms of bottom line, the need to invest wisely so that we’re increasing the returns on invested capital, and the need to maintain a balance sheet, for a variety of reasons," said Bob Iger, CEO of Disney. 

"The company is able to absorb those costs and continue to grow the bottom line and look expansively at how we return value and capital to our shareholders."

Following the announcements, BofA Securities analyst Jessica Ehrlich maintained Disney with a Buy rating, but lowered the price target from $135 to $110. Rosenblatt analyst Barton Crockett also maintained a Buy rating, but cut the price target from $104 to $103. Needham analyst Laura Martin reiterated Hold.

See Also: Disney Gets Rare 2023 Win With 'Elemental,' Top 10 Grossing And Record On Disney+

DIS Price Action: Disney shares were down 0.07% at $81.88 at the time of publication, according to Benzinga Pro.

Photo: Pexels from Pixabay.