Disney's Pixar Animation Studios to Trim Workforce After Wrapping Productions: Report
Portfolio Pulse from Benzinga Neuro
Pixar Animation Studios, owned by Walt Disney Co (NYSE:DIS), is planning to reduce its workforce due to overstaffing after completing certain projects. While TechCrunch reported potential staff reductions of up to 20%, this figure was refuted by a source who stated that the exact number of job cuts has not been finalized. The layoffs are not expected to affect Pixar's theatrical output. Disney CEO Bob Iger's strategy to reduce in-house streaming content and license from third parties has not significantly boosted Disney's stock, which rose only 1.5% in 2023.
January 12, 2024 | 7:07 am
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
Disney's Pixar is reducing its workforce due to overstaffing, which follows a trend of changes at the studio, including last year's job cuts. CEO Bob Iger's strategy has not led to significant stock price increases, with Disney shares up only 1.5% in 2023.
The news of Pixar's workforce reduction indicates cost management, which could be seen as a positive by investors. However, the lack of significant stock movement despite strategic changes by CEO Iger suggests that the market may have already priced in the efficiency measures. The impact is neutral as the layoffs are not expected to affect Pixar's output, and the exact details of the job cuts are still unclear.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 80