Disney's Pixar Cuts 14% Staff, Shifts Focus to Potential Blockbuster 'Inside Out 2'
Portfolio Pulse from Anusuya Lahiri
Disney's Pixar Animation Studios is laying off 14% of its workforce, or about 175 employees, as part of a broader strategy to reduce content spending. This move aligns with CEO Bob Iger's disciplined approach to streaming. The focus now shifts to the anticipated release of 'Inside Out 2' in June. Disney reported a 1% revenue growth year-on-year, with adjusted EPS beating analyst estimates. Disney's stock has gained over 12% in the last 12 months.
May 21, 2024 | 6:20 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Disney's Pixar is laying off 14% of its workforce, aligning with CEO Bob Iger's strategy to reduce content spending. The focus is now on the release of 'Inside Out 2' in June. Disney reported a 1% revenue growth year-on-year, with adjusted EPS beating analyst estimates.
The layoffs and strategic shift towards potentially high-grossing projects like 'Inside Out 2' could positively impact Disney's stock in the short term. The company's recent financial performance, with revenue growth and EPS beating estimates, also supports a positive outlook.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
AdvisorShares Gerber Kawasaki ETF, which includes Disney, may see a positive impact due to Disney's strategic layoffs and focus on high-potential projects like 'Inside Out 2'.
As Disney is a significant holding in the AdvisorShares Gerber Kawasaki ETF, positive developments at Disney could benefit the ETF's performance.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
Vanguard Communication Services ETF, which includes Disney, may see a positive impact due to Disney's strategic layoffs and focus on high-potential projects like 'Inside Out 2'.
As Disney is a significant holding in the Vanguard Communication Services ETF, positive developments at Disney could benefit the ETF's performance.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50