Why Disney Stock Dropped Today
Shares of entertainment conglomerate The Walt Disney Company (NYSE: DIS) closed down 4.1% in Tuesday trading after the House of Mouse disclosed a disappointing forecast for growth in its Disney+ division. Speaking at the Goldman Sachs "Communacopia" conference today, Disney CEO Bob Chapek estimated that fiscal fourth quarter paid subscribers to Disney's streaming service will rise by only "low single-digit millions". Chapek went on to explain that Disney exceeded expectations, netting 12.4 million new customers in Q3, but "hit some headwinds" in Q4 (that's this current quarter for Disney), reports Variety magazine.
