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kerkuffles t1_iy8hyx9 wrote

Reply to comment by boundbylife in Bob Iger Tells Disney Town Hall Hiring Freeze Still In Effect, No New Acquisitions Planned & Not Merging With Apple by HumanOrAlien

> This idea that they were going to merge with Apple was always complete nonsense. Disney has no need to merge; they aren't in serious financial trouble; they are THE name in theme parks; THE name in family entertainment; THE name in movie production; THE name in merchandising.

I see all this and raise you "stockholder".

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boundbylife t1_iy8ke2l wrote

You're gonna have to be a little more specific than that.

Comparing Disney's stock performance to that of Apple, Amazon, and Google over the past 2 quarters, they're all in a 10% spread of each other. That would tend to indicate that any perceived drop in Disney's stock performance is due more to market trends than an institutional failing. I.E., if Disney is performing poorly its because people don't have money to give them, not because they have a substandard business model.

A sale to / merger with Apple would therefore probably not be well-perceived by shareholders. Indeed, if you suspect that Disney's performance will rise in the near future (be it because of the next wave of Marvel movies, the upcoming success of Avatar 2, or something else), you would effectively be selling to Apple at a loss (versus future gains).

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kerkuffles t1_iy8ldgw wrote

A merger announcement would cause the stock for one or both companies to go through the roof.

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