Disney Raises Dividend by 15 Percent

[crazy4wdw]

Quoted from the Hollywood Reporter:

Disney Raises Dividend by 15 Percent

The company will pay 86 cents per share on Jan. 16.
2:08 PM PST 12/4/2013 by Paul Bond

Walt Disney said Wednesday that its board raised the annual cash dividend it pays to investors by 15 percent, to 86 cents per share.

The announcement came after the closing bell. Shares of Disney closed 7 cents higher on Wednesday at $69.97.

The dividend, which is payable on Jan. 16 to shareholders of record on Dec. 16, represents the 58th consecutive dividend payment to shareholders, the company said.

"Disney had a great year creatively and financially in fiscal 2013, delivering record revenue, net income and earnings per share for the third year in a row," CEO Bob Iger said.

Disney, which recorded $45 billion in revenue in its fiscal year 2013, also said it will hold its annual shareholders' meeting on March 18 in Portland, Oregon.

 

[lockedoutlogic]

bad for the customers of "Disney Parks"

 

[OnSpaceshipEarth]

bad for the customers of "Disney Parks"

Why is it "bad for customers of Disney Parks"?

 

[lockedoutlogic]

Why is it "bad for customers of Disney Parks"?

Because once you pass threshold of "cover costs" and "securing stability for the company"...

Anything involving stocks would limit themepark investment to what they perceive
To be the minimum.
Just my opinion.

 

[Denmage]

That's not true. Theme Park investment (improvements) are budgetted annually. The fact that they have announced an increase in dividend simply means that they made a bigger profit than planned. The profit needs to be disbursed to the stockholders (owners). It is not and should not be reinvested because that would increase the company's tax liabilities and would serve no useful purpose.

This is actually good news because when they budget improvements for the next year they will probably increase spending to keep the profits consistent.

 

[jeters_boy]

I hope Disney makes money hand over fist. This will give them the confidence to undertake big new projects, which we all want.

If Disney was seeing big losses, our chances of a new park or big new Star Wars land in the next decade would be out the window.

 

[Viva Las Disney]

I hope Disney makes money hand over fist. This will give them the confidence to undertake big new projects, which we all want.

If Disney was seeing big losses, our chances of a new park or big new Star Wars land in the next decade would be out the window.

This was my thought also, the last thing I want to see as a park fan is for Disney not to be profitable. They've been spending billions in the US parks over the last few years with new fantasyland and DCA and that only continues if they are making money. With expensive expansions like Pandora and Star Wars land on the horizon good profits are a good thing.

 

[Yellowstonetim]

I hope Disney makes money hand over fist. This will give them the confidence to undertake big new projects, which we all want.

If Disney was seeing big losses, our chances of a new park or big new Star Wars land in the next decade would be out the window.

Agreed 100%! The higher the dividends, the more profit and stability, the more improvements we can expect in the future.

 

[wiigirl]

I hope Disney makes money hand over fist. This will give them the confidence to undertake big new projects, which we all want.

If Disney was seeing big losses, our chances of a new park or big new Star Wars land in the next decade would be out the window.

 

[Mad-Jasper]

I hope Disney makes money hand over fist. This will give them the confidence to undertake big new projects, which we all want. If Disney was seeing big losses, our chances of a new park or big new Star Wars land in the next decade would be out the window.

With Disney's tendency towards complacency, I fear the opposite is true.

 

[Alice Royal]

86 cents? Can't wait to get my check, I'm gonna be RICH!

In all seriousness, good for them for making money. It's been a hell of a year with many changes and for them to come out on top is awesome.

 

[eadavis]

86 cents? Can't wait to get my check, I'm gonna be RICH! In all seriousness, good for them for making money. It's been a hell of a year with many changes and for them to come out on top is awesome.

Tell you what, if you've been a stock holder since the 90's, that'll be a nice check, they split 3 separate times. Hopefully they'll split again, stock is at historic highs (factoring splits).

 

[manning]

WOW ! A 1.2 percent yield.

 

[lockedoutlogic]

With Disney's tendency towards complacency, I fear the opposite is true.

*cough* *Cough*

 

[OKW Lover]

WOW ! A 1.2 percent yield.

I look at it as a 50% increase in the value of my stock. DIS started the year at about $50/share. Its currently around $75/share. Not bad at all.

 

[r3d]

Disney's financials are looking great and continues to look like a great investment in both the near and long term. The revenues are flowing in as great as ever and in-park spending its blowing up (MM+ COULD be a factor in this, hate me if you must). Disney fan or not, DIS is a great holding for any retail investor.

Now for us fans lets hope they decide to continue this trend and invest into the parks. If their numbers keep going up and up, I fear they may find little reason to continue to invest greatly into the parks until their competition poses a SIGNIFICANT threat. For now ESPN, ABC and the Walt Disney Studios will continue to push the bar.

 

[PACVII]

Looks like the stock can close at a one year high today. Good news for shareholders overall. Still rated as a buy / hold.

 

[manning]

I look at it as a 50% increase in the value of my stock. DIS started the year at about $50/share. Its currently around $75/share. Not bad at all.

I lean more to dividend yield to generate income. IE to name a few:

MO 5%

BP 4.7%

EXC 4.7%

PM 4.3%

KMP 6.7%

KMI 4.6%

XEL 4%

SO 5%

This is not a recommendation just a few I have.