Or at least that seems to be the case for The Walt Disney Company’s stock following its Investor Day event on Thursday, where the media giant announced its big plans for Disney+.
The multibillion-dollar company closed at $175.72 per share on Friday, which was 13.59% higher from its previous trading day on the New York Stock Exchange.
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Disney’s current share price appears to be a direct response to the company’s revealed growth strategy.
Particularly, The Walt Disney Company intends to expand its original content offerings on Disney+.
In the Investor Day webcast, Disney’s Chairman of Media and Entertainment Distribution Kareem Daniel shared there will be 10 Marvel series, 10 Star Wars series, 15 Disney Animation and Pixar series as well as 15 Disney Animation and Pixar features.
More than 50 original titles will be added to the streaming platform in the next few years, which range from scripted and unscripted, live-action and animated and rebooted shows and films. A few highly anticipated works include “WandaVision,” “Star Wars: Obi Wan-Kenobi,” “Zootopia+,” “Tiana” and “Moana.”
For feature films, Disney+ will continue its Premier Access pricing strategy, which it introduced with the live-action remake of “Mulan,” and charges subscribers an additional fee to watch new movies at home amid theatrical releases.
Disney is employing this Premier Access strategy with future releases, like with its animated film “Raya and the Last Dragon,” which is set to debut in March 2021.
In addition to its expanding catalog, The Walt Disney Company is working to expand its subscriber count.
As of Dec. 2, Disney+ had 86.8 million subscribers, Hulu had 38.8 million subscribers and ESPN+ had 11.5 million, according to Rebecca Campbell – Disney’s chairman of international operations & direct-to-consumer division.
When the streaming service first launched on Nov. 12, 2019, it had around 10 million signups from consumers in the U.S., Canada, Australia, New Zealand and Netherlands.
Roughly a year later, Disney+ has become available in 26 countries, including the U.K., Germany, Italy, Spain, France, Ireland, Austria, Switzerland, Norway, Sweden, Denmark, Finland, Iceland, Belgium, Luxemburg, Portugal, Mauritius, India, Indonesia, Japan, Argentina, Brazil, Mexico, Chile, Colombia and Peru.
The brand is also planning to launch in other key markets throughout Europe, the Middle East, Africa and Asia.
Weeks before its Investor Day, The Walt Disney Company’s CEO Bob Chapek spoke in a fourth-quarter earnings call with investors.
“Despite the many challenges and hardships, I’m proud to say we have been steadfast in effectively managing our businesses under enormously difficult circumstances,” Chapek said at the time. “We haven’t just persevered during these tough times, we’ve also taken a number of deliberate steps and smart risks that have positioned our Company for greater long-term growth.”
He added: “And the impressive resilience Disney has demonstrated while looking past today’s challenges to set the stage for an even brighter future, is a direct reflection of our outstanding team.”