Truist Securities lowered its stock price target for Walt Disney Co. a full 20% to $160 from $200 on Wednesday after updating its model to incorporate direct-to-consumer disclosures from the company’s recent quarterly earnings and factor in an exit from Russia, following its invasion of neighboring Ukraine. Analysts led by Matthew Thornton said Russia accounts for about 2% of operating income and they estimate roughly 4.6% of addressable broadband households in 2024. Truist is now expecting fiscal 2022 per-share earnings of $4.28 and revenue of $83.5 billion, which compares with consensus of $4.47 and $85.0 billion. “We think the DTC content path and new market launches over the next several quarters offer shots-on-goal (accompanied by continued recovery in Parks, Box Office),” Thornton wrote in a note. “Macro aside, the biggest near-term uncertainty is the IPL Cricket renewal,” he said, referring to Indian Premier League. Shares were up 1.1% premarket and are down 31% in the last 12 months, while the S&P 500 has gained 7.6% and the Dow Jones Industrial Average has gained 2%.
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