Buy, Hold, or Sell

Case 1: The Walt Disney Company’s Stock: Buy, Hold, or Sell?

1. Read Exhibits 1-5, 7 and 8:
   1) Discuss the strengths and weaknesses of Disney’s financials compared to Netflix, Comcast, and Viacom.
   2) Discuss Disney’s valuation compared to Netflix, Comcast, and Viacom.
   (note: you do not need to worry about the Treasury Bill yield)
2. In the place of Crowley in December 2019 (the time of the case), based on the investment strategy of GARP, would you buy, hold, or sell Disney? Explain your answers.

Sample Solution