Impact

April

Resistance

Disney

Billion

<ul class="list-ic vertical">
 <li><span>1</span> <a>Walt Disney stock price fell continuously for the last four intraday sessions and closed the week with a loss of 4% or more.&nbsp;</a></li>
 <li><span>2</span> <a>Disney accuses Ron DeSantis of delaying the release of important documents related to an ongoing lawsuit.&nbsp;&nbsp;</a></li>
 <li><span>3</span> <a>The Walt Disney Company is yet to announce quarterly results on Wednesday, 8th November.&nbsp;</a></li>
</ul>
<p>Walt Disney stock price is on a four-day losing streak and fell continuously for the whole week except for Monday. The DIS stock added 0.56% and closed 4.09% lower by the end of Friday’s session.&nbsp;</p>
<p>The Walt Disney stock price has been trading lower in the current quarter. The DIS stock price suffered rejection from the 50-day EMA and made a breakdown of the $85 level. The breakdown signified the continuation of the bearish trend and took the stock price near a three-year low price.</p>
<h2 class="wp-block-heading" id="strong-disney-vs-ron-desantis-appointed-district-docs-hidden-fight-grows-strong"><strong>Disney vs. Ron DeSantis-Appointed District: Docs Hidden, Fight Grows</strong></h2>
<p>Disney accused Florida Governor Ron DeSantis of delaying the release of important documents that are related to an ongoing lawsuit. AP News reported that the Central Florida Tourism Oversight District failed to produce a single document for the last two months.&nbsp;</p>
<p>Disney claimed in its legal document that the district had not produced any documents or had given inadequate ones so far.</p>
<h2 class="wp-block-heading" id="strong-what-is-the-lawsuit-about-and-how-will-it-impact-the-walt-disney-company-strong"><strong>What is the Lawsuit About And How Will it Impact The Walt Disney Company?&nbsp;</strong></h2>
<p>The legal case is about a dispute between Disney and the Central Florida Tourism Oversight District, which is appointed by Florida Governor, Ron DeSantis. The district sued Disney to void some agreements that gave Disney control over the design and construction of Walt Disney World, a theme park in central Florida.&nbsp;</p>
<p>Thereafter, Disney countersued the district and accused DeSantis of violating its First Amendment rights by using political power for retaliation. The case is related to a state law that banned classroom lessons on sexual orientation and gender identity in early grades, which Disney opposed and DeSantis supported.&nbsp;</p>
<p>Currently, the case is pending in the federal court. The legal case between Disney and DeSantis has been going on for about six months. Disney filed the lawsuit on April 26, 2023.&nbsp;</p>
<p>Moreover, the lawsuit has not favored the Walt Disney investors as the stock prices are down over 28% since the case started. The stock price fell below the 50-day EMA and went on declining continuously. The price is currently headed to test a 3-year low price.&nbsp;</p>
<h2 class="wp-block-heading" id="strong-walt-disney-businesses-and-earning-sources-strong"><strong>Walt Disney Businesses and Earning Sources</strong></h2>
<p>Walt Disney Company engages in the business of family entertainment and the media industry. The company operates in various segments like Disney entertainment, Disney parks, experiences, and products. It also owns and operates television, radio production, distribution, and broadcasting services.&nbsp;</p>
<p>Walt Disney Company holds a market cap of over $145.15 Billion. It generates revenues through two major sources. Disney Media and Entertainment Distribution segment contributes $55.04 Billion, which is about 66.54% of the total revenue. On the other hand, the Disney Parks, Experiences, and Products segment adds up 34.7% to almost $28.70 Billion of the revenue generated.</p>
<h2 class="wp-block-heading" id="strong-walt-disney-stock-price-heads-towards-three-year-low-strong"><strong>Walt Disney Stock Price Heads Towards Three-Year Low</strong></h2>
<div class="wp-block-image">
 <figure class="aligncenter"><img decoding="async" src="https://lh7-us.googleusercontent.com/TBg9UwJ6lc3nHv9eONEIETysYNgemdoKYVjcr41eOYtXZSrzQOnrBZT9RIHMf6uRWNgHgmwLEsOcc1ASq7_cDCLuO0JAVxpw470ns90P05RECj_1LvNr5lFghi8mcJziXvrYPh2M8FkyLIiVYcHuZb4" alt="Impact of 6-Month Long Lawsuit on Walt Disney Stock Price">
  <figcaption class="wp-element-caption"><a href="https://www.tradingview.com/chart/vVtQEsVt/?symbol=NYSE%3ADIS" rel="noopener noreferrer nofollow">DIS/NYSE Chart by TradingView.</a>
  </figcaption>
 </figure>
</div>
<p>The price action analysis of Walt Disney over the daily timeframe illustrates a bearish outlook for the last two quarters. The DIS stock price fell below the 50-day EMA after suffering rejection from 200-EMA and declined to a recent swing low.</p>
<p>Thereafter, the 50-day EMA acted as a dynamic resistance for the stock price as the price declined to form a new low after suffering from the 50-day EMA. The long-term as well as short-term outlook is bearish and might continue to prevail in the upcoming sessions.</p>
<h2 class="wp-block-heading" id="strong-walt-disney-earning-days-approaching-strong"><strong>Walt Disney Earning Days Approaching</strong></h2>
<p>The Walt Disney Company is yet to announce quarterly results on Wednesday, 8th November which may turn DIS stock price volatile in the pre-earning sessions. The Wall Street analysts are expecting a revenue of $21.377 Billion and expecting the company to deliver earnings of $736 Billion.&nbsp;</p>
<h3 class="wp-block-heading" id="strong-walt-disney-stock-price-forecast-strong"><strong>Walt Disney Stock Price Forecast</strong></h3>
<p><a href="https://www.thecoinrepublic.com/2023/08/02/walt-disney-co-nyse-dis-stock-price-to-reach-100-heres-how/" rel="noopener noreferrer nofollow">The Walt Disney stock price</a> has been showcasing a bearish outlook for the last two quarters. The earning days are nearing after which the stock may show a reversal or continuation of the ongoing trend.</p>
<p>The pre-earnings sentiments are bearish till now as the DIS stock price has been showing no signs of recovery till now. The bears are dominating and dragging the price down to test a three-year low of $75.<br><br>A surprising quarterly result might attract investors and the DIS stock price may turn around. The bulls need more buying volume to counter the selling pressure and surge the price higher.&nbsp;</p>
<p>The technical indicators are showing a bearish outlook in the short term as the price trades below the 50-day EMA and 200-day EMA. The MACD lines are also showing a negative crossover indicating the dominance of sellers at the upper levels.&nbsp;&nbsp;</p>
<h4 class="wp-block-heading"><strong>Conclusion</strong></h4>
<p>Walt Disney stock is on a four-day losing streak and has been trading lower in the current quarter. The stock price suffered rejection from the 50-day EMA and made a breakdown of the $85 level, signaling the continuation of the bearish trend.&nbsp;</p>
<p>The stock price is currently headed to test a 3-year low price. The long-term as well as short-term outlook is bearish and might continue to prevail. The pre-earnings sentiments are bearish till now as the DIS stock price has been showing no signs of recovery till now. The bears are in dominance and dragging the price down to test a three-year low of $75.</p>
<h4 class="wp-block-heading"><strong>Technical Levels</strong></h4>
<ul>
 <li><strong>Support levels:</strong> $78.73 and $76.56</li>
 <li><strong>Resistance levels:</strong> $85.99 and $90.93&nbsp;</li>
</ul>
<h5 class="wp-block-heading"><strong>Disclaimer</strong></h5>
<p>The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.&nbsp;</p>

Impact of 6-Month Long Lawsuit on Walt Disney Stock Price

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Thecoinrepublic.com

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