Disney rallies on broad growth

Kim Khan· Host0:00

[instrumental music] Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action, news, and analysis. Good afternoon. Today is Wednesday, May sixth, and I'm your host, Kim Khan. Our top story so far: Disney is rallying after posting solid growth across all major segments. Revenue rose seven percent year-over-year, with gains in experiences up seven percent, entertainment up ten percent, and sports up one percent. Entertainment growth included a four percent benefit from the Fubo transaction, along with higher subscription and affiliate fees and subscriber gains. Experience was driven by stronger domestic park spending and higher cruise activity following the launch of the Disney Destiny. Sports benefited from higher effective rates and the NFL transaction, partially offset by continued linear TV subscriber declines. Looking ahead, Disney expects total segment operating income of about five point three billion in full year twenty twenty-six and EPS growth of roughly twelve percent to around six sixty-four, in line with the consensus. The company is targeting at least eight billion dollars in share repurchases. Seeking Alpha analyst Max Grieve said the quarter was strong but not enough to silence skeptics, noting sports remains pressured by linear declines, while the key question is whether parks can avoid a hit from higher living costs while new CEO Josh D'Amaro reinvigorates the studio pipeline. Among active stocks, Uber is higher after first quarter gross bookings rose twenty-five percent to fifty-three point seven billion, topping estimates. The company guided second