Disney Names Josh D'Amaro New CEO: What It Means for Investors

• Josh D'Amaro, head of Disney's experiences business, will succeed Bob Iger as CEO in mid-March, a move largely anticipated by Wall Street.
• D'Amaro's division, encompassing parks and cruises, achieved over $10 billion in quarterly revenue, surpassing analyst estimates and contributing significantly to Disney's earnings.
• Despite the positive reception for D'Amaro, Disney's stock fell after the announcement, primarily due to concerns over near-term guidance and weak international tourism to theme parks.
• Analysts believe D'Amaro's appointment removes a succession 'overhang' on the stock, potentially leading to a rally, with an average price target suggesting a 27% increase.
• The new CEO faces challenges including addressing the direct-to-consumer strategy and potentially focusing on core intellectual property over streaming scale, possibly involving the sale of Hulu.