Cramer reacts to Nelson Peltz pushing for two board seats at Disney

November 30, 2023 08:17 AM PST | By Invezz
Follow us on Google News:

Walt Disney Co (NYSE: DIS) is trending down at writing following reports that Nelson Peltz is pushing for two seats on its board.

Nelson Peltz has a sizable stake in Disney

The activist investor is the founder of Trian Partners – an investment management firm that currently holds over $2.0 billion worth of Disney shares.

Peltz wanted to see how the entertainment conglomerate performs in its fourth financial quarter before concluding if such a move indeed was required, as per CNBC that first reported the news today.

Earlier in November, the Walt Disney Co said its quarterly revenue came in shy of Street estimates and added another $2.0 billion to the overall savings it wants to derive out of its cost-cutting initiatives.  

Shares of the mass media behemoth are currently down about 10% versus their year-to-date high. Watch here:

Disney recently added new directors to board

The announcement arrives only a day after Disney added James P. Gorman (Morgan Stanley CEO) and Jeremy Darroch (former Sky TV CEO) to its board.

Many believe the move was an attempt to avoid a proxy fight with Nelson Peltz. Still, famed investor Jim Cramer said this morning on CNBC’s “Squawk on the Street”:

He [Peltz] will make a direct challenge. He’ll go right to the shareholders. It’s not going to be negotiated. He’s not happy with these two picks. So, he’ll launch the proverbial proxy fight.

Note that Peltz was interested in a proxy fight with Disney in February as well. He later ditched that plan, however, after CEO Bob Iger laid out a strategy that eased his initial concerns (read more). Wall Street currently has a consensus “overweight” rating on $DIS.  

The post Cramer reacts to Nelson Peltz pushing for two board seats at Disney appeared first on Invezz


The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media LLC (Kalkine Media, we or us) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.

Top Listed Companies