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US stock market report – Disney crushes expectations

US stock markets finished at all-time highs once again despite a soft finish to the week with the Dow Jones and Nasdaq up a paltry 0.04% on Friday.

The S&P 500 was the biggest contributor, adding 0.2% behind a strong earnings report from the Walt Disney Corporation (NYSE: DIS).

The consumer staples and real estate sectors led gains while the financials and energy sectors declined as a report showed a significant drop in consumer confidence to the lowest level since 2011 as the delta variant spread continues.

Over the week, the Dow Jones led the way up 0.9% with the S&P 500 gaining 0.7% and the tech-heavy Nasdaq slightly lower.

Disney beats expectations

All eyes were on Walt Disney, however, which smashed expectations to report a US$918 million profit.

The group saw quarterly revenue increase by over 50% as the combination of its booming Disney+ streaming platform, reopening of theme parks and increasing sports coverage boosted advertising sales.

Disney+ has now reached 116 million users and is quickly catching Netflix (NASDAQ: NFLX) which sits at 209 million despite a decade of runway.

Disney’s theme park revenue exceeded expectations at US$4.3 billion, with television content including ESPN and ABC reporting a 15% jump in revenue as ad sales grew. Disney shares finished slightly higher.

US stock market movers

Here’s how other popular US stocks closed out the week on Friday.

  • Upstart (NASDAQ: UPST) up 14.1%
  • eBay (NASDAQ: EBAY) up 7.5%
  • Datadog (NASDAQ: DDOG) up 4.0%
  • Baidu (NASDAQ: BIDU) down 4.5%
  • HP Inc (NYSE: HPQ) down 4.6%
  • Trade Desk (NASDAQ: TTD) down 5.5%

Back home on the ASX, the S&P/ASX 200 (ASX: XJO) is set to open lower on Monday. For all the latest, check out Rask Media’s ASX 200 morning report.

The Golden Rules of Investing

We might be experts in retirement, but with combined financial advice experience of 35+ years, we’ve nearly seen it all. 

In mid-2023, our senior team at Wattle Partners Financial Planning put the finishing touches on a brand-new report “The Golden Rules of Investing“.

In this free report, we outline the key principles that determine all of the portfolio construction and investment decisions of Wattle Partners. Collated over decades, this paper should be seen as a work-in-progress, constantly under review in light of the ever-evolving nature of markets. 

You’ll find the free report on my Author page. Simply click the button below to view the Golden Rules.

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Disclosure: At the time of publishing, Drew owns shares in Disney and Trade Desk.

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Wattle Partners is a financial advice firm, servicing clients around Australia, specialising in retirement planning (pre and post retirement). 

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