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Julie Morgan: And of course, we always have a weekly treat with Kim Khan with the Catalyst Watch. Kim, what do you have for us this week?
Kim Khan: Well, there’s another big week on the macro front following this action-packed Fed week. We’ve got the CPI numbers coming out, you know, for October. It’s a big number. It’s 1 to 2 that the Fed’s getting before their next and final meeting of the year, not looking for a lot of big movement, although there’s going to be, probably, headline numbers still north of 8%, core number only dipping slightly. So, I mean, anything below 8%, you know, might give the market some juice.
Clearly, they weren’t too happy with the hawkish tone that Fed Chief Powell had in his press conference kind of we were looking at — we asked in our Twitter poll last week whether they thought this — this Fed pivot was actually for real, and more than 70% said, no, it’s they’re still hawkish, so they’re pretty much right on the money as far as Powell was concerned. And we’ll see if the new data has anything to shift that.
JM: And I understand that the Walt Disney Corporation (DIS), they’re reporting earnings next week. I know something that I always look for whenever I think of Disney would be Disney+, but I know there’s so much more. So what do you have on that front?
Kim Khan: Yes. They’ll be reporting their quarterly earnings Tuesday, and Disney+ will be a big part of it. They’re going to be looking at numbers, and according to our media editor, Jason Aycock, it’s going to be really interesting to see how this investment in new content drove subscriptions. A lot of new shows came out, and whether that’s gaining the interest of people and actually signing up, it’s coming ahead of big — two big moves for Disney+.
They’re going to be hiking prices and also adding an ad-supported tier. So, they’ll be looking for comments on that. Another big thing is just parks’ attendance. That really drove earnings last quarter, and they haven’t really said anything about signs of that slowing up even in the face of, like, cost of living problems in the United States and 8% inflation.
People still, you know, may have some savings or just, like, still have some, you know, pandemic stress to burn out at the new Star Wars ride, and so that should be a strong driver to the earnings as well. And so that’s what we’re going to ask our viewers in our newest Twitter poll is whether they simply think that Disney is a good stock for 2023.
JM: Yes. And you can find that poll at Wall Street Breakfast on Twitter. Make sure you follow us. Kim, thanks for joining me today. I will see you next time.
Kim Khan: Thanks so much.
JM: For more coverage, catch our daily one-page news, summaries, and podcasts on seekingalpha.com/wsb. I’ll see you next time.
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