This is a tale of two media giants, in COVID-19 times, as told by Michael Nathanson, the esteemed Senior Analyst of New York financial house MoffettNathanson.
With their respective Q2 earnings reports out, Nathanson took a microscope to The Walt Disney Co. and to Fox Corporation.
His assessment: Disney has been “rightly rewarded” for what Nathanson calls their “full commitment and now stellar execution of their pivot to Direct-to-Consumer services.” In contrast, despite Fox’s “solid” first year featuring 7% affiliate growth, ‘the company has no such narrative,” Nathanson declares.
Investors listened, with DIS up sharply and FOXA down in midday trading on Wednesday.