On Wednesday, the shares of Walt Disney Company dived as its top executive Bob Chapek projects slower fourth-quarter subscriber growth.
The entertainment giant plunged 4.17% or 7.44 points to $171.17 per share.
Consequently, the decline followed its previous loss of 2.65% to $178.61 per share yesterday.
Walt Disney is a world-leading family entertainment and mass media company.
Currently, it stands with a market capitalization of $324.56 billion and shares outstanding of $1.82 billion.
On Tuesday, Disney’s CEO Chapek warned that the September streaming service growth would be slower than the expectations.
He did not disclose the precise number but expected to add low single-digit million subscribers.
Then, the company’s recent forecast lowered than the analysts’ estimates of an additional 13.00 million.
In the third quarter, Disney+ doubled to 116.00 million subscribers from 57.50 million a year earlier.
Still, the firm carries on its forecast data of 230.00 million to 260.00 million in 2024.
Moreover, Walt Disney Company remains optimistic about its growth outlook amid production delays caused by the wider spread of the Delta variant.
Also, the business faced conflicts with its mobilizing partners in launching the Star Plus service in Latin America.
Accordingly, CEO Chapek noted that the implications are short-term as 61 new movies and 17 series lined up for production.
At the same time, competition on streaming services heats up as rival companies like Netflix and Amazon invest in providing new programs.
Furthermore, Netflix Inc. already posted 209.18 million subscribers.
Subsequently, it plummeted 0.40% or 2.29 points to $573.14 per share.
Then, Amazon Prime Video reached almost 200.00 million subscribers.
Consequently, Amazon.com declined 0.36% or 12.10 points to $3,343.63 per share.
DJIA Slipped as Walt Disney Company Dived
Moreover, the Dow Jones Industrial Average slipped as Walt Disney Company dived on Wednesday trading.
The benchmark DJIA edged down 0.15% or 50.63 points to $33,919.84 per share.
Accordingly, Walt Disney stumbled to the bottom of the index.
Then, the 3M Company followed as it shed 1.17% or 2.11 points to $178.42 per share.
In addition, Cisco Systems Inc. decreased 1.13% or 0.63 points to $55.26 per share.
Similarly, the S&P 500 index fell 0.08% or 3.54 points to $4,354.19 per share.
Apple Inc. improved 0.34% or 0.49 points to $143.43 per share.
Likewise, Microsoft Corporation rose 0.17% or 0.50 points to $294.80 per share.
Meanwhile, the Nasdaq 100 index hiked 0.10% or 15.58 points to $15,027.77 per share as biotech companies topped.
Remarkably, Seagen Inc. increased 3.74% or 5.95 points to $165.01 per share.
Also, Moderna Inc. climbed 2.53% or 0.71 points to $434.04 per share.