The Return of Iger
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Disney Stock Price Surges After Former CEO Robert Iger Reappointed
Walt Disney’s shares surged Monday after the entertainment giant replaced Chief Executive Bob Chapek with Robert Iger, the company’s former chairman and CEO.
This month, Disney reported weaker-than-expected fourth-quarter financial results, weighed down by a $1.47 billion loss in its streaming service. It also warned the prospect of a significant economic downturn placed its profitability target at risk.
The stock was recently up about 9% in premarket trading, at $100 a share. If sustained, the jump would be Disney's biggest one-day gain since December 2020. It would still leave Disney shares far below the $154 price from the start of the year.
Mr. Iger is rejoining less than a year after cutting ties with the company, and at a tumultuous time for Disney, which has come under pressure from activist hedge-fund investors.
