Is Walt Disney Company (DIS) cheap blue chip stock, according to hedge funds?
Recently I published the list 10 cheap blue chip stocks to buy according to hedge funds. In this article, we’ll look at where the Walt Disney Company (NYSE:DIS) fights against other cheap blue chip stocks, according to hedge funds.
As uncertainty in US policy rose, widespread market anxiety has increased, Fidelity says. Financial markets have been overwhelmed by tariff hikes, deregulation and stricter immigration policies. This has led to less sync in the global business cycle. According to the investment management company, the US appeared to show central and slow cycle dynamics in the first quarter of 2025. Furthermore, diversification of bonds and non-US assets is the most important of growth risk. While gold and goods were acquired, the US dollar declined fueled non-US stocks, Fidelity says.
According to loyalty, uncertainty about the direction of US policy had an impact on financial markets during the first quarter, with investors digesting news related to executive action, including increased tariffs, announcements of deregulation, reduced government staffing and programs, and more stringent immigration efforts. And concerns related to the economic impact of tariffs have increased on the global economy, which has increased since the quarter ended. Despite rising growth risks, global expansion was unharmed at the end of the first quarter. Fidelity has expressed the opinion that diversification of bond assets and non-US assets is essential.
According to the investment manager, the S&P 500 Index provided a -4.3% return in the first quarter of 2025 due to the performance of growth stocks (-10%). Meanwhile, gold (+19%) and goods (+8.9%) saw robust profits amid high market uncertainty.
According to Fidelity, consumer inflation remained in the range of ~3% during the first quarter. This was well above the US Fed’s 2% target. The company forecasts sticky inflation to be around 3% the following year, with a risk of rising due to increased tariffs. According to businesses, consumer inflation expectations have risen to multi-year highs, making it easier for businesses to pass on increased costs. Coming to workers, it has remained tough up until now despite increased policy uncertainty, government layoffs and reduced federal funding, Fidelity says. On the supply side, slower immigration and demographic constraints have left wider workforce participation below pre-pandemic rates.
The coming months could be a good time to defend, according to Portfolio Strategy Director (Chief Investment Office), Merrill and Bank of America Private Bank. Investors can consider defensive, dividend payable, value-oriented stocks. In the long run, investors can position themselves when trade uncertainties decrease. This volatility can provide the opportunity to buy assets that support long-term strategies at an attractive price, says McGregor.
To list 10 cheap blue chip stocks to buy according to hedge funds, we scanned holdings of iShares Core S&P 500 ETFs and selected companies that trade with forward P/Es under 20.0x. It also mentioned the sentiment of hedge funds around each stock as of the fourth quarter of 2024. Finally, stocks were organized in ascending order of hedge fund sentiment.
Why are hedge funds interested in the stocks they accumulate? The reason is simple. Our research shows that mimic the top stock picks of the best hedge funds can outperform the market. Quarterly Newsletter’s strategy was to select 14 small and large caps per quarter, returning 373.4% since May 2014, surpassing the benchmark by 218 percentage points (For more information, please see here).
Is Walt Disney Company (DIS) cheap blue chip stock to buy according to hedge funds?
A seat for movie fans watching the blockbuster movie produced by Entertainment Company.
Number of hedge fund holders: 108
Forward P/E as of April 18: ~15.4x
Walt Disney Company (NYSE:DIS) operates as an entertainment company. Wolf Research has now “outperformed” its stock from “peer performance,” highlighting the durable strengths of its core business, even amid wider concerns related to the recession. The company praised the long-term benefits of Walt Disney Company (NYSE:DIS) across theme parks, cruise lines and streaming operations. Peter Supino, an analyst at Wolfe Research, says entertainment businesses can get from measures to limit password sharing practices.
Additionally, analysts are expected to see a tailwind from Linear TV’s decline and streaming bundles. Analysts say the experience at Walt Disney Company (NYSE:DIS) can benefit from launching new cruise ships and updating theme parks. The company’s diverse content portfolio, made up of strong franchises, provides a robust foundation to drive the growth of streaming subscribers. Several of Walt Disney Company (NYSE:DIS) franchises are globally popular and support the international expansion of streaming services. Therefore, by effectively using the content portfolio across streaming platforms, Walt Disney Company (NYSE:DIS) has the potential to expand its subscriber base, promote engagement and reduce churn.
ClearBridge Investmentsthe investment management company has released its first quarter 2025 investor letter. hereHere’s what the fund said:
“We had already begun to move towards a more defensive positioning that entered the quarter, but we made many adjustments in response to the rapid development of both economic and political policies, within the biggest new positions of the period. Walt Disney Company (NYSE:DIS), believes that they changed corners by building streaming services, so margins should change higher and help drive better revenue than the market expects. We believe that a change in business strategy from “growing market share” to a focused approach to improving pricing should help improve both profitability and margins, and remains meaningful attitudes compared to other streaming service providers of similar sizes.
Overall, dis 2nd place A list of cheap blue chip stocks to buy according to hedge funds. While we acknowledge the potential of DIS as an investment, our belief lies in the belief that some deeply undervalued AI stocks offer higher returns and hold a greater commitment to doing it within a shorter time frame. There have been AI stocks that have risen since the beginning of 2025, and the popular AI stocks have lost around 25%. If you’re looking for deep, undervalued AI stocks that are more promising than DIS, but trade less than five times the revenue, check out our report on this Cheapest AI stocks.
