Why Disney stock is soaring as stock price surges


Disney shares soared Thursday after the company announced a record profit of $3.2 billion for the third quarter and $3 billion for 2016.

The company also reported a $3,400 billion net profit.

Disney stock, which rose 7% in early trading Thursday, closed the day up 9% to $84.84.

Disney CEO Bob Iger and Chairman and Chief Executive Officer Bob Iglitz made a splashy earnings call on Thursday, saying the company will be making more than $3 trillion in operating profit.

“We are making a huge amount of money, and it’s going to be an even bigger thing over the next four years,” Iger said.

“That’s what we’re going to do, and that’s the way we’re gonna do it.”

Iger noted that the company is expecting to pay back more than the $2.4 trillion in debt Disney has on hand and that Disney plans to be profitable in 2020 and 2021.

The stock rose 9% in the first hour after the earnings call.

Disney shares, which were down more than 5% in after-hours trading, surged nearly 6% to the highest level in about a year Thursday.

The Walt Disney Company, the nation’s largest publicly traded company, is on track to break even for the first time in three years.

Disney, whose stock has gained about 40% since the end of the recession, posted a profit of about $1.8 billion for its fourth quarter.

The year-to-date profit was $3bn, or $1,000 per share.

The Disney stock jumped nearly 6%, or $2,300, in the afternoon.

Disney said it plans to pay off its $3-trillion-plus debt by the end

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