Disney Stock Dips Amid Kimmel Controversy as Streaming Segment Shows Strength

Disney shares fell 1.9% this week to $113.76 following ABC's suspension of Jimmy Kimmel's show, erasing earlier gains that had pushed the stock to $115.96. Trading volume surged to 8.9 million shares during Friday's session as the company's market capitalization settled at $204.5 billion.

While traditional TV operations face ongoing subscriber declines, Disney's streaming division turned profitable with ESPN partnerships driving growth. Analysts maintain a positive outlook, projecting $5.85 EPS for the full year despite recent volatility.

The stock continues to face resistance in the $117-$118 range, with selling pressure emerging after brief rallies. Market reaction to the Kimmel controversy highlights the sensitivity of media stocks to content-related risks.