As I write this, the deal looks to be a foregone conclusion. Disney is set to pony up something on the order of $52 billion for Fox's assets (and, as part of the deal, debts).
What a deal…. It comes "fully loaded" with Fox's film and television production operations, the FX network, National Geographic (NatGeo) channel, regional sports networks, and even big stakes in SKY News and Hulu.
For consumers, at least, this deal is rich. I welcomed a baby granddaughter just last week. She could live to the ripe old age of 120, and I'm pretty sure she won't see the end of Disney's "Star Wars" franchise.
Likewise, how long can it be before theme parks start packing 'em in to "Planet of the Apes"- and "X-Men"-based attractions to rake in even more revenue from those franchises?
But… this is not without significant downside risk for "The Mouse" and those who own the shares.
Decision time is fast approaching; I'll show you the right way to play this…
Talking Heads Are Focusing on the Wrong Part of the Deal
About the Author
Tim Melvin is an unlikely investment expert by any measure. Raised in the "projects" of Baltimore by a single mother, he never attended college and started out as a door-to-door vacuum salesman. He set his sights on becoming a stockbroker - and by sheer force of determination, eventually got in the door at a small brokerage firm. Today, as a 30-year veteran of the financial services and investment industry, he has served as a broker, advisor, and portfolio manager, and draws on this three decades of experience to help investors worldwide find "unreasonably good" bargain stocks, multiply profits and build their nest eggs.
Tim tirelessly works to find overlooked "hidden gems" in the stock market, drawing on the research of legendary investors like Benjamin Graham, Walter Schloss, and Marty Whitman. He has written and lectured extensively on the markets, with work appearing on Benzinga, Real Money, Daily Speculations, and more. He has published several books in the "Little Book of" Investment Series and a "Junior Chamber Course" geared towards young adults that teaches Graham's principles and techniques to a new generation of investors. Today, he serves as the Special Situations Strategist at Money Morning and the editor of "Max Wealth" and Heatseekers.