Disney (DIS) plans to add rides to its California parks as it upgrades and renovates the 490-acre Anaheim Resort with new shop and rest restaurant rentals. Disney stock benefited.
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A new theme park is in operation. New attractions, shops and eateries have been conceived in undeveloped areas of the existing resort in place of a scheme called Disneyland Forward.
Disney officials said the process of allocating construction costs is too early. It expects to submit development plans to Anaheim City Council for approval by 2023.
The resort had the last big completed overall when it spent 1 1 billion to build Star Wars: Galaxy Edge, which opened in May 2019. Avenger’s campus, which features Marvel superhero characters, is set to open in Disney California Adventure soon.
The announcement comes as Disneyland prepares to reopen in limited capacity on April 0. The California Parks have been closed for more than a year due to the epidemic and are the biggest drag on Disney stock.
Parks’ revenue sank 53% to 3.59 billion in the first quarter. The Parks segment’s operating operating revenue was affected by 2.6 billion. Disney sees spending related to regulations and safety measures in fiscal year 2021.
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Disney stock
The stock closed 0.5% lower at 185.92 today. On March 8, DIS stock hit an all-time high of 203.02, when news of the resumption of parks first came out. According to Marketsmith chart analysis, Disney stocks are rising from a flat base by a buy point of 183.50.
Disney stock’s relative strength line is trending upwards again after sinking earlier this month. The RS rating of DIS stock is 71 out of 99 possible.
Streaming competitors Netflix (NFLX) by 1%. In other theme park stocks, Six flags entertainment (Six) 0.5% lighter and Sea World Entertainment (SEAS) lost 1%.
Meanwhile, the company also said that its previously highly anticipated Marvel studio movie “Black Widow” will be in theaters on July 9 and at Disney + Premiere Access.
Follow Adilia Seleni Lineker on Twitter IBD_Adelia.
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