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Apple could purchase Disney during stock drop, says analyst

Stock fell below $100 per share
Apple could purchase Disney during stock drop, says analyst

Apple could look to acquire The Walt Disney Company after its stock fell below $100 per share last week.

As reported by THR, the claim arrived via a research paper noting that Disney's market capitalisation is equal to approximately $165 billion and Apple's currently has an estimated $107 billion in cash and securities.

Apple's stock subsequently rebounded on March 13th by 12 per cent while Disney's grew by 11.7 per cent.

"Take advantage"

"We believe those with long-time horizons, like mega-cap companies with large cash balances and whose equity outperformed Disney over the last three weeks, like Apple, could take advantage of the volatility," said Rosenblatt Securities analyst Bernie McTernan.

"The upside from acquiring Disney would be securing their content/streaming strategy and potential synergies from adding the emerging Disney ecosystem to the iOS platform."

Apple was recently hit with a €1.1 billion ($1.23 billion) fine for fixing prices from L’Autorité de la concurrence, France's antitrust watchdog.

Meanwhile, Disney named Bob Chapek as its new CEO effective immediately, succeeding Bob Iger.