With mixed Q3 earnings and the announcement of a price hike for its Disney+ streaming service during its Aug. 9 earnings call, some investors may be wondering if sticking with Disney (DIS) -) is the right move.
However, one high-profile investor says he is "very bullish on Disney" -- Robert Herjavec, famous for his "Shark Tank" appearances.
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In a CNBC interview on Last Call aired Aug. 9, Herjavec explained why he is "very bullish on Disney."
"I think there are way too many streaming channels, and we're gonna have a big shakeout," Herjavec said. "The people that are gonna survive are the ones that have the brand that can have price elasticity."
He went on to explain why Disney is indispensable to him as a consumer.
"I'm a very simple investor," Herjavec said. "If I took Disney off my streaming service my 5-year old twins would go crazy. So they can raise the price by 20%, 30% -- they can raise it next year, I will pay, consumers will pay. That's not true of all the streaming apps."
Herjavec also believes that Disney's recent partnership between ESPN and Penn Entertainment is a piece of the pie, although he does say that he thinks CEO Bob Iger "needs to figure out what to do with ESPN."
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Herjavec did disclose that he is employed by Disney, as the company owns ABC, which is where "Shark Tank" airs.
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