Jim Cramer Likes Disney -- Says Cheaper Vacation
I happened to stumble on this and thought it was interesting. Jim Cramer on thestreet<dot>com saying that auto travel to Disney World is up and a DW vacation provides more value than other locations.
Despite being beaten up by the market and analysts over fears of rising airfares, Disney stock has positives if one delves deep into its business, he said.
While Cramer agreed that airfares are rising, he noted a recent study which stated that auto traffic to Disney World has been steadily increasing, not decreasing. "The analysts are only counting airplanes," he said.
In addition, room rates around Disney World have been falling, with 75% of rooms now being classified as moderate to value in price. Furthermore, Cramer said the weak U.S. dollar makes travelling to Disney World cheaper for the rest of the world.
Cramer also likes Disney's other businesses such as ESPN, a premium cable property that he said is doing exceptionally well. He called analysts "way behind the curve" in their estimates for the stock.