Luke Skywalker appeared to be the last of his kind in "Star Wars Episode VII: The Force Awakens." (Photo : Twitter/StarWars_VII)
Analysts' projections that "Star War: Episode VII - The Force Awakens" would gross $2.2 billion when shown globally in December has boosted the shareprices of Disney. The giant film company would likely increase revenue by 6 percent to $13.225 billion, increasing Disney's shareprice to almost 45 percent over the last 12 months.
On Monday, Benjamin Mogil, analyst of Stifel Nicolaus, raised target price for Disney stock to $130 while reiterating a "buy" rating. However, he warned of foreign exchange rates as probable headwinds for Disney, reports CNBC.
Topeka Capital Markets analyst David Miller likewise made a "buy" recommendation due to positive projections on "Star Wars" earnings and the opening of the Shanghai Park, as well Nomura Securities analyst Anthony DiClemente.
The website pointed out that Wall Street is crazy over "Star Wars," including consumer products, that details about the film further improves projections at the box office. USNews added that it was a long 10-year wait from "Star Wars: Episode III - Revenge of the Sith" and as a movie franchise, "Star Wars" is significant to Americans as baseball and apple pie.
In 2012, Disney paid $4 billion for the franchise, but it has generated $27 billion in box office receipts, DVDs, video games, toys and books. Besides "Star Wars," other growth drivers for Disney are the theme parks which enjoy higher attendance on spending.
Consumers too can profit from "Star Wars" by buying now related equities of the franchise. These are shares of The Walt Disney Co. (DIS), Mattel Inc. (MAT) and Electronic Arts Inc. (EA). Mattel, besides making Barbie dolls, has the license to market "Star Wars"-related cars and vehicles, while Electronic Arts has a 10-year licensing agreement with Disney to make "Star Wars" games.
