Disney's Leadership Shift: James Gorman Named As Chairman, CEO Search Underway
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Walt Disney Co (NYSE:DIS) named Morgan Stanley’s (NYSE:MS) James P. Gorman as Chairman of the Board, effective January 2, 2025, taking over from Mark G. Parker.
Parker will depart on January 2 after nine years of service. Gorman will depart as Executive Chairman of Morgan Stanley on December 31, 2024.
Also Read: Disney’s Streaming Surge, Epic Games Deal Among Key Growth Drivers, Says Analyst
He is currently Chair of the Disney Board’s Succession Planning Committee, which is working to identify and prepare the company’s next CEO. Gorman flagged Disney’s plan to appoint a new CEO, which it expects to announce in early 2026.
During Disney’s second-quarter earnings call, CEO Bob Iger gave a vague response when asked about his succession plans, stating that the board is actively managing the process with a dedicated committee. Iger assured a smooth transition but did not reveal specific details, sparking continued speculation on who will succeed him. Industry experts named key internal candidates like Dana Walden and Josh D’Amaro. Bob Iger returned as Disney’s CEO in November 2022 after serving as CEO and Chair from 2005 to 2020. In 2020, Iger was succeeded by Bob Chapek, but tensions reportedly arose between the two over the CEO office at Disney headquarters.
Jim Cramer expressed interest in buying more Disney shares if the stock drops below $90 during the October Investing Club Meeting. He noted Disney’s theme parks have faced challenges but emphasized the strategic opportunity of purchasing during market downturns. Cramer suggested Disney focus more on theme parks for growth instead of relying solely on movies and television.
Disney reportedly fired 300 employees across multiple corporate departments as of September. Earlier in 2024, the company let go of 140 employees in its television division and 175 workers in its Pixar subsidiary.
Disney stock lost over 13% in the last six months. Investors can gain exposure to Disney through iShares Russell 1000 Value ETF (NYSE:IWD) and Vanguard Growth ETF (NYSE:VUG).
Price Actions: DIS stock is down 0.76% at $96.55 at the last check Monday.
Image via Shutterstock
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