While both The Walt Disney Company (NYSE:DIS) and Twenty-First Century Fox Inc (NASDAQ:FOXA) have posted gains over the past 12 months, the former has outperformed the latter by nearly 13 percentage points. To be specific, DIS shares have climbed roughly 42% year-over-year to perch at $79.03, and FOXA has advanced close to 30% in the same time period to trade at $32.88. A similar trend has been evidenced following the pair's recent quarterly earnings announcements. In fact, since DIS' fiscal first-quarter report on Feb. 5, the stock has jumped more than 10%, and even reached a record high of $80.00 in yesterday's session. Meanwhile, FOXA is currently on its way toward its all-time high of $35.75 (tagged on Jan. 3), having ticked about 3.7% higher since its fiscal second-quarter report released on Feb. 6.
Though Walt Disney appears to be more deserving of bullish sentiment, it is Twenty-First Century Fox that has seen the most upbeat activity in the options pits of late. Over the past 10 trading days, the stock has racked up a top-heavy International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) call/put volume ratio of 9.42. In other words, speculators have bought to open more than nine calls for every one put during the last two weeks. Meanwhile, DIS' 10-day ISE/CBOE/PHLX call/put volume ratio of 1.54 ranks in the 34th percentile of its 12-month range, indicating calls have been bought to open over puts at a slower-than-usual rate during the past two weeks (at a margin of roughly 3-to-2).
On Wall Street, it is, again, Twenty-First Century Fox that has managed to score the most upbeat brokerage notes. Presently, FOXA boasts 16 "buy" or better endorsements, two "holds," and not a single "sell" or worse suggestion, along with an average 12-month price target of $38.86, representing expected upside of 18.2% to the shares' current perch.
Walt Disney has also received a fair share of "buy" or better ratings (13, to be exact); however, nine analysts maintain tepid "hold" recommendations. Plus, the consensus 12-month price target of $80.82 is just a stone's throw away from the equity's current price. As such, the door remains propped open for potential upgrades and/or price-target hikes in the near term, which could give the shares an additional boost.
With that being said, The Walt Disney Company (NYSE:DIS) may be poised for more significant gains than Twenty-First Century Fox Inc (NASDAQ:FOXA) in the near term, from a contrarian point of view. Therefore, DIS is the winner of this week's Brand Face-Off.
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