Searching for smart, safe news you can TRUST?

Support safe, smart, REAL journalism. Sign up for our Axios AM & PM newsletters and get smarter, faster.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Searching for smart, safe news you can TRUST?

Support safe, smart, REAL journalism. Sign up for our Axios AM & PM newsletters and get smarter, faster.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Denver news in your inbox

Catch up on the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Des Moines news in your inbox

Catch up on the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Minneapolis-St. Paul news in your inbox

Catch up on the most important stories affecting your hometown with Axios Minneapolis-St. Paul

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tampa-St. Petersburg news in your inbox

Catch up on the most important stories affecting your hometown with Axios Tampa-St. Petersburg

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Deserted Disney resort in Kissimmee, Fla., on May 5. Photo: Daniel Slim/AFP via Getty Images

New CEO Bob Chapek had quite a first earnings call on Tuesday, announcing that Disney had seen its earnings fall by 90% in the first quarter. Still, Chapek asserted the company was "confident in our ability to withstand this disruption."

Why it matters: Disney is perhaps more representative of the global economy than any other company on earth and its stock has been one of the few that seems to reflect the damage the COVID-19 pandemic has done.

What it means: Roughly half of Disney's revenue is directly tied to industries that have been shut down, like parks and resorts, advertising and film.

  • As the New York Times notes, the Mouse also has "four TV studios that together produce about 70 shows; 42,000 hotel rooms and time-share units across three continents; the world’s largest licensing business, with annual merchandise sales of $55 billion; a publishing arm that churns out children’s books, magazines and digital products in 68 countries and 45 languages; a chain of 25 Disney English schools in China."
  • That has resulted in Disney's stock falling by around 32% this year.

The intrigue: Disney beat analysts estimates for revenue, at $18 billion, but fell well short of earnings estimates, which at only 60 cents per share were well below expectations of 91 cents and less than half of what analysts were expecting a month ago.

  • The big earnings miss came despite having already taken major steps to cut costs, including furloughing 100,000 employees.

Yes, but: The one bright spot has been Disney+, which Disney now says has 54.5 million subscribers.

  • That less than one-third of streaming rival Netflix, but Netflix's stock is now four times the price of Disney's and Netflix has no other revenue streams, temporarily shuttered or otherwise.
  • Netflix's market cap has now grown to $186.8 billion, exceeding Disney's $182.5 billion, according to FactSet data.

Go deeper

Sarah Cooper, comedian known for viral Trump lip-syncs, lands Netflix special

Sarah Cooper's TikTok account. Photo: Drew Angerer/Getty Images

Author Sarah Cooper, best-known for her viral lip-sync impersonations of President Trump on TikTok, will star in a Netflix comedy special in fall 2020, the company announced Wednesday.

The big picture: Cooper, who wrote a pair of best-selling books prior to her internet fame, has seen her platform grow to over 500,000 followers on TikTok and over two million on Twitter, according to Netflix.

Ben Geman, author of Generate
26 mins ago - Energy & Environment

Higher education expands its climate push

Illustration: Aïda Amer/Axios

New or expanded climate initiatives are popping up at several universities, a sign of the topic's rising prominence and recognition of the threats and opportunities it creates.

Why it matters: Climate and clean energy initiatives at colleges and universities are nothing new, but it shows expanded an campus focus as the effects of climate change are becoming increasingly apparent, and the world is nowhere near the steep emissions cuts that scientists say are needed to hold future warming in check.

Ina Fried, author of Login
52 mins ago - Economy & Business

The pandemic isn't slowing tech

Illustration: Eniola Odetunde/Axios

Thursday's deluge of Big Tech earnings reports showed one thing pretty clearly: COVID-19 may be bad in all sorts of ways, but it's not slowing down the largest tech companies. If anything, it's helping some companies, like Amazon and Apple.

Yes, but: With the pandemic once again worsening in the U.S. and Europe, it's not clear how long the tech industry's winning streak can last.