NBA Finals are Making Disney Crazy

By TheWild1 at 17 June, 2008, 12:49 am, Categories : Stock Recommendations

Ok so maybe I am exaggerating a little bit, but the NBA Finals are not exactly unfolding the way many people thought. Going into the series there were many more Laker followers than Boston; however, after Game 1 many decided to take it out on Disney (DIS).

If you haven’t been following the series, right now 5 games have been played with Boston taking three of them. With a best of seven, they only need one more game out of the next two.

Date of Games Played

Game 1 - June 5; Boston Win

Game 2 - June 8; Boston Win

Game 3 - June 10; Laker Win

Game 4 - June 12; Boston Win

Game 5 - June 15; Laker Win

By looking at the chart, we can somewhat see the outcome within the stock. The circles highlight the movement after the game took place.

Disney Finals Effect

Game 1 and 2

After the Celtic wins in both Game 1 and 2, the stock took its hardest hit over the series. It basically dropped a point and half. Either the outnumbered Laker fans weren’t liking the outcome and/or this made it look like there were going to be less games for Disney, which means less revenue.

Game 3

The Lakers were finally able to grab the first win in front of a home crowd. We can see the rise in Disney’s stock. This guaranteed at least one more game and the hopes of many Laker fans.

Game 4

Game 4 didn’t turn out as well. The Lakers basically gave away a game in which they had total control at one point. No team in the NBA Finals has ever come back from a 3-1 deficit. It looked bleak.

Game 5

With an one day extra in the time between Game 4 and 5 many believed there is no way Kobe Bryant would let his Laker team go out in LA. This led to a rise in Disney, which was punctuated by a Laker win.

Whats Left to Come

Now the series heads back to Boston for the final 1 or 2 games of the series. Boston has only lost once at home. It will be interesting to continue to see how Disney’s stock moves with the remainder of the Finals. Imagine if the Lakers could push it to a Game 7, and then even WIN!

Are you risky enough to play that bet?