• Loading stock data...
Wednesday, July 9, 2025

Analyst: ESPN Spinoff ‘Probable’ in 2023

  • Last month, Disney announced Bob Iger would return as CEO.
  • Wells Fargo analyst Steve Cahall said an ESPN spinoff would make Disney “an attractive pureplay IP company.”
Disney is open to potentially selling an equity stake in ESPN.
Kirby Lee-USA TODAY Sports

Disney’s executive switch-up could indicate a future ESPN spinoff.

The company announced last month that Bob Iger, who was Disney CEO from 2005 to 2020, will replace his hand-picked successor, Bob Chapek.

Iger resisted an ESPN spinoff in the last years of his prior run as Disney CEO, but Wells Fargo analyst Steve Cahall said he could see a spinoff happening soon.

“We think Bob Iger is returning to [Disney] ready to make big changes,” he said, adding that a spinoff would make the Mouse “an attractive pureplay IP company.”

  • ESPN isn’t considered an intellectual property, but Cahall said Disney has become a “franchise IP leader with global scale” through other acquisitions.
  • “With linear and sports trends diverging from core IP, we think severing the company is increasingly logical,” he said.

“Investors can build their own portfolios, and we think ESPN inside of [Disney] is a portfolio with less and less logical connection as time goes by,” Cahall said. “As such, to us it’s a reasonably probable event for late 2023.”

In the fiscal year ending Oct. 1, 2022, ESPN lost 2 million subscribers.

Walt Disney logo at pitch level inside stadium

ESPN, Disney Channel Each Lost 2M Subscribers

The networks lost 2 million subscribers each in the last fiscal year.
November 30, 2022

ESPN Opinions

Activist investor Dan Loeb previously pushed for a spinoff but backed off after he gained “a better understanding of ESPN’s potential as a standalone business.”

In September, Disney CFO Christine McCarthy said Disney sees “ESPN as being part of our overall portfolio.”

“We’re very much against spinning off ESPN … that’s the dumbest thing ever,” Jason Bazinet, managing director at Citi, said last month.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Jun 28, 2025; Arlington, Texas, USA; Seattle Mariners catcher Cal Raleigh (29) bats during the game between the Texas Rangers and the Seattle Mariners at Globe Life Field.

The Torpedo Bat Business Is Still Going Strong: ‘Here to Stay’

Demand for the oddly shaped bats has stayed strong across the sport.
Brooklyn, NY - June 25, 2025 - Barclays Center: Chiney Ogwumike on the set of NBA Today during round one of the 2025 NBA Draft

ESPN’s Chiney Ogwumike on Her Post-WNBA Second Act: ‘I Still Have to..

In her next chapter, Ogwumike is embarking on her new “greatest adventure.”
Paige Bueckers
exclusive

Women’s March Madness Expansion Wouldn’t Yield More ESPN Money

ESPN is not required to pay extra if women’s March Madness expands.

Texas Sports Teams, Leagues Donate Over $5M to Flood Relief

NFL, MLB, and NBA teams in Texas donate to flood recovery efforts.

Featured Today

American Celebs Want to Be Sports Owners. Soccer Is Where They Start

As U.S. team prices climb, investors set their sights abroad.
July 5, 2025

Baseball’s Celebrity Row: Behind MLB’s First-Pitch Ritual

Often planned, sometimes spontaneous, the ritual throw is baseball’s celebrity row.
July 4, 2025

3,000 Hot Dogs, $20K in Prizes: Behind the Nathan’s Eating Contest

Nathan’s serves up thousands of hot dogs and $20,000 in prize money.
July 3, 2025

Geoffrey Esper Can’t Catch a Break at Nathan’s Hot Dog Eating Contest

“Hot dogs is not one of my favorite competitions of the year.”
Feb 7, 2025; Storrs, Connecticut, USA; UConn Huskies center Tarris Reed Jr. (5) reacts after his basket against the St. John's Red Storm in the first half at Harry A. Gampel Pavilion.

After Decade Apart, ESPN and Big East Rekindle Media Rights Relationship

After a decade-plus apart, the network will stream hundreds of conference events.
July 2, 2025

Paramount Settles Trump Suit Ahead of NFL Season, Skydance Merger

The deal likely allows the much larger Skydance merger deal to proceed.
Jul 6, 2025; Houston, Texas, USA; Mexico forward Marcel Ruiz (14) heads the ball in front of United States midfielder Brenden Aaronson (11) in the second half during the 2025 Gold Cup Final at NRG Stadium.
July 7, 2025

USMNT Struggles Still Produce Big Gold Cup Ratings for Fox

The U.S. team’s recent issues culminated in a loss to Mexico.
Sponsored

Game On: Portfolio Players Stories, Brought to You by E*TRADE from Morgan Stanley

Dealmaker Jeffrey Kaplan maps the evolution of sports as an asset class
Leo Messi
June 27, 2025

TNT, Club World Cup Ride Messi to Surprisingly Solid Debut Ratings

TNT Sports carries about a third of matches in the U.S.
June 24, 2025

Fever vs. Aces Draws 5th-Largest TV Audience of 2025 WNBA Season

ESPN will carry seven more Indiana Fever games this year.
June 23, 2025

NBA Finals Game 7 Is Most-Watched Since 2019, but Series Drops 9%

Game 7 drew 16.35 million viewers, the most-watched NBA game since 2019.
June 19, 2025

Pacers Force Game 7, Could Spark Big Ratings Boost for NBA Finals

Game 7 could boost NBA Finals ratings after a slow start this year.