Isaac "Ike" Perlmutter, the former Marvel Entertainment executive and one of Walt Disney Co's (NYSE:DIS) largest independent shareholders for over a decade, has sold his entire stake in the company, the Wall Street Journal reported Tuesday. Disney stock closed lower by 3.4% Tuesday.

In 2023, Perlmutter teamed up with activist investor Nelson Peltz to campaign for two seats on Disney's board of directors, contributing nearly 26 million shares to Peltz's effort.

In April, Disney shareholders voted overwhelmingly in favor of the company's slate, endorsing CEO Bob Iger and his management team, which resulted in a defeat for Peltz and Perlmutter.

Also Read: Disney Develops Tech to Rival Netflix and Boost Streaming Profits: Report

Following the vote, Perlmutter sold his entire position of 25.6 million shares over several months.

According to communications with his investment adviser, seen by the WSJ, he executed the sale between early April and mid-July at an average price of just under $115 per share.

Perlmutter became a significant shareholder in Disney in 2009 when he sold Marvel Entertainment to the company for over $4 billion.

In a WSJ interview, Perlmutter explained his decision to sell, citing a lack of confidence in Disney's current management.

He expressed interest in repurchasing his old stake if Disney's shares fall to $65 to $75 per share.

In May, Disney reported second-quarter revenue growth of 1% year-on-year to $22.08 billion, missing the analyst consensus estimate of $22.11 billion.

Adjusted EPS of $1.21 beat the analyst consensus estimate of $1.09. Disney+ Core subscribers grew to 117.6 million from 111.3 million a year ago.

Investors can gain exposure to Disney through SGI US Large Cap Core ETF (NYSE:SGLC) and Global X S&P 500 ESG Covered Call ETF (NYSE:XYLE).

Price Actions: DIS shares are trading lower by 0.70% at $90.30 at the last check on Wednesday.

Also Read: Comcast's Q2 Earnings: Studios And Theme Parks Pull Revenue Lower, Broadband And Video Subs Fall

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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