Walt Disney (NYSE: DIS) theme parks are open to the public again, everyone you know is queuing up Black Widow on Disney+, and Disney Cruise Line will finally resume sailing again from Florida in early August. Those are good signs for the Mickey Mouse company and for its shareholders.
Even so, Disney stock hasn’t taken off this summer. It pulled back after gains earlier in the year, and the stock price has been hovering in the $170 to $180 range since early June. The optimistic investor with cash on hand might see this as a buying opportunity — to get in on Disney stock now before the company fully regains its stride in a post-pandemic world.
But even investors who are strapped for cash have the opportunity to add Disney to their portfolios. The solution is fractional investing, which is just what it sounds like: Buying fractions of stock instead of whole units.
Disney for one-tenth the price
Let’s say your budget for buying Disney stock this month is $20. If your broker supports fractional investing, you can buy one-tenth of a share of DIS for about $18. Your Disney position will function mostly the same as a full share of stock, but on a smaller scale. Specifically: