TLDR
- ABC indefinitely suspended “Jimmy Kimmel Live!” following the host’s controversial remarks about Charlie Kirk
- Disney stock declined 0.67% in early trading as the suspension announcement impacted investor sentiment
- President Trump praised ABC’s decision, calling it “good news for America” on Truth Social
- Nexstar Media Group’s ABC affiliate stations pre-empted Kimmel’s show “for the foreseeable future”
- Social media boycott calls against Disney and ABC began trending after the suspension announcement
Disney shares dropped 0.67% in early U.S. trading as its ABC network made the decision to suspend “Jimmy Kimmel Live!” indefinitely. The late-night show faced cancellation after host Jimmy Kimmel made controversial remarks about Charlie Kirk during a recent episode.
The move has put Disney’s brand reputation under scrutiny. Investors are watching closely as social media boycott calls against Disney and ABC gain momentum.
ABC operates as a subsidiary of Disney, which controls its programming decisions. The network made the suspension announcement following Kimmel’s comments about the conservative activist.
Nexstar Media Group, which owns roughly 10% of the approximately 225 ABC affiliate stations, said its stations would pre-empt the show “for the foreseeable future.” This decision came before ABC’s official suspension announcement.
The Controversial Comments That Started It All
Jimmy Kimmel has hosted the late-night show since 2003. The program features celebrity interviews, comedy segments, and political commentary.
In the episode that triggered the suspension, Kimmel stated: “The MAGA Gang desperately trying to characterize this kid who murdered Charlie Kirk as anything other than one of them and doing everything they can to score political points from it.” The MAGA Gang reference pertains to supporters of President Trump’s Make America Great Again movement.
The remarks quickly drew backlash from viewers and political figures. Social media platforms saw an immediate response with calls for boycotts trending.
ABC faced pressure from affiliate stations almost immediately. The network’s decision to suspend came as criticism mounted across various platforms.
Presidential Response Amplifies Controversy
President Trump responded positively to ABC’s suspension decision. He called the move “Great news for America” in a Truth Social post.
Trump congratulated the network in his statement. He also described Kimmel’s show as “ratings challenged” in his social media response.
The President has a history of pressuring broadcasters to remove content he disagrees with. His support for the suspension reflects his consideration of Kirk as part of his political family.
Trump’s endorsement of the suspension added another layer to the controversy. His comments reached his substantial social media following.
Impact on ABC Ratings and Disney Stock
The suspension could create short-term viewership challenges for ABC. “Jimmy Kimmel Live!” serves as a staple of the network’s late-night programming lineup.
Regular late-night audiences may turn to competing networks. The show’s absence leaves a gap in ABC’s programming schedule.
Disney’s stock faced immediate pressure following the announcement. The 0.67% decline reflects investor concerns about potential brand damage.
Social media boycott calls add another layer of concern for the entertainment giant. These campaigns can impact consumer sentiment and purchasing decisions.
Disney’s business extends beyond ABC to include streaming services, theme parks, and other media properties. However, controversies at any major subsidiary can influence overall investor sentiment.
The suspension represents a rare instance of a major network pulling a long-running show over host comments. Industry observers are watching how this decision affects Disney’s relationship with talent and content creators.
TipRanks maintains a Strong Buy consensus rating on Disney stock based on 19 Buy ratings and three Hold ratings. The average price target of $137.0 suggests 18% upside potential from current trading levels.
