Disney stock falls as Kimmel suspension prompts investor scrutiny

ABC’s late-night program Jimmy Kimmel Live returned to the air on September 23 after a five-day suspension that has prompted investor scrutiny, a wave of reported streaming cancellations and renewed debate about broadcaster independence. The suspension, announced on September 17, followed public criticism of comments the host made about the killing of influencer Charlie Kirk on September 10. ABC is owned by The Walt Disney Company.

A journalist and a Disney source reported that more than 1.7 million paid streaming subscriptions to Disney-owned services, including the company’s primary streaming service, Hulu and its sports service, were canceled between September 17 and September 23. That number was described as a roughly 436 percent increase above the typical churn rate for the period. Disney announced a planned price increase for bundled streaming plans the same week; a company spokesperson said the pricing changes had been planned for months and were unrelated to the controversy.

Market data show a decline in Disney’s market value and share price during the suspension. The company’s market capitalization fell by more than one billion dollars overnight after the suspension and...