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30 October 2012: Disney buys Lucasfilm and Star Wars

Disney agreed to buy Lucasfilm from George Lucas for about $4 billion in cash and stock, and announced a new Star Wars film for 2015. Some critics thought the price steep for a franchise whose last films had disappointed fans. The sequels, spin-offs, merchandise and theme park lands that followed suggest Disney got a bargain. It was the third of Disney's major content buys, after Pixar and Marvel.

The lesson: Buying beloved stories cheaply and exploiting them patiently is a durable business.

What it meant for investors

$1,000 in Disney at the start of 2012 → $2,895 today, vs $5,312 in the S&P 500.

We start the clock at the start of 2012, the year it happened. That is 2.9 times the money, but $2,418 less than a plain index fund made over the same years.

What Disney teaches: Expensive strategic pivots can take years to pay off; a company remaking itself for a new era can leave shareholders waiting a long time.

Bought inPrice thenWorth todayS&P 500 would be
2012$38.00$2,895$5,312
2015$94.00$1,170$3,301
2018$108$1,019$2,519

green = beat the S&P 500 · red = lost money

What if you bought Disney? Every starting year and the full story →

30 October 2012: Disney buys Lucasfilm and Star Wars