Walt Disney Co. announced on Oct. 21 that it is working with Morgan Stanley Executive James Gorman to lead succession planning alongside CEO Robert Iger, and will name a new chief executive in early 2026.
Iger has led Disney for nearly two decades, initially serving as CEO and chairman from 2005 to 2020. He returned to the CEO position in November 2022 after his successor, Bob Chapek, was dismissed by the company’s board.
The succession process has been challenging for Disney in the past, as Iger delayed his retirement four separate times—in 2013, 2014, and twice in 2017—despite indicating an intention to step down. After appointing Chapek as his successor in 2020, it wasn’t long before Iger returned as CEO following Chapek’s short-lived tenure, which was marked by several challenges including the COVID-19 pandemic and discrepancies among the board. With Gorman now leading Disney’s succession planning, there’s hope for a stable future with the next chief executive.
Gorman assumed the role of executive chairman of Morgan Stanley in January, after previously serving as CEO and chairman. He joined Disney as a director earlier this year and will become Disney’s chairman on Jan. 2, 2025, after the company announced that the current chairman, Mark Parker, will step down at this year’s end. Earlier this year, Gorman also announced his plan to step down as Morgan Stanley chairman by the end of 2024.
“Succession planning has obviously not been Disney’s strong suit. You know, they have had botched succession attempts now multiple times,” Geetha Ranganathan, media analyst at Bloomberg Intelligence, said. “This is important. You have arguably one of the best executives in the business in James Gorman, who led such a smooth, orderly transition in his own CEO transition – he just did it in five months.”
At Disney, Gorman and the rest of the succession committee interviewed four division leaders in recent weeks: ESPN Chairman Jimmy Pitaro, Disney Experiences Chairman Josh D’Amaro, and Disney Entertainment co-Chairmen Dana Walden and Alan Bergman. The Disney board reiterated that it is considering external candidates as well, and the new 2026 timeline allows for a more cautious, well-informed decision for picking Iger’s successor.
Disney’s stock fell 1.5% following the announcement and continued to decline, dropping 2.3% by the week’s end. The company initially intended to announce a successor in 2025. The decision to push this back to 2026 leaves investors waiting longer to find out what’s next for Disney’s future leadership. Conversely, the extended time for planning, along with Gorman leading the process, has many hoping that the succession will be smoother this time around.
“There’s a lot of open questions still about the company’s future,” Bloomberg’s Felix Gillette said on an episode of Bloomberg Technology while discussing the recent announcements.
