Bloomberg Talks: Ross Gerber Talks Disney, Tesla
Date: February 2, 2026
Guest: Ross Gerber, President & CEO, Gerber Kawasaki Wealth & Investment Management
Main Theme:
Ross Gerber shares candid and sometimes provocative insights on the current crossroads facing Disney and Tesla, exploring Disney’s valuation, prospects for a breakup, and the overarching risks and future of Elon Musk’s various companies.
Disney: A Legacy at a Crossroads
[01:15] Discussion Launch: Disney’s Struggles and Valuation
- Ross Gerber expresses disappointment in Disney's current trajectory:
- "The Disney story is a little bit sad for me because... they just can't get the momentum going. And the valuation for Disney just makes no sense. It's so cheap relative to what they're willing to pay for Warner Brothers assets, which are garbage compared to Disney."
- Suggests that the company’s true value isn’t being realized on the market.
Is it Time to Break Up Disney?
[01:48-02:37] Gerber’s Proposed Breakup
- Gerber proposes Disney should be split into three distinct entities:
- Theme Parks, Resorts, Cruise Ships, and Experiences
- Streaming/Entertainment (Non-sports)
- ESPN/Sports
- On management: Comments on internal leadership as symptomatic of the broader problem: “They have to pick one (CEO), which is the problem... they're just completely different businesses with different skill sets.”
- Notes, “Disney's just the parts are worth more than the whole. And we've waited for five plus years since the pandemic... and they haven't (gotten it right). So it's time for change... spinning off ESPN.”
The Cross-Pollination Question
[02:53-04:16] Could Synergies Survive a Breakup?
- Co-Host raises concerns about business synergy (theme parks leveraging entertainment IP, for example).
- Gerber responds:
- “Yes, and I think it still works now that way... they license all their IP to the theme parks and resorts anyway… I think the real issue is extracting value from the very valuable assets and IP that Disney has while everybody's fighting over crappy IP and assets. Like Disney has the best assets in Hollywood.”
- Argues the key is recognizing and unlocking Disney’s underutilized asset value.
Quote highlight:
“I just don't think they have a future. The market's saying like wait, we don't see this future that you're, you're making for us. Iger is ready to leave. You know... the entertainment business is never going to be the same after this merger goes through. And I don't know what it looks like on the other side.”
— Ross Gerber [03:49]
On the Value of Disney’s Segments
[04:50-06:06] Evaluation of Disney’s Business Lines
- Gerber is bullish on parks, resorts, and cruises (“killing it for them… tons of cash flow”) and streaming, acknowledging Disney+ as a solid competitor.
- Describes ESPN as “now like dominating sports again,” but highlights the lack of synergy: “ESPN financials don't make any sense next to the cruise ship financials... they just don't complement each other."
- Criticizes the market's current assessment:
“If they were able to prove that these assets, I think are worth closer to $150 a share... but at $100 a share, you got to break up this company and find value for its shareholders. After five years of waiting.”
— Ross Gerber [05:40]
Tesla, Musk, and the Merging of Empires
[06:06] Elon Musk’s Multi-Company Merger Rumors
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Discusses rumors of merging SpaceX, X (formerly Twitter), and xAI.
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Gerber draws attention to the often-solipsistic nature of these moves:
“First of all, you're saying Elon Musk's in talks with himself. Like, who's he it talks with? I don't think Elon Musk talks to anybody. He's going to do this.”
— Ross Gerber [06:57] -
Gerber’s viral social post lampooned Musk’s strategy:
“X was out of money, merged with Xai. Xai out of money, merged with SpaceX. SpaceX out of money, merged with Tesla... when they are all out of money.”
— Paraphrased from Ross Gerber’s post, discussed at [06:47] -
Skeptical of business models:
- Warns on the capital-intensive and speculative nature: “All these businesses are incredibly capital intensive with very, very question profit margins or even viability. Like data centers in space is not a viable business.”
On Betting with (and Against) Elon Musk
[08:16-09:33] Gerber’s Investor Stance on Musk
- Host asks why Gerber still invests in Tesla and Musk-related ventures.
- Gerber sets boundaries:
- “Please don't say that. I like what Elon's doing. I actually abhor him. Okay. He's doing horrendous things that I don't agree with at all... But he is one of the greatest engineers of our time… I don't bet against Elon... I bet with crazy people sometimes and that's worked for me over my life.”
- Emphasizes investing is about returns, not always ideological alignment.
Risk Tolerance: Elon Musk vs. Tim Cook
[09:38-09:59] Contrasting Corporate Philosophies
- Gerber draws a sharp contrast with Apple’s CEO:
- “You have Tim Cook at Apple who won't do anything. This guy is so risk averse, he's scared to get in the water... you have Elon on one end of the risk spectrum and you have Tim on the other.”
Notable Quotes & Timestamps
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On Disney’s stagnation:
"We've waited for five plus years since the pandemic for them to do something good and they haven't. So it's time for change at Disney and I think it's breaking up the business and spinning off ESPN."
— Ross Gerber [01:46] -
On corporate synergy at Disney:
"The real issue is extracting value from the very valuable assets and IP that Disney has while everybody's fighting over crappy IP and assets. Like Disney has the best assets in Hollywood."
— Ross Gerber [03:49] -
On Musk’s mergers:
"You're saying Elon Musk's in talks with himself. Like, who's he it talks with? I don't think Elon Musk talks to anybody. He's going to do this."
— Ross Gerber [06:57] -
On betting with visionaries:
"I bet with crazy people sometimes and that's worked for me over my life."
— Ross Gerber [09:20] -
On risk aversion in tech:
“You have Tim Cook at Apple who won't do anything. This guy is so risk adverse, he's scared to get in the water.”
— Ross Gerber [09:38]
Key Takeaways
- Disney:
- Dramatic undervaluation compared to asset quality.
- Gerber advocates for breaking the company into three distinct arms for greater value realization.
- Strong performance in traditional assets but streaming and ESPN complicate the picture financially.
- Tesla/Elon Musk:
- Skepticism over continuously merging capital-intensive companies as Musk’s solution to funding.
- Despite personal disagreements with Musk, Gerber acknowledges his genius and opts to “bet with crazy people”—not against, but with, as a matter of financial pragmatism.
- Places Musk and Cook on opposite ends of the risk spectrum, underscoring that risk-taking vs. risk aversion defines today’s tech landscape.
This episode is rich in candid, unfiltered opinions with plenty of memorable lines and a tough-love perspective on two American icons at pivotal moments.