Hurricane Milton Could Cause Tens of Billions in Losses, Analysts Say

Hurricane Milton is projected to cause tens of billions of dollars of economic losses when it makes landfall in Florida this week, analysts at Jefferies said Monday.

Milton, which weakened slightly to a Category 4 storm Tuesday morning, is expected to make landfall near Tampa Wednesday.

“While too early to make insured loss estimates, a major hurricane impact in one of Florida’s most heavily populated regions could result in mid-double-digit billion dollar loss,” the analysts said.

Disney World, Other Florida Parks Could Be Impacted

The Walt Disney Co. (DIS) parks division is projected to take a $150 million to $200 million hit due to the impact of Hurricane Milton, according to analysts at Goldman Sachs, who based their estimate on prior storms including the $100 million impact from Hurricane Irma in 2017.

Over the weekend, Florida Gov. Ron DeSantis declared a state of emergency for 51 counties, including those that house every major theme park in the state. In addition to Walt Disney World, Comcast’s (CMCSA) Universal Orlando and United Parks & Resorts’ (PRKS) SeaWorld Orlando theme parks could face disruption. 

In Disney’s case, Goldman expects the Parks and Experiences division to take a hit in its fiscal 2025 first quarter, which spans October to December. The bank lowered its overall fiscal 2025 earnings per share (EPS) estimate to $5.14 from $5.22, which is still above the $4.56 consensus of analysts polled by Visible Alpha. 

Florida Airport Closures

Tampa International Airport closed Tuesday morning, and St. Pete-Clearwater International Airport said it will close after its last flight Tuesday night. Orlando International Airport plans to close 8 a.m. Wednesday.