NEW YORK (TheStreet) -- Shares of Walt Disney Co. (DIS) - Get Report closed higher by 0.90% to $97.82 in Thursday's trading session after the entertainment giant agreed to purchase a one-third stake in the video-streaming unit of MLB Advanced Media, sources told Bloomberg.

The deal is reportedly valued at roughly $3.5 billion.

Disney, which owns the sports network ESPN, will maintain a four-year option to buy an additional 33% stake in the digital unit of Major League Baseball, Bloomberg reports.

Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of A-.

Disney's strengths such as its growth in earnings per share, revenue growth, notable return on equity, expanding profit margins and good cash flow from operations outweigh the fact that the company has had lackluster performance in the stock itself.

You can view the full analysis from the report here: DIS

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.