Disney's Next Big Move: What Investors Are Watching

Disney's fiscal fourth-quarter earnings release has investors watching closely.

Key Areas of Interest

• Experiences Unit: Performance under scrutiny.
• Streaming Services: Continued expansion in focus.

Previous Quarter Highlights

• Earnings: Exceeded expectations.
• Drivers: Strong streaming growth, increased theme park spending.
• Revenue: Fell short of forecasts.

Analyst Outlook

Earnings Growth Projections

• Fiscal Years 2025 & 2026: Optimistic outlook.
• Consensus Price Target: $134.58, suggesting a 16% upside.

Analyst Insights

• Laurent Yoon (Bernstein):
• Sees Disney stock as a good buying opportunity for value-oriented investors.
• Notes shares are trading at a significant discount to the broader market.

• Believes Disney's underlying earnings power remains solid despite complex factors.

• Steven Cahall (Wells Fargo):
• Bullish on Disney, particularly its experiences business.

• Expects this sector to be a major driver of growth in the medium term.

• Morgan Stanley:

• Highlights the potential for AI to boost demand for premium live experiences.

• Bank of America:
• Sees Disney's experiences business as a key driver of stock performance.

• New cruise ships and park growth expected to contribute to growth.

• Kutgun Maral (Evercore ISI):
• Anticipates double-digit adjusted earnings per share growth for fiscal years 2026 and 2027.
• Driven by profitability across various segments.