Media giant The Walt Disney Company DIS could show how consumer spending has been impacted in items like going to the movies, paying for streaming and taking long vacations when the company reports third-quarter financial results before the market opens Wednesday.
Here are the earnings estimates, what experts are saying ahead of the report and key items to watch.
Earnings Estimates: Analysts expect Disney to report third-quarter revenue of $23.72 billion, up from $23.16 billion in last year’s third quarter, according to data from Benzinga Pro.
The company has beaten analyst estimates for revenue in four straight quarters and in six of the last 10 quarters overall.
Analysts expect Disney to report earnings per share of $1.47, up from $1.39 in last year’s third quarter. The company has beaten analyst estimates for earnings per share in eight straight quarters and nine of the last 10 quarters overall.
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What Experts Are Saying: Disney’s stock performance over the last year with shares up over 35% is not lost on Freedom Capital Markets Chief Global Strategist Jay Woods.
“Disney shares continue their major turnaround and have a chance to take it to another level when they report this Wednesday,” Woods said in a weekly newsletter. “As the company looks for CEO Bob Iger‘s replacement, he continues to work diligently before handing the reins over to his successor.”
Woods said Disney stock has reversed its major downtrend and could take things “to a whole new level.”
The market strategist said the $115 to $117 level was an old high and former support level in June.
“Let’s see if it can hold again into earnings.”
Woods said if this level fails to hold, Disney stock could retrace back to the $108 to $110 level.
Looking further out, Woods said the five-year weekly chart shows Disney stock struggling to break resistance back to 2022.
“If shares can gap higher then there is much room to run with upside targets over the next three months near $150.”
Bank of America Securities analyst Jessica Reif Ehrlich highlighted Disney’s Experiences segment ahead of the earnings report.
The analyst maintained a Buy rating with a $140 price target ahead of earnings.
Ehrlich said Disney’s Experiences segment is seeing improvement in operating income and could be a highlight if it shows strength with the opening of rival theme park Epic Universe from Universal, as well as with Disney’s heavy investment in new cruise ships.
Ehrlich also highlighted Disney’s strength in advertising, thanks to its sports investments, and the likelihood that the company will gain streaming subscribers in the third quarter.
Rosenblatt analyst Barton Crockett highlighted Disney’s theme parks and streaming strength in a recent investor note.
The analyst maintained a Buy rating and raised the price target from $135 to $140.
“So much is strong right now, that if we avoid a recession we believe estimates can move up, and the multiple, too,” Crockett said.
The analyst said concerns that Epic Universe could slow down Disney theme park traffic in Florida have been minimized. Crowds have been “muted” at Epic since the May 22 opening, and Disney has indicated that bookings for Walt Disney World are up year over year.
Crockett said Walt Disney World bookings were up 4% year-over-year for the third quarter and up 7% year-over-year for the fourth quarter, based on Disney’s commentary from the second quarter earnings call. The analyst also highlights the company’s cruise ship segment, which is expected to add more ships and revenue opportunities later this year.
“Disney is the most advanced of media conglomerates in transitioning its TV audiences to streaming.”
Crockett said theme parks, streaming, and movie success can help offset any concerns about the company’s linear networks.
Key Items to Watch: Disney’s streaming figures will be among the items to watch, with investors and analysts looking to see how many subscribers the company has for Disney+ and for Hulu.
Investors and analysts will also be looking to hear more, like an official launch date, for the standalone improved ESPN streaming app. The company previously announced it would release the app in the fall with a starting price of $29.99 monthly.
Disney is likely to highlight the upcoming NCAA College Football and NFL seasons, as well as the strong advertising support for these key live events.
On the film side, Disney has had both hits and misses in theaters this year. Investors and analysts will likely be looking to hear how the company is balancing these results and ensuring it produces blockbuster films that perform strongly in theaters and on its streaming platforms.
DIS Price Action: Disney stock is flat at $119.31 on Tuesday versus a 52-week trading range of $80.10 to $124.69. Disney stock is up 7.7% year-to-date in 2025.
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