Walt Disney Company (The) (DIS)
NYSECommunication ServicesEntertainmentSnapshot 2026-07-07
$97.46+0.05%
Close 2026-07-07 · 1-day change
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Track DIS free→Disney grows earnings about 16% in fiscal 2026. Streaming profit rose $200 million in Q2. Theme parks deliver strong profits with $500 million payout. The stock trades cheap with a PE of 16.5 versus peers near 78.
Disney faces regulatory risks with FCC reviews and legal settlements. Park incidents and financial struggles could hurt growth. Streaming competition pressures margins and cash flow.
The price is about 22% below our fair value near $126. Analysts expect 7% revenue growth. Our fair value is close to the Street median, reflecting moderate optimism.
Breaks if: Repurchases fall below $5 billion in FY26
Target at least $8 billion in share repurchases in fiscal 2026.
Breaks if: adjusted EPS growth falls below 10% in FY26
Achieve double-digit adjusted EPS growth in fiscal 2026, including the impact of the 53rd week.
Stated in 3 of last 3 quarters. Adjusted EPS increased to $1.57 from $1.45 in Q2 fiscal 2025, reflecting an 8% growth. The company continues to expect fiscal 2026 adjusted EPS growth of approximately 16%, including the impact of the 53rd week, indicating delivering on this priority.
Breaks if: FCF falls below $15 billion in FY26
Target at least $8 billion in share repurchases in fiscal 2026.
Breaks if: FCC revokes ABC licenses or imposes major fines in FY26
Breaks if: SVOD operating income increase is less than $100 million in Q2 2026
Achieve an increase in SVOD operating income by approximately $200 million compared to Q2 fiscal 2025.
Stated in 2 of last 2 quarters. SVOD operating income increased by $200 million in Q2 2026, reaching approximately $500 million, compared to Q2 fiscal 2025. This indicates delivering on the stated priority of increasing SVOD operating income.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“We expect fiscal 2026 adjusted EPS growth of approximately 16%, including the impact of the 53rd week.”
“Double digit adjusted EPS growth compared to fiscal 2025.”
“Adjusted EPS (1) of $5.85, an increase of 18% over fiscal 2024.”
“SVOD operating income of approximately $500 million, an increase of approximately $200 million compared to Q2 fiscal 2025.”
“DTC SVOD operating income of approximately $375 million.”