Disney Stock Rises Post-Earnings as Wall Street Reacts to Longer-Term Guidance

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Multiple analysts raised stock price targets on the Hollywood studio conglomerate.

The entertainment powerhouse’s streaming business also touted that Disney+ has crossed the 120 million subscriber mark and boosted its bottom line, reporting operating income of $321 million.

The stock was up 6.23 percent at $109.12 at market close, with multiple analysts raising their stock price targets on the Burbank-based studio conglomerate as it provided Wall Street a rare look at three-year guidance.

While calling entertainment and experiences segment earnings “directionally inline,” the expert described sports results as “modestly below expectations.” Noting that “Disney has a collection of best-in-class premier assets,” Reif-Ehrlich concluded: “Near-term catalysts include: 1) profitability inflection in DTC and 2) reacceleration in parks business.”stock price target on Disney.

The analyst also highlighted that Disney was on track for improved streaming profitability. “Core Disney+ adds were 4.4 million , including 1.2 million in U.S./Canada,” Hodulik said. “For fiscal year 20F25, management expects double-digit segment operating income growth with a $875 million year-over-year improvement at DTC, or around $1.02 billion versus UBS’ estimate of $1.07 billion.”share price target.

 

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