A Walt Disney Company (NYSE:DIS) analyst sees several positive items for the company's streaming segment helping fourth-quarter results and powering the company's stock forward.
- DIS stock is gaining positive traction. See the market dynamics here.
The Disney Analyst: Rosenblatt analyst Barton Crockett maintained a Buy rating on Disney stock with a price target of $141.
Read Also: Disney Focuses On Content Deals, Raises Annual Profit Outlook
The Analyst Takeaways: Disney will have a lot to talk about when it reports fourth-quarter financial results on Nov. 13, Crockett tells investors in a new note.
Crockett expects Disney to address its new ESPN streaming platform and price increases for Disney+ customers. Other topics include new cruise ship launches and the theme parks division. The analyst also noted that Disney could provide an update on its CEO succession plan.
"We continue to see a positive trajectory to revenue and earnings fueled by streaming and parks," Crockett said.
The analyst raised estimates for fourth-quarter earnings per share and fiscal 2026 earnings per share in the new note.
Crockett estimates the new ESPN streaming platform will hit around 500,000 subscribers in its first launch quarter and two million subscribers by the end of fiscal 2026. He adds that it can “drive nearly $500M in new revenue” in 2026.
The analyst said the ESPN platform's revenue will be "largely incremental to EBITDA," with content licenses already baked into Disney's financials.
Disney+
For Disney+, Crockett expects the platform to add around 500,000 net new domestic subscribers in the fourth quarter. Going forward, the analyst said Disney raising the price of Disney+ plans could grow average revenue per user by around 15% in the next fiscal year.
Crockett reminded investors that the fourth quarter will be the last time Disney discloses metrics for its streaming platforms, following a move that Netflix also made in its quarterly results.
One area to watch in streaming will be if the Jimmy Kimmel suspension hurt streaming figures, with reports that users were cancelling their subscriptions.
Outside of streaming, Crockett highlights the company's Experiences segment. The analyst expects Experiences revenue to be up 7% year-over-year in the fourth quarter.
DIS Price Action: Disney stock is up 1.2% to $111.15 on Friday, versus a 52-week trading range of $80.10 to $124.69. Disney stock is up 0.3% year-to-date in 2025.
Read Next:
Image: Shutterstock
