Walt Disney Stock Forecast: Analysts See Upside Brewing

Walt Disney Stock Forecast: (DIS) stock has fallen 2.3% over the past week, slipped 3.1% in the last month, and is down a modest 0.3% over the past 12 months. Despite this soft price performance, Wall Street’s analysts are firmly bullish, with a Strong Buy consensus and an average 12‑month price target of $137 versus a last close of $110.61. That target implies meaningful upside potential over the coming year, signaling that many professionals see today’s weakness as an opportunity rather than a warning sign.

Wall Street’s optimism is underscored by analyst David Karnovsky of J.P. Morgan, who reiterated his Buy rating on (DIS) on January 27, 2026, and maintained a price target of $138 per share, slightly above the Street’s average. Karnovsky’s target reflects confidence that Disney can execute on its key growth drivers: its theme parks and experiences, its direct‑to‑consumer streaming business, and a stronger film slate. His view aligns with the broader Strong Buy consensus, suggesting that Disney remains a favored name in a challenged media landscape.

In his latest preview ahead of Disney’s fiscal first‑quarter earnings, Karnovsky modestly raised his operating income estimate for the quarter by 2% to $4.64 billion, which translates into a 3% lift in expected adjusted earnings per share to $1.54, essentially in line with market expectations. He points to several factors supporting this outlook: better performance in Disney’s content sales and licensing driven by the success of “Zootopia 2,” a more balanced timing of one‑off items in the Experiences division, and an earlier‑than‑expected resolution of the YouTube TV dispute that benefits the Sports segment. While he does not expect Disney to change its full‑year earnings guidance, he sees a back‑half‑weighted growth story, with earnings expected to accelerate strongly in the second half of the fiscal year and into fiscal 2026.

On the operations side, Karnovsky sees signs that some of the market’s biggest worries could ease. Domestic parks attendance, a key focus for investors, is expected to improve from a 2% year‑over‑year decline in the prior quarter to just 1% down, as the impact of hurricanes fades, followed by a return to growth in the second half of the year. He remains confident in Disney’s high‑single‑digit growth target for Experiences operating income, supported by two new cruise ships, higher per‑guest spending, and better international trends. In streaming, he expects double‑digit revenue growth for the direct‑to‑consumer segment and views progress toward profitability as another potential catalyst, especially as Disney refines its product and content strategy.

Another major storyline for investors is leadership succession. Disney’s board has confirmed it plans to announce a new CEO in early 2026, likely before the March 18 annual shareholder meeting, with internal contenders Josh D’Amaro and Dana Walden widely viewed as front‑runners. Karnovsky believes the uncertainty around succession has weighed on the stock and that clarity on a smooth transition could unlock value, especially as Disney trades at about 16 times forward earnings, a discount to the broader market. His positive stance carries weight: this N‑star analyst ranks 621 out of 11,984 on TipRanks, with a 67.56% success rate and a 14.6% average return per rating. Never miss a stock rating. Find all the latest ratings on TipRanks’ Top Wall Street Analysts page.