Walt Disney Stock Forecast: Analysts See Upside Potential

Walt Disney Co. (DIS) stock has fallen 5.6% over the past week, slid 8.4% in the past month, and is down 7.4% over the last 12 months. Yet despite this weak recent performance, Wall Street’s analysts are strongly bullish, forecasting a move toward an average 12‑month price target of $137, implying meaningful upside from the last closing price of $104.45. The analyst consensus is rated StrongBuy, signaling that many experts see the current pullback as an opportunity rather than a warning sign for long‑term investors.

Jessica Reif Ehrlich of BofA, who ranks 929 out of 11,984 analysts on TipRanks with a 54% success rate and an 11.8% average return, reiterated her Buy rating on Disney with a price target of $125.00, while also maintaining a broader price objective of $140.00. Her call follows what she describes as a “solid start” to Disney’s fiscal year, with first‑quarter revenue of $26.0 billion and adjusted EPS of $1.63 coming in above her expectations. She highlights particular strength in the Experiences segment, where operating income outperformed thanks to higher guest spending and increased cruise volumes, and notes that management reiterated its outlook for double‑digit adjusted EPS growth in fiscal 2026. Ehrlich also points to the likely appointment of Josh D’Amaro as Disney’s next CEO as a potential positive catalyst, arguing that resolving leadership succession could remove an overhang on the shares.

Not all experts are ready to fully embrace the bullish narrative. Doug Creutz maintained a Hold rating on Disney, with a price target of $123.00, after what he calls a “very as‑expected” quarter. His view is that first‑quarter revenue of $26.0 billion and segment EBIT of $4.60 billion were broadly in line with both his estimates and market consensus, with only a slight beat on adjusted EPS at $1.63. Creutz notes that domestic parks attendance was better than expected, helping Experiences deliver record operating income of $3.31 billion, while international parks remain softer. He also flags some concerns around higher programming and marketing costs in Entertainment and Sports, and expresses regret over Disney’s decision to consolidate its media disclosure, which reduces transparency into the performance of individual sub‑segments like linear networks and direct‑to‑consumer streaming.

On the more optimistic side, David Karnovsky reaffirmed his Buy rating on Disney with a price target of $138.00. Karnovsky, ranked 621 out of 11,984 analysts with a 67.56% success rate and a 14.6% average return, emphasizes that Disney’s first‑quarter adjusted EPS beat his and the Street’s expectations by 5–6%, even as Entertainment and Sports earnings came in light and Experiences outperformed. He points to domestic park attendance rising 1% year over year—better than feared—and double‑digit growth in streaming video (SVOD) revenue, which increased 11% year over year. Karnovsky also underscores that Disney reiterated its double‑digit EPS growth guidance for fiscal 2026, along with targets for $19 billion in operating cash flow and $7 billion in share buybacks. While second‑quarter guidance for Entertainment and Sports looks conservative relative to his models, he sees this as setting the stage for stronger performance in the back half of the year, particularly as new cruise ships and expansions like World of Frozen come online.

Rounding out the bullish camp, Thomas Yeh of Morgan Stanley initiated coverage on Disney with a Buy rating and a $135.00 price target. Although Yeh’s TipRanks ranking is weaker—11,116 out of 11,984, with a 39.53% success rate and an average return of -8.4%—he argues that Disney’s iconic brands, streaming platform, and fast‑growing Experiences business can support double‑digit earnings growth for years. Yeh sees Disney’s streaming and parks operations as “healthy growth engines” that justify multiple expansion from roughly 15 times forward earnings today to about 17 times by the end of 2026. He notes that first‑quarter results were broadly in line with consensus and that softer second‑quarter operating income guidance reflects timing issues in sports costs and cruise pre‑opening expenses rather than a deterioration in the underlying business. With core streaming revenues growing around 12% year over year and price increases building in, Yeh believes the current share price offers attractive risk‑reward for patient investors.

Taken together, these views create a picture of a company whose share price has struggled recently, even as its financial profile and strategic direction continue to attract strong support from many on Wall Street. The consensus 12‑month price target of $137.00 sits well above the current $104.45 level, supported by expectations for double‑digit EPS growth, improving streaming profitability, and continued strength in the Experiences segment. While one prominent analyst remains on the sidelines with a Hold, the broader analyst community leans decisively bullish, suggesting that investors willing to look past near‑term volatility and timing headwinds in sports and cruises may find Disney’s stock poised for a rebound. Never miss a stock rating. Find all the latest ratings on TipRanks’ Top Wall Street Analysts page.