Walt Disney Co. (DIS) is closing out the year on a strong box-office note, and early signs suggest the momentum from Avatar 3 could extend into 2026 as ticket sales build globally.
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Disney said ‘Avatar: Fire and Ash’ was the highest-grossing film at the box office this weekend, pulling in $88 million in ticket sales across the U.S. and Canada. Internationally, the film added another $257 million, pushing its global debut well past the $300 million mark.
While the domestic opening fell short of early industry estimates of $100 million to $120 million from Boxoffice Pro, it came in near Disney’s own projection of up to $90 million. The performance also topped the original Avatar, which debuted with $77 million in 2009, though it trailed the 2022 sequel Avatar: The Way of Water, which opened at $134.1 million.
Release Timing Weighs on Earnings
For Disney, the opening weekend is only part of the story. Avatar films tend to perform well over several weeks, helped by their 3D visuals and December release dates, when schools close for the holidays. Both of the first two Avatar movies went on to earn more than $2 billion worldwide and rank among the highest-grossing films of all time.
At the same time, release timing affects near-term results. Because Fire and Ash arrived with just two weeks left in the quarter, Disney said the film will contribute to a $400 million shortfall in studio operating income for that period. The next earnings report, expected in February, should offer a clearer picture as box-office revenue begins to flow more meaningfully.
Is Disney a Good Stock to Buy?
Wall Street currently rates the stock a Strong Buy, based on 18 analysts tracked in the last three months. Of these ratings, 15 analysts call it a Buy, three say Hold, and none recommend a Sell. The average 12-month DIS price target sits at $137.75. This target implies a substantial upside potential of roughly 23.83% from the last price.
