The Walt Disney Company (DIS) has seen its stock decline by 10.7% over the past six months, outpacing the Zacks Consumer Discretionary sector’s 8% drop but underperforming the Zacks Media Conglomerates industry, which fell by 19.6%. In comparison to peers, Disney also trailed Amazon (AMZN), which decreased by 3%, while Netflix (NFLX) and Paramount Skydance Corporation (PSKY) suffered losses of 19.3% and 39.8%, respectively.
In the first quarter of fiscal 2026, DIS reported $10 billion in revenue from its Experiences segment, marking a 6% year-over-year increase. Operating income for this segment rose by 8%, with attendance up by 1% and per capita spending rising by 4%. Disney’s streaming revenue from its video-on-demand service also grew significantly, with operating income jumping 72% year-over-year to $450 million and total revenue climbing 11% to $5.3 billion.
Despite these gains, Disney is navigating increased capital investments, with segment capital expenditures reaching $2.7 billion in the first quarter. The company aims for an operating margin of 10% in its streaming segment for fiscal 2026, though rising costs remain a concern. Analysts anticipate fiscal 2026 revenues of $100.96 billion, reflecting a 6.92% growth year-over-year, while earnings per share are projected to be $6.61, up 11.47% year-over-year.
