Skip to content

Disney’s streaming surge sends investor confidence soaring in 2025

A tenfold profit leap in Disney’s streaming division has Wall Street buzzing. Could this be the start of a new era for the entertainment giant?

The image shows a chart depicting the European plastic market trends in 2017. The chart is...
The image shows a chart depicting the European plastic market trends in 2017. The chart is accompanied by text that provides further details about the market.

Disney’s streaming surge sends investor confidence soaring in 2025

Disney’s stock could see a significant boost as its streaming services, including Disney Plus, grow and profits rise. The company’s direct-to-consumer (DTC) division has recorded a sharp increase in earnings, drawing attention from investors. Meanwhile, Netflix faces a different outlook, with its share price still below last year’s peak.

Under CEO Bob Iger, Disney’s streaming business, including Disney Plus, has surged. In fiscal 2025, its DTC operating income soared nearly ten times higher than in 2024. Analysts now expect further gains in the current financial year.

The company’s shares currently trade at a forward price-to-earnings (P/E) ratio of 17.2. This valuation is notably lower than Netflix’s 27.3 multiple. If Netflix’s stock continues to decline, its forward P/E could drop closer to 20.

Disney’s growth in streaming, including Disney Plus, and valuation expansion has positioned it as an attractive option for investors. The combination of rising earnings and a competitive share price could push the stock to new highs.

Disney’s strong performance in streaming, including Disney Plus, and favourable valuation set it apart in the entertainment sector. With DTC profits climbing and a lower P/E ratio than Netflix, the company appears well-placed for further growth. Investors are watching closely as these trends develop.

Read also:

Latest