Disney Stock Spikes ahead of Quarterly Earnings

Disney stock could subvert expectations and come out better than expected when the next earnings report releases in February.

Written by: Timothy St. John • Wednesday, January 7, 2026 • 2 min read

• Last updated: Wednesday, January 7, 2026

Disney is preparing to release a new earnings report in February that could exceed expectations.

Quick overview

Bank of America Securities has rated Disney stock as a buy ahead of its quarterly earnings report on February 4th, 2026.
Disney stock increased by 3.6% this week, currently trading at $113 per share, which is significantly above its 52-week low.
Investors are particularly focused on streaming revenue, which constituted 27% of Disney's total earnings in 2024, amid concerns of market saturation.
Despite expectations of an 11.4% drop in earnings per share compared to last year, Bank of America anticipates a stronger performance from Disney.

Bank of America Securities calls Disney (DIS) stock a buy leading up to the company’s first quarterly earnings report for 2026 scheduled for February 4^th.

Disney could outperform this quarter, says Bank of America.

Disney stock soared 3.6% this week as the bank of America recommended that investors buy into the stock before the next quarterly earnings statement. Disney stock is down 0.53% for Wednesday and is now at $113 per share. That is higher than the stock has been for most of the past four weeks, and it is also 43% above its 52-week low.

There are a few key metrics investors will be watching when Disney releases their earnings. At the top of the list will be streaming revenue, which accounts for a substantial portion of the company’s earnings now. That revenue accounted for 27% of the company’s total earnings in 2024. Investors will want to know if the company is bringing in more subscribers or if Disney Plus has peaked.

Why Disney Stock May be a “Buy” Right Now

One of the strongest growth areas for Disney in recent years has been their streaming service Disney Plus. But as they capture more and more of the market, there is concern among investors that they might soon reach market saturation. The streaming revenue rose just 2% in August to $23.65 billion, and while that may still be excellent, they missed analyst expectations for the first time that quarter.

Will the current quarter be a repeat? Disney is currently expected to post earnings per share of $1.56, which would be a drop of 11.4% compared to the same period last year. However, Bank of America Securities expects a better performance than that from the entertainment company.

Disney has not been able to top $115 on the stock market so far this quarter, and the last time they did so was back in September. Their stock price dipped low in November when they issued their earnings report and showed a poor performance for the quarter. Disney has since made back those losses and is gearing up for a profitable quarter that could exceed expectations. It is worth noting that several firms consider Disney stock undervalued right now and expect it to perform well this quarter.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.