Disney's Q3 2026 results mark a profitability inflection, with gross margin expanding to 40.2% and operating margin reaching 22.0%, the highest in ten quarters, driven by a favorable mix shift toward higher-margin streaming and experiences.
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Revenue grew 6.8% YoY to $25.2B in Q3 2026, with gross margin expanding 340bps to 40.2% and operating margin reaching 22.0%, the highest in ten quarters, though EPS of $1.51 remains below the $2.92 peak inflated by a one-time gain in Q3 2025.
Disney is expected to improve its streaming profitability, with targets for significant SVOD operating income, potentially leading to a stock re-rating.
The Parks and Experiences segment is projected to grow significantly, supported by strong demand and a substantial expansion plan.
Disney has a significant share repurchase program, allocating billions annually for buybacks, enhancing per-share earnings growth.
The ongoing decline of linear television networks is a significant drag on Disney's financial performance and strategic flexibility.
Disney's substantial net debt could limit its financial flexibility and impact future growth.
Concerns about softening international park attendance and weaker traffic in U.S. parks could hinder growth.
Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Aug 5, 2026 | $2.06+10.8% vs $1.86 | $25.2B-0.6% vs $25.4B |
Q2 2026 May 6, 2026 | $1.57+5.4% vs $1.49 | $25.2B+1.2% vs $24.9B |
Q1 2026 Feb 2, 2026 | $1.63+3.8% vs $1.57 | $26.0B+1.1% vs $25.7B |
Q4 2025 Nov 13, 2025 | $1.11+5.7% vs $1.05 | $22.5B-1.3% vs $22.8B |
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Disney staffers pressed leaders for answers after reports that the company is planning more layoffs. "Do we know when the cost cutting is targeted to happen?
Disney is growing faster than it has in more than three years. The stock can still be had for less than 16 times this new fiscal year's profit target.
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Benchmark DIS against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for The Walt Disney Company (DIS)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $116.75 | $202.74B | 17.04 | 3.35% | 13.14% | 11.27% | 0.85% | |
| $24.39 | $86.55B | 4.53 | -0.02% | 9.2% | 12.29% | 5.52% | |
| $30.95 | $77.6B | 106.72 | -5.15% | -8.77% | -8.91% | — | |
| $66.64 | $29.22B | 17.35 | 5.07% | 11.3% | 17.39% | 0.98% | |
| $63.41 | $264.04B | 25.06 | 15.85% | 29.69% | 50.41% | — | |
| $259.30 | $2.79T | 36.16 | 12.38% | 16.9% | 26.71% | — |
The Walt Disney Company (DIS) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
The Walt Disney Company (DIS) SEC filings — annual & quarterly reports (10-K, 10-Q)
Aug 5, 2026·SEC
May 6, 2026·SEC
Mar 20, 2026·SEC
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The Walt Disney Company (DIS) stock FAQ — growth, dividends, profitability & financials explained
The Walt Disney Company (DIS) reported $98.86B in revenue over the trailing twelve months. Revenue was $94.42B in fiscal year 2025. That is 404% more than the $18.74B of fiscal year 1996.
The Walt Disney Company (DIS) grew revenue by 3.4% in fiscal year 2025, compared with the prior fiscal year.
Yes. The Walt Disney Company (DIS) earned $8.60B in net income over the trailing twelve months (a 8.7% net margin).
Yes. The Walt Disney Company (DIS) pays a dividend that yields 0.85% at the current price, a small yield.
The Walt Disney Company (DIS) had a return on equity (ROE) of 11.3% in fiscal year 2025. That is in line with the market's typical 10-15%.
The Walt Disney Company (DIS) generated $8.29B in free cash flow over the trailing twelve months.
