streaming profitability

Disney stock down 50% over five years trades at 29% S&P 500 discount with streaming finally profitable and parks generating 28% margins.

Disney's new CEO shifts strategy from loss-making streaming toward profitable parks business, which now generates 72% of operating income. Stock offers compelling valuation.

Disney's streaming segment surged to $1.3B operating income in FY2025, with $2.1B projected for FY2026. Company could reach 20% margins within five years under 10% annual revenue growth.

Netflix dominates with 325M subscribers but trades at 30x forward P/E. Disney achieved 828% streaming profit growth at 15x multiple, offering better value with added diversification.

$DIS trades below market multiples with profitable streaming and 72%-profitable theme parks generating 11.3% projected annual earnings growth through 2028.

Disney stock trades at discount valuation while streaming profitability accelerates. Analysts see upside to $150-160 if management executes on margins and capital returns.