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The Walt Disney Company (DIS - Free Report) is set to report its fourth-quarter fiscal 2022 results on Nov 8.

The Zacks Consensus Estimate for earnings has moved down 9.5% to 57 cents per share over the past 30 days, indicating an increase of 54.1% year over year.

The consensus mark for revenues is pegged at $21.11 billion, suggesting growth of 13.9% from the year-ago quarter’s reported figure.

Notably, Disney’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed in the remaining two quarters, the average surprise being 16.12%.

The Walt Disney Company Price and EPS Surprise

The Walt Disney Company price-eps-surprise | The Walt Disney Company Quote

Let’s see how things have shaped this announcement.
 

Factors to Consider

Disney’s fourth-quarter fiscal 2022 results are expected to benefit from strong Disney+ growth and revival in Parks, Experiences, and Products businesses.

The Zacks Consensus Estimate for Parks, Experiences & Consumer Products revenues is currently pegged at $7.32 billion, indicating growth of 34.3% from the figure reported in the year-ago quarter.

Disney+ has emerged as a key growth driver for Disney, primarily driven by its solid content portfolio. Expanding footprint has been a key catalyst.

Disney+, as of Jul 2, 2022, had 152.1 million paid subscribers compared with 116 million as of Jul 3, 2021.

The rapidly growing subscriber base has strengthened Disney’s position in the increasingly saturated streaming space currently dominated by Netflix and the growing prominence of services from Apple, Peacock, Amazon prime video, and HBO Max.

The Zacks Consensus Estimate for the number of paid subscribers of Disney+ is currently pegged at 162 million, suggesting 37.2% growth year over year.
 

What Our Model Says

According to the Zacks model, the combination of a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.

Disney has an Earnings ESP of -7.48% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

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