A Motley Fool writer picks Disney for 2026, citing a third straight theme-park revenue record, streaming’s first double-digit operating margins and Toy Story 5 topping $1 billion worldwide; Netflix missed revenue estimates and gave Q3 guidance below expectations.
For FY 2025, Disney reported about $94.4 billion in revenue and $12.4 billion in net income, compared with Netflix’s $45.2 billion and $11 billion. Netflix’s net margin was 24.3%, versus Disney’s 13.1%. The article lists forward P/E ratios of 19.8 for Netflix and 15.3 for Disney, and price-to-sales ratios of 6.1 and 1.9; it notes the valuation figures may vary by provider.
The article flags Disney’s legal and regulatory scrutiny and rising sports-programming costs. It says Netflix could face disruption from its proposed $42.2 billion acquisition of Warner Bros. Discovery assets if approval is withheld or integration proves difficult, and notes its reliance on Amazon Web Services. A separate Stock Advisor promotion says Disney was not among the team’s 10 selected stocks.
