Walt Disney Company (DIS) shares traded higher Wednesday as investors gear up for the entertainment giant's fiscal fourth-quarter earnings report, due out Thursday before the opening bell. Here's what's driving the anticipation.

The Earnings Setup

Analysts are penciling in adjusted earnings of $1.03 per share for the quarter, according to market sources. Disney has a track record of topping expectations lately—last quarter, the company beat estimates by 16 cents, though interestingly, shares dipped 1.99% the following day.

The recent earnings history looks solid. In Q2 2025, Disney posted EPS of $1.45, crushing the $1.21 consensus while shares jumped 3%. The first quarter was even stronger, with EPS of $1.76 compared to estimates of $1.43.

Third-quarter revenue came in at $23.7 billion, up 2% from $23.2 billion year-over-year. More impressive was the operating income growth—total segment operating income climbed 8% from $4.2 billion to $4.6 billion. Adjusted EPS increased 16% from $1.39 to $1.61.

Asia Expansion Plans

Beyond the earnings report, Disney is making moves in Asia's booming streaming market by introducing its ESPN sports brand to the region. Luke Kang, president of Disney Asia Pacific, outlined the company's strategy to gradually roll out ESPN across Asia and add more live sports content to Disney+.

"Our long-term goal is to integrate ESPN into the platform as we do in other parts of the world and eventually become a premier destination for sports," Kang said at the Disney APAC Content Showcase.

What Analysts Think

Wall Street maintains a consensus Buy rating on Disney, with an average one-year price target of $130.33—implying about 13.48% upside from current levels.

Recent ratings show consistent confidence. Rosenblatt maintained its Buy rating on October 17 with a $141.00 target, actually raising it from $140.00 in its August 11 rating. Needham has stuck with a Buy rating and $125.00 target across multiple updates in September and August, reinforcing their bullish stance on the media giant.

Walt Disney shares were up 1.56% at $116.65 on Wednesday, according to market data.