The Walt Disney Company (DIS) shares have been surprisingly quiet lately, up just 2.7% over the past year. But the entertainment giant's box office dominance in recent months could inject some much-needed energy into its upcoming first-quarter financial results.

A Blockbuster Finish to 2025

Disney closed out calendar 2025 with back-to-back billion-dollar hits: "Zootopia 2" and "Avatar: Fire and Ash." The achievement makes Disney the only American studio to score a billion-dollar film in each of the last two years, a distinction that highlights its continued strength in theatrical releases.

"Zootopia 2" pulled in $1.59 billion worldwide throughout 2025, landing in second place globally. The only film ahead of it? The Chinese phenomenon "Ne Zha 2," which raked in over $2 billion domestically in China.

Then came "Avatar: Fire and Ash," which crossed the $1 billion threshold in just 18 days. The film has collected $306 million domestically and $777.1 million internationally so far, marking an impressive milestone for James Cameron's third installment in the franchise.

Here's where it gets interesting: while a billion dollars in 18 days sounds phenomenal, the film is actually pacing slightly behind its predecessors. The original 2009 "Avatar" hit $1 billion in 17 days and ultimately reached $2.9 billion worldwide. "Avatar: The Way of Water" was even faster, reaching the milestone in 14 days in 2022 before finishing at $2.3 billion. According to industry reports, "Fire and Ash" could still reach the $2 billion mark, but it's not a sure thing.

Despite its December release date, "Avatar: Fire and Ash" managed to crack the top 10 highest-grossing films both domestically and worldwide for 2025. That gave Disney four of the top 10 domestic films and three of the top 10 worldwide for the year.

What This Means for Earnings

Disney's fourth-quarter story was all about streaming gains. But when the company reports first-quarter results, the narrative could shift back to theatrical success.

The timing works in Disney's favor. Its fiscal first quarter covers October through December, which means both "Zootopia 2" and the early success of "Avatar: Fire and Ash" will show up in these numbers. That should deliver strong year-over-year growth compared to last year's first quarter, which included "Moana 2."

Investors will be watching to see if Disney offers any guidance on whether "Avatar: Fire and Ash" can join the exclusive $2 billion club. Only seven films have ever reached that threshold, and Disney has a hand in five of them (including the first two Avatar films).

Wall Street expects Disney to report first-quarter revenue of $25.65 billion, up from $24.69 billion in the prior year period. However, analysts are projecting earnings per share of $1.57, down from $1.76 in last year's first quarter.

Disney has an impressive track record of beating earnings per share estimates, doing so for 10 consecutive quarters. Revenue has been trickier, with the company topping estimates in just four of the last 10 quarters.

Stock Performance

Disney shares traded up 2% to $114.07 on Monday, within its 52-week range of $80.10 to $124.69. The stock remains up 2.7% over the past year, a modest gain that suggests investors are waiting for a clearer catalyst before bidding shares higher. The upcoming earnings report could provide exactly that.