Walt Disney Co. received a fresh Buy rating from Benchmark on Monday, with the analyst firm lifting its price target to $115 from a prior level, as gaming emerges as a primary growth engine for the media giant.
Benchmark highlighted Disney's expanding footprint in the gaming sector, where consumer spending on licensed titles reached an estimated $4 billion in fiscal year 2025. The firm noted that nine Disney gaming franchises have each surpassed $1 billion in sales, while mobile games have amassed roughly 1.5 billion global installs. Upcoming releases, including Kingdom Hearts IV and Marvel's Wolverine, are expected to further bolster revenue, alongside a strategic partnership with Epic Games.
Disney's gaming momentum comes amid broader operational challenges. The company is embroiled in a legal dispute with the Federal Communications Commission (FCC), which Disney filed a lawsuit against last week. The litigation seeks to block an early review of license renewals for eight ABC television stations, a move Disney argues is politically motivated retaliation linked to diversity, equity, and inclusion policies under the Trump administration.
Beyond gaming, Disney secured a multi-year global streaming deal for Formula E races, covering 144 territories. The agreement spans the 2026–27 season, which includes 21 rounds in cities such as Jeddah, Austin, and Tokyo, and will be distributed via Disney+, ESPN, and ESPN+.
At the time of the rating, Disney's shares were trading at $109.96, near a market capitalization of $189.97 billion. The company reported $98.86 billion in revenue for the last 12 months.
