Disney (DIS) hit Mufasa: The Lion King topped the box office in North America over the five-day holiday to surpass Sonic the Hedgehog 3, the latest installment in the gaming spin-off franchise from Paramount Pictures (PARA). The two films have been battling for supremacy, but the lion has started to outpace the hedgehog in recent days.
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According to Variety, Mufasa added $24 million from nearly 4,000 theaters, edging out Sonic, which generated just over $21 million. The strong performance of Mufasa, a prequel to the iconic Lion King, has pushed its domestic earnings to $168 million, with an additional $307 million internationally.
Meanwhile, Disney’s Moana 2 is proving to be another massive hit, raking in $12.3 million domestically in its sixth weekend and is on track to surpass $1 billion in global ticket sales, cementing its position as the third highest-grossing film of 2024.
Disney Is Facing a Resurgence at the Box Office
2024 has proved a strong year for Disney with a series of box office hits, including Inside Out 2, which became the highest grossing animated movie of all time. This was a milestone for Disney’s Pixar studio after years of challenges stemming from the COVID-19 pandemic., that affected theater sales. Prior to Inside Out 2, no Disney or Pixar film had surpassed more than $480m in global box office sales since 2019.
Disney’s resurgence is reflected in its financial performance. In the Fiscal third quarter, the company posted strong quarterly results, with revenues for the entertainment segment, which includes films, TV networks and streaming, rising 14% year-over-year to $10.83 billion. Films alone contributed $316 million in profit to the segment’s $1.1 billion net income. Looking ahead, Disney projects high single-digit adjusted earnings growth for 2025, with its entertainment business expected to deliver double-digit operating income growth.
Is Disney Stock a Good Stock to Buy Today?
Analysts remain cautiously optimistic about DIS stock, with a Moderate Buy consensus rating based on 16 Buys and six Holds. Over the past year, DIS has increased by more than 20%, and the average DIS price target of $125.72 implies an upside potential of 11.8% from current levels.
