Fund cites $450 million streaming profit and $10 billion Experiences revenue as signs of undervaluation in Disney shares.
Antipodes Global Fund disclosed a position in The Walt Disney Company (DIS) in its Q1 2026 investor letter, citing a valuation gap. Disney shares closed at $101.12 on June 24, down 16.75% over the past year, with a market capitalization of $175.5 billion.
Disney’s streaming segment reported $450 million in operating income for fiscal Q1 2026, a 72% year-over-year increase, while its Experiences segment generated record revenue of $10 billion and $3.3 billion in operating income. The fund expects margin improvements in FY26 to close the valuation gap.
Management’s $7 billion share buyback plan, representing 3.8% of outstanding shares, signals confidence in the stock’s undervaluation. ESPN’s direct-to-consumer transition is seen as an additional growth catalyst.