Disney Prepares to Report Earnings Amid Growing Revenue Expectations

Disney (NYSE:DIS) is set to report its earnings tomorrow before market open. Last quarter, the company exceeded analysts' revenue expectations, posting $25.17 billion in revenues, a 6.5% year-on-year increase. This quarter, analysts anticipate Disney's revenue growth to improve to 7.4%, up from the 2.1% recorded in the same period last year.

The market has shown steady hands going into earnings, with share prices flat over the last month. However, investors may be concerned that Disney has missed Wall Street's revenue estimates multiple times over the past two years. Some peers in the consumer discretionary segment have already reported their Q2 results, with Scholastic seeing a 6.3% year-on-year decrease in revenues and AMC Entertainment reporting a 14.2% increase.

The average analyst price target for Disney is $126.51, compared to its current share price of $98.32. This suggests that investors are cautiously optimistic about the company's prospects.