Disney's 'Avatar: Fire and Ash' Underperforms at the Domestic Box Office
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 21 2025
0mins
Should l Buy DIS?
Source: Barron's
- Box Office Performance: Walt Disney and 20th Century Studios’ "Avatar: Fire and Ash" achieved a global box office success with an estimated $345 million over the weekend.
- Domestic Expectations: Despite the strong international performance, the film's domestic earnings did not meet analysts' expectations.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy DIS?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on DIS
Wall Street analysts forecast DIS stock price to rise
19 Analyst Rating
16 Buy
3 Hold
0 Sell
Strong Buy
Current: 102.380
Low
123.00
Averages
137.29
High
152.00
Current: 102.380
Low
123.00
Averages
137.29
High
152.00
About DIS
The Walt Disney Company is a diversified worldwide entertainment company. The Company's segments include Entertainment, Sports and Experiences. The Entertainment segment generally encompasses its non-sports focused global film and episodic content production and distribution activities. The lines of business within the Entertainment segment along with their business activities include Linear Networks, Direct-to-Consumer, and Content Sales/Licensing. The Sports segment encompasses its sports-focused global television and direct-to-consumer (DTC) video streaming content production and distribution activities. The lines of business within the Sports segment include ESPN and Star. The Experiences segment includes Parks and Experiences and Consumer Products. Parks and Experiences consists of Walt Disney World Resort in Florida, Disneyland Resort in California, Disney Cruise Line, and others. Consumer Products includes licensing of its trade names, characters, visual, literary and other IP.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
ByteDance Enhances IP Protection Measures Amid Legal Threats
- IP Protection Commitment: ByteDance has pledged to implement measures to curb unauthorized use of intellectual property on its AI video generator Seedance 2.0, a response to legal threats from U.S. companies like Disney, highlighting the company's commitment to IP issues.
- Seedance 2.0 Popularity: Since its launch last week, Seedance 2.0 has gained significant traction, with a viral video featuring Tom Cruise and Brad Pitt, indicating the AI model's potential and impact in the Chinese market.
- Disney's Legal Threat: Disney has issued a cease-and-desist letter to ByteDance, accusing the company of using Disney characters to train Seedance 2.0 without authorization, underscoring the growing tensions between content creators and AI developers over intellectual property rights.
- Increase in Copyright Lawsuits: Recently, authors like John Carreyrou have filed lawsuits against major AI firms for using copyrighted books without permission, reflecting a growing concern within the industry regarding the protection of intellectual property.
See More
ByteDance Enhances Copyright Safeguards for AI Tool
- Copyright Protection Measures: ByteDance has pledged to enhance copyright safeguards for its newly launched AI video-making tool, Seedance 2.0, in response to copyright theft complaints from Hollywood, indicating the company's commitment to intellectual property rights.
- Strong Industry Backlash: The Motion Picture Association (MPA) expressed severe dissatisfaction with Seedance 2.0, claiming it engaged in unauthorized use of U.S. copyrighted works on a massive scale in just one day, demanding ByteDance to cease infringing activities, highlighting the industry's heightened focus on copyright protection.
- Escalating Legal Actions: Disney has issued a cease-and-desist letter to ByteDance, accusing the company of using its intellectual property without permission in Seedance, signaling an increasing regulatory pressure from the entertainment industry on AI tools.
- Competitor Countermeasures: Paramount Skydance has also sent a similar cease-and-desist letter to ByteDance, demonstrating the determination and actions of traditional entertainment companies to protect their intellectual property amidst the rapid development of AI technology.
See More
ByteDance Faces Legal Threats Over AI Tool Copyright Violations
- Escalating Legal Threats: Hollywood studios have accused ByteDance's Seedance 2.0 of widespread unauthorized content use, intensifying copyright disputes that could negatively impact ByteDance's reputation and business in the U.S.
- Commitment to IP Protection: ByteDance has pledged to strengthen safeguards for Seedance 2.0 in response to strong opposition from Hollywood groups, demonstrating the company's commitment to intellectual property rights and legal compliance.
- Strong Industry Backlash: The Motion Picture Association (MPA) expressed severe dissatisfaction with ByteDance's actions, claiming massive copyright infringement within a single day, which could lead to legal repercussions and affect creators' rights.
- Shifting Competitive Landscape: While facing legal challenges, ByteDance continues to promote Seedance 2.0 in the market, potentially altering its competitive dynamics with other AI companies, particularly those like OpenAI that have signed licensing agreements.
See More
Wuthering Heights Achieves Strong Box Office Performance
- Box Office Revenue: According to Comscore, Wuthering Heights garnered an estimated $34.8 million in domestic box office over the three-day weekend, indicating a strong market response, with projections suggesting it will reach $40 million by Monday, reflecting high audience interest in the film.
- Market Impact: This box office performance not only exceeds industry expectations but may also provide financial support for subsequent marketing efforts and sequel development, thereby enhancing the production company's position in a competitive film market.
- Audience Feedback: The film's success has attracted a large audience, likely driving sales of related merchandise and spin-off products, further enhancing brand value and market influence, particularly among younger viewers.
- Industry Trends: With the trend of audiences returning to theaters post-pandemic accelerating, the film's performance may signal a positive sign for the recovery of the film industry, encouraging more investors to focus on the development and release of new projects.
See More
Warner Bros. Achieves Ninth Consecutive Box Office Success with 'Wuthering Heights'
- Box Office Success: Warner Bros. Discovery’s Wuthering Heights achieved the studio’s ninth consecutive number one box office debut over the holiday weekend.
- Domestic Earnings: The film is projected to earn approximately $40 million domestically by the end of the holiday period.
See More
Alphabet's Strong Performance in the AI Market
- Market Share Growth: Alphabet's Google Gemini has captured 21% of the enterprise large language model market and is poised to surpass ChatGPT's 27% share by 2025, demonstrating its competitive edge and market leadership in the AI sector.
- Strong Financial Performance: In 2025, Alphabet generated $402.8 billion in revenue, a 15% increase year-over-year, with operating income nearing $130 billion and an operating margin of 32%, indicating robust profitability amid ongoing growth.
- Capital Expenditure Plans: Alphabet anticipates capital expenditures of $175-$185 billion for 2026, exceeding analyst expectations; however, with $30.7 billion in cash reserves and strong profitability, the company is well-positioned to support its data center expansion.
- Long-Term Debt Financing: Alphabet aims to raise $20 billion through the issuance of 100-year bonds, and despite its long-term debt of $46.5 billion, the company's diversified revenue streams and strong cash flow provide a solid financial foundation for taking on additional debt.
See More
ByteDance Enhances IP Protection Measures Amid Legal Threats
- IP Protection Commitment: ByteDance has pledged to implement measures to curb unauthorized use of intellectual property on its AI video generator Seedance 2.0, a response to legal threats from U.S. companies like Disney, highlighting the company's commitment to IP issues.
- Seedance 2.0 Popularity: Since its launch last week, Seedance 2.0 has gained significant traction, with a viral video featuring Tom Cruise and Brad Pitt, indicating the AI model's potential and impact in the Chinese market.
- Disney's Legal Threat: Disney has issued a cease-and-desist letter to ByteDance, accusing the company of using Disney characters to train Seedance 2.0 without authorization, underscoring the growing tensions between content creators and AI developers over intellectual property rights.
- Increase in Copyright Lawsuits: Recently, authors like John Carreyrou have filed lawsuits against major AI firms for using copyrighted books without permission, reflecting a growing concern within the industry regarding the protection of intellectual property.
See More
ByteDance Enhances Copyright Safeguards for AI Tool
- Copyright Protection Measures: ByteDance has pledged to enhance copyright safeguards for its newly launched AI video-making tool, Seedance 2.0, in response to copyright theft complaints from Hollywood, indicating the company's commitment to intellectual property rights.
- Strong Industry Backlash: The Motion Picture Association (MPA) expressed severe dissatisfaction with Seedance 2.0, claiming it engaged in unauthorized use of U.S. copyrighted works on a massive scale in just one day, demanding ByteDance to cease infringing activities, highlighting the industry's heightened focus on copyright protection.
- Escalating Legal Actions: Disney has issued a cease-and-desist letter to ByteDance, accusing the company of using its intellectual property without permission in Seedance, signaling an increasing regulatory pressure from the entertainment industry on AI tools.
- Competitor Countermeasures: Paramount Skydance has also sent a similar cease-and-desist letter to ByteDance, demonstrating the determination and actions of traditional entertainment companies to protect their intellectual property amidst the rapid development of AI technology.
See More
ByteDance Faces Legal Threats Over AI Tool Copyright Violations
- Escalating Legal Threats: Hollywood studios have accused ByteDance's Seedance 2.0 of widespread unauthorized content use, intensifying copyright disputes that could negatively impact ByteDance's reputation and business in the U.S.
- Commitment to IP Protection: ByteDance has pledged to strengthen safeguards for Seedance 2.0 in response to strong opposition from Hollywood groups, demonstrating the company's commitment to intellectual property rights and legal compliance.
- Strong Industry Backlash: The Motion Picture Association (MPA) expressed severe dissatisfaction with ByteDance's actions, claiming massive copyright infringement within a single day, which could lead to legal repercussions and affect creators' rights.
- Shifting Competitive Landscape: While facing legal challenges, ByteDance continues to promote Seedance 2.0 in the market, potentially altering its competitive dynamics with other AI companies, particularly those like OpenAI that have signed licensing agreements.
See More
Wuthering Heights Achieves Strong Box Office Performance
- Box Office Revenue: According to Comscore, Wuthering Heights garnered an estimated $34.8 million in domestic box office over the three-day weekend, indicating a strong market response, with projections suggesting it will reach $40 million by Monday, reflecting high audience interest in the film.
- Market Impact: This box office performance not only exceeds industry expectations but may also provide financial support for subsequent marketing efforts and sequel development, thereby enhancing the production company's position in a competitive film market.
- Audience Feedback: The film's success has attracted a large audience, likely driving sales of related merchandise and spin-off products, further enhancing brand value and market influence, particularly among younger viewers.
- Industry Trends: With the trend of audiences returning to theaters post-pandemic accelerating, the film's performance may signal a positive sign for the recovery of the film industry, encouraging more investors to focus on the development and release of new projects.
See More
Warner Bros. Achieves Ninth Consecutive Box Office Success with 'Wuthering Heights'
- Box Office Success: Warner Bros. Discovery’s Wuthering Heights achieved the studio’s ninth consecutive number one box office debut over the holiday weekend.
- Domestic Earnings: The film is projected to earn approximately $40 million domestically by the end of the holiday period.
See More
Alphabet's Strong Performance in the AI Market
- Market Share Growth: Alphabet's Google Gemini has captured 21% of the enterprise large language model market and is poised to surpass ChatGPT's 27% share by 2025, demonstrating its competitive edge and market leadership in the AI sector.
- Strong Financial Performance: In 2025, Alphabet generated $402.8 billion in revenue, a 15% increase year-over-year, with operating income nearing $130 billion and an operating margin of 32%, indicating robust profitability amid ongoing growth.
- Capital Expenditure Plans: Alphabet anticipates capital expenditures of $175-$185 billion for 2026, exceeding analyst expectations; however, with $30.7 billion in cash reserves and strong profitability, the company is well-positioned to support its data center expansion.
- Long-Term Debt Financing: Alphabet aims to raise $20 billion through the issuance of 100-year bonds, and despite its long-term debt of $46.5 billion, the company's diversified revenue streams and strong cash flow provide a solid financial foundation for taking on additional debt.
See More
