The market capitalization divide is equally striking, with Disney valued at roughly $180 billion versus Netflix’s approximately $300 billion, even though Disney generates more total revenue today. The company’s fiscal first quarter of 2026, covering the period ended December 27, 2025, did little to help its case, with total segment operating income falling 9% year over year and entertainment segment operating income dropping 35% to $1.1 billion. On a forward earnings basis, Disney trades at roughly 13 times expected profits, approximately two-thirds of what investors are currently paying for Netflix’s forward earnings multiple.