NEW YORK (TheStreet) -- Walt Disney (DIS) - Get Report is set to report fiscal third quarter earnings after the closing bell on Tuesday. Analysts expect earnings of $1.42 per share on revenue of $13.2 billion. Neil Macker, an analyst at Morningstar, plans to focus on three key areas when the entertainment giant reports its earnings.
For one, Macker said he will be watching revenues from the media conglomerate's movie studios. Pixar's Inside Out film has "blown away everyone's expectations," he said. The film brought in over $90 million during its debut weekend back in June.
Another area that Macker is focusing on is the performance of Disney's media networks division, which last quarter accounted for nearly 50% of Disney's revenue and includes the ABC and ESPN channels. "We're watching ESPN, that's the crown jewel of Disney," he said. "You've seen three high-profile talent defections: Bill Simmons, Keith Olbermann and Colin Cowherd. We want to know what the plan is to replace this talent."
Finally, Macker is also keeping an eye on Disney's theme parks division, which saw a 6 percent slump in sales last quarter on a year-over-year basis. "The key here is when is Shanghai Disneyland set to open? Is it still planned for next spring?" he pondered. "Plus, what happens to the capital expenditures after that? Will it be reinvested into other parks?" He also wondered whether the weakness seen in China's stock markets lately will affect the upcoming Shanghai park debut.
Morningstar has a hold rating on Disney. Analysts at Stifel raised their price target on Disney to $130 a share from $120 per share and maintain a buy rating on the stock. Disney has climbed 27% since the start of the year and reached an all-time high on August 3rd.