The firm said it began coverage on the family entertainment, media, and movie company as it believes Disney will benefit from the shift toward digital platforms.
"Disney's content assets and unique exploitation model put the company in a strong position to benefit from consumption shifts to digital platforms," Credit Suisse said in an analyst note.
"The valuation is at 10-year highs, but we see the multiple as being well supported by improving returns and strong earnings momentum," the firm continued.
Additionally, on Tuesday Disney unveiled a new line of wearable toys based around its Marvel comic book characters that have the ability to interact with each other and other products, Bloomberg reported.
Disney made the new product announcement at a briefing in Los Angeles. Hasbro (HAS) will make and distribute the toys, which will be available beginning in October in five-piece starter packs priced at $120.
Shares of Disney are up by 0.68% to $111.50 in pre-market trading this morning.
Separately, TheStreet Ratings team rates DISNEY (WALT) CO as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DISNEY (WALT) CO (DIS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income, notable return on equity and good cash flow from operations. We feel its strengths outweigh the fact that the company shows low profit margins."