Disney is making big moves in the sports and entertainment world. It reached a tentative agreement with the NFL, giving the NFL a 10% stake in ESPN. Additionally, Disney will invest $1.6 billion in securing exclusive rights to major WWE events for ESPN. These deals are expected to boost ESPN’s streaming service.

Disney’s third-quarter earnings saw revenue rise 2% year over year to $23.65 billion, with adjusted earnings per share jumping 16% to $1.61. However, Disney stock dropped 4% in morning trading due to missed analyst expectations. The Experiences segment, including parks and resorts, remains profitable, while streaming revenue increased by 6%.

JPMorgan analysts believe the ESPN-NFL deals could be positive catalysts for Disney, especially in the live sports streaming space. President Trump’s One Big Beautiful Bill Act could further boost Disney’s earnings through expected tax incentives. Disney expects full-year adjusted earnings per share to increase by 18% year over year to $5.85.

Read more at Yahoo Finance: Disney sees big payoff in ESPN’s NFL deal, CFO says