With its familiar cable networks, large streaming services, and theme parks around the globe, Walt Disney (DIS -2.52%) is a leader in the media and entertainment sector. The business has been around for over a century, proving that people of all ages worldwide will always love great storytelling.

This well-known consumer discretionary stock has had a difficult run, as it's down 58% from its all-time high established in March 2021 (as of April 11). But there is certainly an opportunity for investors, in my opinion, especially for those who can think independently and have the patience to wait for things to play out.

Here are three reasons to buy Disney shares like there's no tomorrow.

Streaming improvements

Disney fully entered the streaming wars in November 2019 when it launched Disney+. This move was probably a bit later than observers would have expected. Another surprising development was just how much money the service started to burn. During the fourth quarter of fiscal 2022, the company's direct-to-consumer (DTC) segment, which includes Disney+, Hulu, and ESPN+, posted a peak operating loss of $1.5 billion.

The situation has improved drastically. Disney DTC registered positive operating income in the last three fiscal quarters. The leadership team expects the segment (excluding ESPN+) to report $1 billion in operating income in fiscal 2025.

Significant cost controls, particularly around content spending, have helped to improve profitability. However, investors must pay attention in the hopes that this doesn't get in the way of growth. The DTC division reported a 9% year-over-year revenue increase in the first quarter, with subscribers totaling over 178 million. So far, things look good.

Disney's best segment

Disney is a massive, multifaceted organization. The decline of linear TV, coupled with the rising popularity of streaming, get all the attention. But Disney's Experiences segment, where its theme parks, cruise lines, and consumer products are all housed, is arguably the company's most important financial driver.

In fiscal 2024 (ended Sept. 28), Experiences represented 37% of Disney's overall revenue, while accounting for 59% of its operating income. It boasts a stellar 27% operating margin, highlighting how lucrative an endeavor it really is.

According to management, the business has seven of the top 10 most visited parks in the world, and there are a whopping 700 million Disney fans in the world who have not visited yet.

By understanding the strong competitive position of Experiences, it makes sense why the executive team is aggressively pushing for expansion. Disney plans to double its capital expenditures to $60 billion over the next decade for new attractions and expanding the cruise fleet. It wouldn't be surprising to see Experiences continue its impressive trajectory of revenue and profit growth.

Not expecting much

For such a highly regarded and culturally important enterprise, Disney has been a terrible investment. Including dividends, investors would've lost 18% of their starting capital over the trailing-five-year period. During that same time, putting money in the S&P 500 index would've more than doubled your investment.

The cord-cutting trend is a big opportunity for Disney. But investors are rightly worried about the ongoing demise of traditional cable TV, which used to be a major money-maker. How Disney navigates this transition will have perhaps the biggest effect on its long-term success.

The positive spin on this, though, is that the market remains very pessimistic. As of this writing, shares trade at a forward price-to-earnings (P/E) ratio of just 15.6. That's a compelling valuation to prospective investors, and it's yet another reason to buy this stock.