Pixar feels the power

LOS ANGELES — Shares of Pixar Animation Studios surged Monday, touching an all-time high of $93.42 as the company’s latest film, “The Incredibles,” blew past its big-budget rival, “The Polar Express” at the weekend box office.

“The Incredibles,” earned an estimated $51 million in its second full weekend, compared to a dismal $23.5 million for “The Polar Express” in its opening weekend.

The success of Pixar’s sixth film confirms its already strong bargaining position as it seeks a new distribution partner for films starting in 2006. Pixar will deliver its next film, “Cars,” next November through its existing deal with The Walt Disney Co.

But the Emeryville, Calif.-based company is not in a hurry to sign a new deal and signaled last week it could even wait until late next year if it decides to switch to a summer release schedule for its eighth film, scheduled for release in 2007.

Now, Pixar films are released in the fall holiday period, with DVDs released in the spring. Last week, Pixar chief executive Steve Jobs said the studio was mulling a spring release schedule, which would shift the DVD release window to the holidays. If the studio makes such a move, it would delay one release by 18 months.

Jobs said last week the studio has not yet entered into serious negotiations with any studio and has set no new talks with Disney.

Pixar shares later retreated, but were still up 5.5 percent, or $4.80, to close at $91.34 Monday on the Nasdaq Stock Market.

While investors were giddy over Pixar’s weekend performance — which followed last week’s report of a 70 percent jump in third-quarter profits — some analysts cautioned against unbridled enthusiasm over the stock.

“The market is reacting like this is some sort of new discovery,” said David Miller, an analyst at Sanders Morris Harris. “What the market did not expect is such a poor showing by ‘The Polar Express.’ The film has officially tanked.”

Miller said the performance of “The Incredibles” puts it on track to earn between $650 million and $700 million worldwide, an expectation he said was already priced into the stock.

Pixar wants to finance and own its films after “Cars” and to pay a studio for distribution and marketing. Under its current Disney deal, Pixar and Disney joint-finance the films and split profits equally, with Disney taking an extra share for distribution. Revenue from home video and other sales are also divided evenly.

Analysts have said Pixar would fit well with either Warner Bros. or Twentieth Century Fox films. Both studios have experience marketing blockbuster titles and both have experience with animation.