Certain genres of film are best in the theater. Horror is one, because the audience response is part of the fun. Really visually big movies, like the better Marvel movies or Star Wars or Top Gun or Avatar, are still best seen on the largest screen possible. People will pay the ticket cost and overcome aversion to crowds (contagion! mass shooters! seat kickers!) to see these films in theaters.
I'm not sure if people still see Disney/Pixar animation as that kind of movie, though. Parents are 1. tired 2. broke 3. probably already pre paid for the movie in the form of Disney+, they just have to wait, what, a month? A month and a half? That and kids are not the best theatergoers--they cry, they talk, they need to pee, they get scared and bored. Teaching your child how to exist in public is important but is it $50 a pop important?