Yes, Toy Story 5 might happen. It comes as a partial surprise as it has happened before. Pixar thinks that Toy Story 3 was going to be the final one.
Toy Story 4 was also created with the idea to bring an end to the franchise. That’s why most Toy Story movies have always have had definitive endings.
Yet, they are so popular that it’s just a no-brainer about making another one. And that might just be great.
“Every film we make, we treat it like it’s the first and the last film we’re ever going to make,” producer Mark Nielsen said during Pixar press day for the movie. “So you force yourself to make it hold up. You don’t get in over your skis. Whether there’s another one? I don’t know. If there is, it’s tomorrow’s problem.”
With that said, Toy Story 5 is still not an official “go”. We’d expect that Disney and Pixar first would want to see how Toy Story 4 will perform. Depending on the interest of the fans, they will probably decide whether to go for another movie or not. So, it will take some time before we get an official confirmation. But the mere fact that Toy Story 5 is on the table as an idea, is encouraging.