WALT DISNEY CO/THE (1DIS.MI) Stock Fundamental Analysis
BIT:1DIS - Euronext Milan - US2546871060 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to 1DIS. 1DIS was compared to 47 industry peers in the Entertainment industry. There are concerns on the financial health of 1DIS while its profitability can be described as average. 1DIS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1DIS was profitable.
In the past year 1DIS had a positive cash flow from operations.
Of the past 5 years 1DIS 4 years were profitable.
Each year in the past 5 years 1DIS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.55%, 1DIS is in the better half of the industry, outperforming 70.21% of the companies in the same industry.
With a decent Return On Equity value of 8.54%, 1DIS is doing good in the industry, outperforming 61.70% of the companies in the same industry.
1DIS's Return On Invested Capital of 6.23% is fine compared to the rest of the industry. 1DIS outperforms 68.09% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1DIS is significantly below the industry average of 9.18%.
The last Return On Invested Capital (6.23%) for 1DIS is above the 3 year average (4.02%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.55% | ||
| ROE | 8.54% | ||
| ROIC | 6.23% |
ROA(3y)1.74%
ROA(5y)0.96%
ROE(3y)3.54%
ROE(5y)1.89%
ROIC(3y)4.02%
ROIC(5y)3.04%
1.3 Margins
1DIS's Profit Margin of 9.47% is fine compared to the rest of the industry. 1DIS outperforms 74.47% of its industry peers.
1DIS's Profit Margin has declined in the last couple of years.
The Operating Margin of 1DIS (14.55%) is better than 85.11% of its industry peers.
In the last couple of years the Operating Margin of 1DIS has declined.
1DIS has a worse Gross Margin (37.10%) than 63.83% of its industry peers.
1DIS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.55% | ||
| PM (TTM) | 9.47% | ||
| GM | 37.1% |
OM growth 3Y33.94%
OM growth 5Y-5.16%
PM growth 3Y22.52%
PM growth 5Y-19.28%
GM growth 3Y2.65%
GM growth 5Y-2.01%
2. Health
2.1 Basic Checks
1DIS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, 1DIS has more shares outstanding
1DIS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1DIS has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.35 indicates that 1DIS is not a great score, but indicates only limited risk for bankruptcy at the moment.
1DIS has a better Altman-Z score (2.35) than 74.47% of its industry peers.
The Debt to FCF ratio of 1DIS is 3.94, which is a good value as it means it would take 1DIS, 3.94 years of fcf income to pay off all of its debts.
1DIS has a Debt to FCF ratio of 3.94. This is in the better half of the industry: 1DIS outperforms 68.09% of its industry peers.
A Debt/Equity ratio of 0.35 indicates that 1DIS is not too dependend on debt financing.
1DIS has a Debt to Equity ratio (0.35) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.94 | ||
| Altman-Z | 2.35 |
ROIC/WACC0.77
WACC8.07%
2.3 Liquidity
A Current Ratio of 0.67 indicates that 1DIS may have some problems paying its short term obligations.
With a Current ratio value of 0.67, 1DIS is not doing good in the industry: 65.96% of the companies in the same industry are doing better.
1DIS has a Quick Ratio of 0.67. This is a bad value and indicates that 1DIS is not financially healthy enough and could expect problems in meeting its short term obligations.
1DIS has a Quick ratio of 0.61. This is in the lower half of the industry: 1DIS underperforms 68.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
1DIS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.11%, which is quite impressive.
1DIS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.31% yearly.
1DIS shows a small growth in Revenue. In the last year, the Revenue has grown by 5.42%.
Measured over the past years, 1DIS shows a small growth in Revenue. The Revenue has been growing by 5.59% on average per year.
EPS 1Y (TTM)34.11%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%19.83%
Revenue 1Y (TTM)5.42%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%6.96%
3.2 Future
1DIS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.50% yearly.
The Revenue is expected to grow by 3.35% on average over the next years.
EPS Next Y17.6%
EPS Next 2Y13.22%
EPS Next 3Y13.11%
EPS Next 5Y7.5%
Revenue Next Year4.07%
Revenue Next 2Y4.72%
Revenue Next 3Y4.58%
Revenue Next 5Y3.35%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1DIS is valuated rather expensively with a Price/Earnings ratio of 19.50.
Compared to the rest of the industry, the Price/Earnings ratio of 1DIS indicates a rather cheap valuation: 1DIS is cheaper than 82.98% of the companies listed in the same industry.
1DIS is valuated rather cheaply when we compare the Price/Earnings ratio to 26.52, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 17.60, 1DIS is valued on the expensive side.
72.34% of the companies in the same industry are more expensive than 1DIS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.25. 1DIS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.5 | ||
| Fwd PE | 17.6 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1DIS is on the same level as its industry peers.
1DIS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1DIS is cheaper than 68.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.47 | ||
| EV/EBITDA | 12.68 |
4.3 Compensation for Growth
1DIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1DIS's earnings are expected to grow with 13.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.11
PEG (5Y)N/A
EPS Next 2Y13.22%
EPS Next 3Y13.11%
5. Dividend
5.1 Amount
1DIS has a yearly dividend return of 0.89%, which is pretty low.
Compared to an average industry Dividend Yield of 1.83, 1DIS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, 1DIS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
5.2 History
The dividend of 1DIS decreases each year by -14.82%.
Dividend Growth(5Y)-14.82%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1DIS pays out 19.33% of its income as dividend. This is a sustainable payout ratio.
DP19.33%
EPS Next 2Y13.22%
EPS Next 3Y13.11%
BIT:1DIS (5/29/2025, 7:00:00 PM)
98.08
-2 (-2%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners71.43%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap176.32B
Analysts80
Price Target111.8 (13.99%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
Yearly Dividend0.66
Dividend Growth(5Y)-14.82%
DP19.33%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.01%
Min EPS beat(2)19.75%
Max EPS beat(2)20.27%
EPS beat(4)4
Avg EPS beat(4)14.45%
Min EPS beat(4)2.45%
Max EPS beat(4)20.27%
EPS beat(8)8
Avg EPS beat(8)14.05%
EPS beat(12)10
Avg EPS beat(12)8.54%
EPS beat(16)12
Avg EPS beat(16)11.04%
Revenue beat(2)1
Avg Revenue beat(2)0.17%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)1.06%
Revenue beat(4)1
Avg Revenue beat(4)-0.19%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)1.06%
Revenue beat(8)1
Avg Revenue beat(8)-0.8%
Revenue beat(12)2
Avg Revenue beat(12)-1.01%
Revenue beat(16)4
Avg Revenue beat(16)-0.96%
PT rev (1m)1.89%
PT rev (3m)-8.16%
EPS NQ rev (1m)0.67%
EPS NQ rev (3m)1.15%
EPS NY rev (1m)6%
EPS NY rev (3m)5.12%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)0.04%
Revenue NY rev (1m)0.27%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.5 | ||
| Fwd PE | 17.6 | ||
| P/S | 2.14 | ||
| P/FCF | 18.47 | ||
| P/OCF | 11.13 | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.68 |
EPS(TTM)5.03
EY5.13%
EPS(NY)5.57
Fwd EY5.68%
FCF(TTM)5.31
FCFY5.42%
OCF(TTM)8.81
OCFY8.98%
SpS45.84
BVpS50.86
TBVpS-5.26
PEG (NY)1.11
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.55% | ||
| ROE | 8.54% | ||
| ROCE | 8.46% | ||
| ROIC | 6.23% | ||
| ROICexc | 6.46% | ||
| ROICexgc | 24.7% | ||
| OM | 14.55% | ||
| PM (TTM) | 9.47% | ||
| GM | 37.1% | ||
| FCFM | 11.59% |
ROA(3y)1.74%
ROA(5y)0.96%
ROE(3y)3.54%
ROE(5y)1.89%
ROIC(3y)4.02%
ROIC(5y)3.04%
ROICexc(3y)4.27%
ROICexc(5y)3.26%
ROICexgc(3y)18.28%
ROICexgc(5y)14.25%
ROCE(3y)5.45%
ROCE(5y)4.13%
ROICexcg growth 3Y38.24%
ROICexcg growth 5Y-4.53%
ROICexc growth 3Y48.52%
ROICexc growth 5Y0.35%
OM growth 3Y33.94%
OM growth 5Y-5.16%
PM growth 3Y22.52%
PM growth 5Y-19.28%
GM growth 3Y2.65%
GM growth 5Y-2.01%
F-Score8
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.94 | ||
| Debt/EBITDA | 1.94 | ||
| Cap/Depr | 140.69% | ||
| Cap/Sales | 7.64% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.22% | ||
| Profit Quality | 122.29% | ||
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 2.35 |
F-Score8
WACC8.07%
ROIC/WACC0.77
Cap/Depr(3y)98.92%
Cap/Depr(5y)88.4%
Cap/Sales(3y)5.83%
Cap/Sales(5y)5.79%
Profit Quality(3y)138.03%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.11%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%19.83%
EPS Next Y17.6%
EPS Next 2Y13.22%
EPS Next 3Y13.11%
EPS Next 5Y7.5%
Revenue 1Y (TTM)5.42%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%6.96%
Revenue Next Year4.07%
Revenue Next 2Y4.72%
Revenue Next 3Y4.58%
Revenue Next 5Y3.35%
EBIT growth 1Y31.09%
EBIT growth 3Y48.22%
EBIT growth 5Y0.14%
EBIT Next Year34.42%
EBIT Next 3Y15.74%
EBIT Next 5Y8.92%
FCF growth 1Y681.08%
FCF growth 3Y62.65%
FCF growth 5Y37.68%
OCF growth 1Y169.5%
OCF growth 3Y35.89%
OCF growth 5Y16.16%