WALT DISNEY CO/THE (DIS) Stock Fundamental Analysis
NYSE:DIS - US2546871060 - Common Stock
118.4 USD
-0.46 (-0.39%)
DIS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 75 industry peers in the Entertainment industry. There are concerns on the financial health of DIS while its profitability can be described as average. DIS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DIS had positive earnings in the past year.
In the past year DIS had a positive cash flow from operations.
Of the past 5 years DIS 4 years were profitable.
In the past 5 years DIS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.88%, DIS belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
DIS has a better Return On Equity (10.58%) than 80.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.29%, DIS is in the better half of the industry, outperforming 76.00% of the companies in the same industry.
DIS had an Average Return On Invested Capital over the past 3 years of 4.02%. This is significantly below the industry average of 23.16%.
The last Return On Invested Capital (6.29%) for DIS is above the 3 year average (4.02%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 10.58% | ||
| ROIC | 6.29% |
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
DIS has a Profit Margin of 12.22%. This is amongst the best in the industry. DIS outperforms 89.33% of its industry peers.
In the last couple of years the Profit Margin of DIS has declined.
DIS has a better Operating Margin (14.78%) than 86.67% of its industry peers.
In the last couple of years the Operating Margin of DIS has declined.
DIS has a Gross Margin of 37.61%. This is comparable to the rest of the industry: DIS outperforms 42.67% of its industry peers.
DIS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.78% | ||
| PM (TTM) | 12.22% | ||
| GM | 37.61% |
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
DIS 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, DIS has more shares outstanding
DIS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, DIS has a worse debt to assets ratio.
2.2 Solvency
DIS has an Altman-Z score of 2.55. This is not the best score and indicates that DIS is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of DIS (2.55) is better than 70.67% of its industry peers.
DIS has a debt to FCF ratio of 3.66. This is a good value and a sign of high solvency as DIS would need 3.66 years to pay back of all of its debts.
DIS has a Debt to FCF ratio of 3.66. This is in the better half of the industry: DIS outperforms 78.67% of its industry peers.
DIS has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of DIS (0.33) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 3.66 | ||
| Altman-Z | 2.55 |
ROIC/WACC0.79
WACC7.92%
2.3 Liquidity
A Current Ratio of 0.72 indicates that DIS may have some problems paying its short term obligations.
DIS has a Current ratio of 0.72. This is comparable to the rest of the industry: DIS outperforms 41.33% of its industry peers.
A Quick Ratio of 0.66 indicates that DIS may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.66, DIS is doing worse than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.45% over the past year.
DIS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.31% yearly.
Looking at the last year, DIS shows a small growth in Revenue. The Revenue has grown by 5.01% in the last year.
Measured over the past years, DIS shows a small growth in Revenue. The Revenue has been growing by 5.59% on average per year.
EPS 1Y (TTM)28.45%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%15.83%
Revenue 1Y (TTM)5.01%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%2.14%
3.2 Future
DIS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.35% yearly.
DIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.08% yearly.
EPS Next Y19.37%
EPS Next 2Y14.68%
EPS Next 3Y13.55%
EPS Next 5Y7.35%
Revenue Next Year3.79%
Revenue Next 2Y4.95%
Revenue Next 3Y4.68%
Revenue Next 5Y3.08%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
Based on the Price/Earnings ratio of 19.87, the valuation of DIS can be described as rather expensive.
DIS's Price/Earnings ratio is rather cheap when compared to the industry. DIS is cheaper than 84.00% of the companies in the same industry.
DIS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.24.
Based on the Price/Forward Earnings ratio of 18.15, the valuation of DIS can be described as rather expensive.
Based on the Price/Forward Earnings ratio, DIS is valued cheaply inside the industry as 81.33% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of DIS to the average of the S&P500 Index (22.81), we can say DIS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.87 | ||
| Fwd PE | 18.15 |
4.2 Price Multiples
DIS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DIS is cheaper than 72.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DIS indicates a rather cheap valuation: DIS is cheaper than 84.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.43 | ||
| EV/EBITDA | 13.06 |
4.3 Compensation for Growth
DIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of DIS may justify a higher PE ratio.
DIS's earnings are expected to grow with 13.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.03
PEG (5Y)N/A
EPS Next 2Y14.68%
EPS Next 3Y13.55%
5. Dividend
5.1 Amount
DIS has a yearly dividend return of 0.86%, which is pretty low.
Compared to an average industry Dividend Yield of 6.82, DIS pays a better dividend. On top of this DIS pays more dividend than 85.33% of the companies listed in the same industry.
With a Dividend Yield of 0.86, DIS pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
5.2 History
The dividend of DIS decreases each year by -14.82%.
DIS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of DIS decreased recently.
Dividend Growth(5Y)-14.82%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
14.91% of the earnings are spent on dividend by DIS. This is a low number and sustainable payout ratio.
DP14.91%
EPS Next 2Y14.68%
EPS Next 3Y13.55%
NYSE:DIS (8/25/2025, 12:15:05 PM)
118.4
-0.46 (-0.39%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners73.01%
Inst Owner Change3.62%
Ins Owners0.02%
Ins Owner Change1.43%
Market Cap212.87B
Analysts81.58
Price Target136.06 (14.92%)
Short Float %1.12%
Short Ratio2.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
Yearly Dividend0.75
Dividend Growth(5Y)-14.82%
DP14.91%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.08%
Min EPS beat(2)8.42%
Max EPS beat(2)19.75%
EPS beat(4)4
Avg EPS beat(4)12.72%
Min EPS beat(4)2.45%
Max EPS beat(4)20.27%
EPS beat(8)8
Avg EPS beat(8)14.23%
EPS beat(12)10
Avg EPS beat(12)8.24%
EPS beat(16)12
Avg EPS beat(16)8.74%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-1.31%
Max Revenue beat(2)1.06%
Revenue beat(4)1
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-1.31%
Max Revenue beat(4)1.06%
Revenue beat(8)1
Avg Revenue beat(8)-0.74%
Revenue beat(12)1
Avg Revenue beat(12)-1.25%
Revenue beat(16)3
Avg Revenue beat(16)-1.08%
PT rev (1m)1.92%
PT rev (3m)9.16%
EPS NQ rev (1m)-3.66%
EPS NQ rev (3m)-2.82%
EPS NY rev (1m)1.38%
EPS NY rev (3m)1.5%
Revenue NQ rev (1m)-0.84%
Revenue NQ rev (3m)-0.88%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.87 | ||
| Fwd PE | 18.15 | ||
| P/S | 2.25 | ||
| P/FCF | 18.43 | ||
| P/OCF | 11.12 | ||
| P/B | 1.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.06 |
EPS(TTM)5.96
EY5.03%
EPS(NY)6.52
Fwd EY5.51%
FCF(TTM)6.42
FCFY5.42%
OCF(TTM)10.65
OCFY8.99%
SpS52.58
BVpS60.71
TBVpS-2.83
PEG (NY)1.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 10.58% | ||
| ROCE | 8.54% | ||
| ROIC | 6.29% | ||
| ROICexc | 6.51% | ||
| ROICexgc | 23.38% | ||
| OM | 14.78% | ||
| PM (TTM) | 12.22% | ||
| GM | 37.61% | ||
| FCFM | 12.22% |
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-Score9
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 3.66 | ||
| Debt/EBITDA | 1.9 | ||
| Cap/Depr | 145.62% | ||
| Cap/Sales | 8.04% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.76% | ||
| Profit Quality | 99.97% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 2.55 |
F-Score9
WACC7.92%
ROIC/WACC0.79
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)28.45%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%15.83%
EPS Next Y19.37%
EPS Next 2Y14.68%
EPS Next 3Y13.55%
EPS Next 5Y7.35%
Revenue 1Y (TTM)5.01%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%2.14%
Revenue Next Year3.79%
Revenue Next 2Y4.95%
Revenue Next 3Y4.68%
Revenue Next 5Y3.08%
EBIT growth 1Y24.19%
EBIT growth 3Y48.22%
EBIT growth 5Y0.14%
EBIT Next Year35.7%
EBIT Next 3Y16.33%
EBIT Next 5Y8.92%
FCF growth 1Y305.9%
FCF growth 3Y62.65%
FCF growth 5Y37.68%
OCF growth 1Y152.31%
OCF growth 3Y35.89%
OCF growth 5Y16.16%