Walt Disney (DIS) Stock Dips While Market Gains: Key Facts
In the latest trading session, Walt Disney (DIS) closed at $102.18, marking a -0.02% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.16%. Meanwhile, the Dow gained 0.04%, and the Nasdaq, a tech-heavy index, added 0.49%.
Coming into today, shares of the entertainment company had lost 0.23% in the past month. In that same time, the Consumer Discretionary sector gained 2.11%, while the S&P 500 gained 3.22%.
Investors will be eagerly watching for the performance of Walt Disney in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.19, marking a 15.53% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $22.89 billion, up 2.53% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.75 per share and revenue of $91.08 billion, which would represent changes of +26.33% and +2.45%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Walt Disney. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.19% lower. Walt Disney is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Walt Disney is currently exchanging hands at a Forward P/E ratio of 21.5. This denotes a premium relative to the industry's average Forward P/E of 15.01.
It's also important to note that DIS currently trades at a PEG ratio of 1.27. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Media Conglomerates was holding an average PEG ratio of 1.76 at yesterday's closing price.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 85, finds itself in the top 34% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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