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 44 industry peers in the Entertainment industry. While 1DIS is still in line with the averages on profitability rating, there are concerns on its financial health. 1DIS has a decent growth rate and is not valued too expensively.
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.
1DIS had positive earnings in 4 of the past 5 years.
In the past 5 years 1DIS always reported a positive cash flow from operatings.
1.2 Ratios
1DIS's Return On Assets of 2.85% is fine compared to the rest of the industry. 1DIS outperforms 68.18% of its industry peers.
1DIS has a Return On Equity of 5.51%. This is in the better half of the industry: 1DIS outperforms 61.36% of its industry peers.
With a decent Return On Invested Capital value of 5.93%, 1DIS is doing good in the industry, outperforming 65.91% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1DIS is below the industry average of 8.55%.
The 3 year average ROIC (4.02%) for 1DIS is below the current ROIC(5.93%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.85% | ||
| ROE | 5.51% | ||
| ROIC | 5.93% |
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 has a Profit Margin of 6.07%. This is in the better half of the industry: 1DIS outperforms 68.18% of its industry peers.
1DIS's Profit Margin has declined in the last couple of years.
1DIS's Operating Margin of 14.11% is amongst the best of the industry. 1DIS outperforms 84.09% of its industry peers.
In the last couple of years the Operating Margin of 1DIS has declined.
1DIS has a Gross Margin of 36.74%. This is in the lower half of the industry: 1DIS underperforms 61.36% of its industry peers.
1DIS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.11% | ||
| PM (TTM) | 6.07% | ||
| GM | 36.74% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1DIS is destroying value.
1DIS has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1DIS has more shares outstanding
1DIS has a worse debt/assets ratio than last year.
2.2 Solvency
1DIS has an Altman-Z score of 2.00. This is not the best score and indicates that 1DIS is in the grey zone with still only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 2.00, 1DIS belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
1DIS has a debt to FCF ratio of 5.39. This is a neutral value as 1DIS would need 5.39 years to pay back of all of its debts.
1DIS has a Debt to FCF ratio of 5.39. This is in the better half of the industry: 1DIS outperforms 65.91% of its industry peers.
1DIS has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.38, 1DIS is doing good in the industry, outperforming 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 5.39 | ||
| Altman-Z | 2 |
ROIC/WACC0.77
WACC7.7%
2.3 Liquidity
1DIS has a Current Ratio of 0.68. 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 Current ratio of 0.68. This is comparable to the rest of the industry: 1DIS outperforms 40.91% of its industry peers.
1DIS has a Quick Ratio of 0.68. 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's Quick ratio of 0.62 is on the low side compared to the rest of the industry. 1DIS is outperformed by 61.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 37.50% over the past year.
Measured over the past years, 1DIS shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.31% on average per year.
The Revenue has been growing slightly by 4.01% in the past year.
1DIS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.59% yearly.
EPS 1Y (TTM)37.5%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%44.26%
Revenue 1Y (TTM)4.01%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%4.85%
3.2 Future
Based on estimates for the next years, 1DIS will show a small growth in Earnings Per Share. The EPS will grow by 6.28% on average per year.
1DIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.82% yearly.
EPS Next Y10.95%
EPS Next 2Y11.08%
EPS Next 3Y11.72%
EPS Next 5Y6.28%
Revenue Next Year3.48%
Revenue Next 2Y4.55%
Revenue Next 3Y4.47%
Revenue Next 5Y2.82%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
1DIS is valuated correctly with a Price/Earnings ratio of 16.34.
Based on the Price/Earnings ratio, 1DIS is valued cheaper than 84.09% of the companies in the same industry.
1DIS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.79.
A Price/Forward Earnings ratio of 14.67 indicates a correct valuation of 1DIS.
Based on the Price/Forward Earnings ratio, 1DIS is valued a bit cheaper than the industry average as 68.18% of the companies are valued more expensively.
1DIS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.38, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.34 | ||
| Fwd PE | 14.67 |
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.
Based on the Price/Free Cash Flow ratio, 1DIS is valued a bit cheaper than 65.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.29 | ||
| EV/EBITDA | 11.18 |
4.3 Compensation for Growth
1DIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.49
PEG (5Y)N/A
EPS Next 2Y11.08%
EPS Next 3Y11.72%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.18%, 1DIS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.33, 1DIS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.51, 1DIS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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 24.33% of its income as dividend. This is a sustainable payout ratio.
DP24.33%
EPS Next 2Y11.08%
EPS Next 3Y11.72%
BIT:1DIS (4/24/2025, 7:00:00 PM)
78.92
+3.98 (+5.31%)
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 Cap142.67B
Analysts79.44
Price Target117.43 (48.8%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
Yearly Dividend0.66
Dividend Growth(5Y)-14.82%
DP24.33%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.36%
Min EPS beat(2)2.45%
Max EPS beat(2)20.27%
EPS beat(4)4
Avg EPS beat(4)11.78%
Min EPS beat(4)2.45%
Max EPS beat(4)20.27%
EPS beat(8)7
Avg EPS beat(8)11.45%
EPS beat(12)9
Avg EPS beat(12)6.07%
EPS beat(16)12
Avg EPS beat(16)21.49%
Revenue beat(2)0
Avg Revenue beat(2)-0.59%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)-0.45%
Revenue beat(4)0
Avg Revenue beat(4)-0.73%
Min Revenue beat(4)-1.11%
Max Revenue beat(4)-0.45%
Revenue beat(8)0
Avg Revenue beat(8)-1.03%
Revenue beat(12)1
Avg Revenue beat(12)-1.5%
Revenue beat(16)3
Avg Revenue beat(16)-1.19%
PT rev (1m)-4.8%
PT rev (3m)-2.51%
EPS NQ rev (1m)-0.65%
EPS NQ rev (3m)-6.08%
EPS NY rev (1m)-0.83%
EPS NY rev (3m)0.7%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.34 | ||
| Fwd PE | 14.67 | ||
| P/S | 1.75 | ||
| P/FCF | 19.29 | ||
| P/OCF | 10.83 | ||
| P/B | 1.59 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.18 |
EPS(TTM)4.83
EY6.12%
EPS(NY)5.38
Fwd EY6.82%
FCF(TTM)4.09
FCFY5.18%
OCF(TTM)7.29
OCFY9.24%
SpS44.98
BVpS49.57
TBVpS-6.93
PEG (NY)1.49
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.85% | ||
| ROE | 5.51% | ||
| ROCE | 8.05% | ||
| ROIC | 5.93% | ||
| ROICexc | 6.14% | ||
| ROICexgc | 23.74% | ||
| OM | 14.11% | ||
| PM (TTM) | 6.07% | ||
| GM | 36.74% | ||
| FCFM | 9.09% |
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-Score7
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 5.39 | ||
| Debt/EBITDA | 2.14 | ||
| Cap/Depr | 130.98% | ||
| Cap/Sales | 7.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.92% | ||
| Profit Quality | 149.81% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 2 |
F-Score7
WACC7.7%
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)37.5%
EPS 3Y29.57%
EPS 5Y-3.31%
EPS Q2Q%44.26%
EPS Next Y10.95%
EPS Next 2Y11.08%
EPS Next 3Y11.72%
EPS Next 5Y6.28%
Revenue 1Y (TTM)4.01%
Revenue growth 3Y10.66%
Revenue growth 5Y5.59%
Sales Q2Q%4.85%
Revenue Next Year3.48%
Revenue Next 2Y4.55%
Revenue Next 3Y4.47%
Revenue Next 5Y2.82%
EBIT growth 1Y32.76%
EBIT growth 3Y48.22%
EBIT growth 5Y0.14%
EBIT Next Year32.25%
EBIT Next 3Y15.9%
EBIT Next 5Y8.92%
FCF growth 1Y8848.94%
FCF growth 3Y62.65%
FCF growth 5Y37.68%
OCF growth 1Y186.25%
OCF growth 3Y35.89%
OCF growth 5Y16.16%