WALT DISNEY CO/THE (DIS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DIS - US2546871060 - Common Stock
111.85 USD
-1.92 (-1.69%)
111.8 USD
-0.05 (-0.04%)
Overall DIS gets a fundamental rating of 5 out of 10. We evaluated DIS against 80 industry peers in the Entertainment industry. While DIS has a great profitability rating, there are some minor concerns on its financial health. DIS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DIS was profitable.
In the past year DIS had a positive cash flow from operations.
DIS had positive earnings in each of the past 5 years.
DIS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DIS's Return On Assets of 6.28% is amongst the best of the industry. DIS outperforms 81.25% of its industry peers.
DIS has a Return On Equity of 11.29%. This is in the better half of the industry: DIS outperforms 78.75% of its industry peers.
DIS has a better Return On Invested Capital (6.46%) than 78.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DIS is below the industry average of 8.70%.
The last Return On Invested Capital (6.46%) for DIS is above the 3 year average (5.33%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.28% | ||
| ROE | 11.29% | ||
| ROIC | 6.46% |
ROA(3y)3.32%
ROA(5y)2.5%
ROE(3y)6.2%
ROE(5y)4.83%
ROIC(3y)5.33%
ROIC(5y)4.11%
1.3 Margins
DIS has a better Profit Margin (13.14%) than 87.50% of its industry peers.
DIS's Profit Margin has improved in the last couple of years.
DIS has a better Operating Margin (14.65%) than 87.50% of its industry peers.
In the last couple of years the Operating Margin of DIS has grown nicely.
DIS has a Gross Margin (37.76%) which is in line with its industry peers.
In the last couple of years the Gross Margin of DIS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.65% | ||
| PM (TTM) | 13.14% | ||
| GM | 37.76% |
OM growth 3Y21.44%
OM growth 5Y20.35%
PM growth 3Y51.18%
PM growth 5YN/A
GM growth 3Y3.32%
GM growth 5Y2.8%
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.
DIS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for DIS has been increased compared to 5 years ago.
Compared to 1 year ago, DIS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.47 indicates that DIS is not a great score, but indicates only limited risk for bankruptcy at the moment.
DIS has a better Altman-Z score (2.47) than 68.75% of its industry peers.
DIS has a debt to FCF ratio of 4.17. This is a neutral value as DIS would need 4.17 years to pay back of all of its debts.
DIS has a Debt to FCF ratio of 4.17. This is in the better half of the industry: DIS outperforms 78.75% of its industry peers.
DIS has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of DIS (0.32) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.17 | ||
| Altman-Z | 2.47 |
ROIC/WACC0.63
WACC10.2%
2.3 Liquidity
DIS has a Current Ratio of 0.71. This is a bad value and indicates that DIS is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.71, DIS is doing worse than 67.50% of the companies in the same industry.
A Quick Ratio of 0.65 indicates that DIS may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.65, DIS is doing worse than 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.56% over the past year.
DIS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.16% yearly.
Looking at the last year, DIS shows a small growth in Revenue. The Revenue has grown by 3.35% in the last year.
Measured over the past years, DIS shows a small growth in Revenue. The Revenue has been growing by 7.63% on average per year.
EPS 1Y (TTM)19.56%
EPS 3Y18.88%
EPS 5Y24.16%
EPS Q2Q%-2.63%
Revenue 1Y (TTM)3.35%
Revenue growth 3Y4.51%
Revenue growth 5Y7.63%
Sales Q2Q%-0.49%
3.2 Future
Based on estimates for the next years, DIS will show a small growth in Earnings Per Share. The EPS will grow by 7.01% on average per year.
The Revenue is expected to grow by 3.78% on average over the next years.
EPS Next Y12.74%
EPS Next 2Y11.78%
EPS Next 3Y11.53%
EPS Next 5Y7.01%
Revenue Next Year6.33%
Revenue Next 2Y5.34%
Revenue Next 3Y4.76%
Revenue Next 5Y3.78%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
The Price/Earnings ratio is 18.86, which indicates a rather expensive current valuation of DIS.
Compared to the rest of the industry, the Price/Earnings ratio of DIS indicates a rather cheap valuation: DIS is cheaper than 82.50% of the companies listed in the same industry.
DIS is valuated rather cheaply when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 16.73, which indicates a correct valuation of DIS.
Based on the Price/Forward Earnings ratio, DIS is valued cheaply inside the industry as 86.25% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.23. DIS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.86 | ||
| Fwd PE | 16.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DIS indicates a somewhat cheap valuation: DIS is cheaper than 73.75% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DIS is valued cheaper than 83.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.82 | ||
| EV/EBITDA | 12.5 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
DIS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.48
PEG (5Y)0.78
EPS Next 2Y11.78%
EPS Next 3Y11.53%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.31%, DIS has a reasonable but not impressive dividend return.
DIS's Dividend Yield is rather good when compared to the industry average which is at 8.00. DIS pays more dividend than 86.25% of the companies in the same industry.
DIS's Dividend Yield is slightly below the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
5.2 History
The dividend of DIS decreases each year by -11.07%.
DIS has paid a dividend for at least 10 years, which is a reliable track record.
DIS has decreased its dividend recently.
Dividend Growth(5Y)-11.07%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
14.54% of the earnings are spent on dividend by DIS. This is a low number and sustainable payout ratio.
DP14.54%
EPS Next 2Y11.78%
EPS Next 3Y11.53%
111.85
-1.92 (-1.69%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners75.63%
Inst Owner Change-1.98%
Ins Owners0.02%
Ins Owner Change3.21%
Market Cap199.68B
Revenue(TTM)94.42B
Net Income(TTM)12.40B
Analysts81.03
Price Target135.63 (21.26%)
Short Float %1.22%
Short Ratio1.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
Yearly Dividend0.98
Dividend Growth(5Y)-11.07%
DP14.54%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.79%
Min EPS beat(2)5.15%
Max EPS beat(2)8.42%
EPS beat(4)4
Avg EPS beat(4)13.4%
Min EPS beat(4)5.15%
Max EPS beat(4)20.27%
EPS beat(8)8
Avg EPS beat(8)12.85%
EPS beat(12)11
Avg EPS beat(12)12.49%
EPS beat(16)13
Avg EPS beat(16)10.81%
Revenue beat(2)0
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-2.22%
Max Revenue beat(2)-1.31%
Revenue beat(4)1
Avg Revenue beat(4)-0.8%
Min Revenue beat(4)-2.22%
Max Revenue beat(4)1.06%
Revenue beat(8)1
Avg Revenue beat(8)-0.85%
Revenue beat(12)1
Avg Revenue beat(12)-0.93%
Revenue beat(16)3
Avg Revenue beat(16)-1.07%
PT rev (1m)-0.18%
PT rev (3m)-0.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.98%
EPS NY rev (1m)2.08%
EPS NY rev (3m)2.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.21%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.86 | ||
| Fwd PE | 16.73 | ||
| P/S | 2.11 | ||
| P/FCF | 19.82 | ||
| P/OCF | 11.03 | ||
| P/B | 1.82 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.5 |
EPS(TTM)5.93
EY5.3%
EPS(NY)6.69
Fwd EY5.98%
FCF(TTM)5.64
FCFY5.05%
OCF(TTM)10.14
OCFY9.06%
SpS52.89
BVpS61.54
TBVpS-2.25
PEG (NY)1.48
PEG (5Y)0.78
Graham Number90.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.28% | ||
| ROE | 11.29% | ||
| ROCE | 8.47% | ||
| ROIC | 6.46% | ||
| ROICexc | 6.69% | ||
| ROICexgc | 24.11% | ||
| OM | 14.65% | ||
| PM (TTM) | 13.14% | ||
| GM | 37.76% | ||
| FCFM | 10.67% |
ROA(3y)3.32%
ROA(5y)2.5%
ROE(3y)6.2%
ROE(5y)4.83%
ROIC(3y)5.33%
ROIC(5y)4.11%
ROICexc(3y)5.59%
ROICexc(5y)4.35%
ROICexgc(3y)21.96%
ROICexgc(5y)17.93%
ROCE(3y)6.98%
ROCE(5y)5.39%
ROICexgc growth 3Y17.17%
ROICexgc growth 5Y23.95%
ROICexc growth 3Y28.32%
ROICexc growth 5Y29.42%
OM growth 3Y21.44%
OM growth 5Y20.35%
PM growth 3Y51.18%
PM growth 5YN/A
GM growth 3Y3.32%
GM growth 5Y2.8%
F-Score8
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.17 | ||
| Debt/EBITDA | 1.84 | ||
| Cap/Depr | 150.66% | ||
| Cap/Sales | 8.5% | ||
| Interest Coverage | 6.75 | ||
| Cash Conversion | 94.48% | ||
| Profit Quality | 81.24% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 2.47 |
F-Score8
WACC10.2%
ROIC/WACC0.63
Cap/Depr(3y)117.22%
Cap/Depr(5y)103.48%
Cap/Sales(3y)6.67%
Cap/Sales(5y)6.26%
Profit Quality(3y)153.8%
Profit Quality(5y)119.01%
High Growth Momentum
Growth
EPS 1Y (TTM)19.56%
EPS 3Y18.88%
EPS 5Y24.16%
EPS Q2Q%-2.63%
EPS Next Y12.74%
EPS Next 2Y11.78%
EPS Next 3Y11.53%
EPS Next 5Y7.01%
Revenue 1Y (TTM)3.35%
Revenue growth 3Y4.51%
Revenue growth 5Y7.63%
Sales Q2Q%-0.49%
Revenue Next Year6.33%
Revenue Next 2Y5.34%
Revenue Next 3Y4.76%
Revenue Next 5Y3.78%
EBIT growth 1Y16.1%
EBIT growth 3Y26.92%
EBIT growth 5Y29.53%
EBIT Next Year32.42%
EBIT Next 3Y14.3%
EBIT Next 5Y8.5%
FCF growth 1Y17.74%
FCF growth 3Y111.38%
FCF growth 5Y22.89%
OCF growth 1Y29.56%
OCF growth 3Y44.41%
OCF growth 5Y18.9%
WALT DISNEY CO/THE / DIS FAQ
What is the ChartMill fundamental rating of WALT DISNEY CO/THE (DIS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to DIS.
Can you provide the valuation status for WALT DISNEY CO/THE?
ChartMill assigns a valuation rating of 6 / 10 to WALT DISNEY CO/THE (DIS). This can be considered as Fairly Valued.
How profitable is WALT DISNEY CO/THE (DIS) stock?
WALT DISNEY CO/THE (DIS) has a profitability rating of 8 / 10.
What is the expected EPS growth for WALT DISNEY CO/THE (DIS) stock?
The Earnings per Share (EPS) of WALT DISNEY CO/THE (DIS) is expected to grow by 12.74% in the next year.
How sustainable is the dividend of WALT DISNEY CO/THE (DIS) stock?
The dividend rating of WALT DISNEY CO/THE (DIS) is 4 / 10 and the dividend payout ratio is 14.54%.