Walt Disney Company (The)(DIS) - Stock detail

Walt Disney Company (The)

US
DIS
The Walt Disney Company(Listing date: 11/12/1957)

The Walt Disney Company is incorporated in the State of Delaware. The Walt Disney Company and its subsidiaries are a diversified global entertainment company, operating the following businesses: Media Networks; Parks, Experiences and Products; Studio Entertainment; and Direct-to-Consumer and International (DTCI). In October 2020, the Company announced a strategic reorganization of its media and entertainment businesses to accelerate the growth of its direct-to-consumer (DTC) strategy. The operations of the Media Networks, Studio Entertainment and DTCI segments were reorganized into four groups: three content groups (Studios, General Entertainment and Sports) focused on developing and producing content that will be used across all of its traditional and DTC platforms, and a group focused on the distribution and commercialization of these platforms, with full responsibility for the results of global media and entertainment operations.

AI Rating

Rating methodology
Latest close (chg%)106.29+2.30%
Buy price
103.00
Target price118.00
Sell price99.90
P/E TTM15.37
P/E15.95
Confidence65%
Risk score40/100
AI Summary
High-volume technical breakout signals trend reversal. Accelerated $7.5B+ cost-cutting provides tangible fundamental catalyst for EPS expansion. Disney's integrated IP ecosystem offers long-term moat. Entry is conditional on pullback to manage overbought conditions, with strict stop-loss to control downside.

Alpha Score

0-10
  • Trend（Score 4/10）

    Technical analysis shows a bullish but critically overbought condition with strong upward momentum but high risk of short-term pullback.

  • Valuation（Score 5/10）

    The stock appears fairly valued based on current fundamentals. The P/E ratio of 15.02 is below historical averages for the sector, suggesting the market has priced in profitability challenges. The P/B of 1.70 and P/S of 2.12 are reasonable given the company's intangible brand value. The current price of $106.29 aligns closely with the fundamental target price of $106.50.

  • Financial strength（Score 5/10）
    The company's financial health shows a mixed picture with adequate but not strong short-term liquidity and moderate financial leverage. The balance sheet is not a significant concern, with leverage levels typical for capital-intensive operations like theme parks and content production.
  • Profitability（Score 3/10）
    Profitability metrics reveal significant challenges in converting revenue into bottom-line earnings, with exceptionally weak returns on equity and assets. While gross margins are reasonable, net margins are low due to high operating and interest expenses. Recent quarterly data shows some improvement, but annual metrics remain concerning.
  • Sentiment（Score 6/10）
    The Walt Disney Company (DIS) is undergoing a major restructuring with ~1,000 job cuts, viewed by the market as a positive step for future profitability, amidst mixed analyst sentiment and competitive pressures in streaming, leading to a cautiously bullish near-term outlook.
Latest price
$106.29+2.30%
Market cap188.29B
P/E TTM15.37
P/E15.95
Volume10.48M
Turnover1.11B