NYSE:DIS

Stock Analysis Report

Executive Summary

The Walt Disney Company, together with its subsidiaries, operates as an entertainment company worldwide.

Snowflake

Fundamentals

Good value average dividend payer.


Similar Companies

Share Price & News

How has Walt Disney's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

DIS

2.6%

US Entertainment

1.8%

US Market


1 Year Return

10.1%

DIS

2.9%

US Entertainment

7.3%

US Market

Return vs Industry: DIS exceeded the US Entertainment industry which returned 2.9% over the past year.

Return vs Market: DIS exceeded the US Market which returned 7.3% over the past year.


Shareholder returns

DISIndustryMarket
7 Day0.7%2.6%1.8%
30 Day-4.3%-2.2%-0.7%
90 Day-6.4%-2.4%0.06%
1 Year11.6%10.1%3.7%2.9%9.7%7.3%
3 Year47.2%40.7%57.2%52.1%46.3%36.9%
5 Year59.5%47.7%95.1%82.9%64.5%46.5%

Price Volatility Vs. Market

How volatile is Walt Disney's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Walt Disney undervalued compared to its fair value and its price relative to the market?

11.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: DIS ($130.89) is trading below our estimate of fair value ($147.91)

Significantly Undervalued: DIS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: DIS is good value based on its PE Ratio (17.2x) compared to the Entertainment industry average (40.9x).

PE vs Market: DIS is good value based on its PE Ratio (17.2x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: DIS is poor value based on its PEG Ratio (3x)


Price to Book Ratio

PB vs Industry: DIS is good value based on its PB Ratio (2.6x) compared to the US Entertainment industry average (2.8x).


Next Steps

Future Growth

How is Walt Disney forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

5.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DIS's forecast earnings growth (5.7% per year) is above the savings rate (2.7%).

Earnings vs Market: DIS's earnings (5.7% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: DIS's earnings are forecast to grow, but not significantly.

Revenue vs Market: DIS's revenue (8.7% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: DIS's revenue (8.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: DIS's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has Walt Disney performed over the past 5 years?

10.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DIS's earnings have grown by 10.7% per year over the past 5 years.

Accelerating Growth: DIS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: DIS had negative earnings growth (-0.3%) over the past year, making it difficult to compare to the Entertainment industry average (31.1%).


Return on Equity

High ROE: DIS's Return on Equity (11.8%) is considered low.


Return on Assets

ROA vs Industry: DIS has a higher Return on Assets than the Entertainment industry average last year.


Return on Capital Employed

ROCE Improving: DIS's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Walt Disney's financial position?


Financial Position Analysis

Short Term Liabilities: DIS's short term assets ($31.4B) do not cover its short term liabilities ($44.6B)

Long Term Liabilities: DIS's short term assets (31.4B) do not cover its long term liabilities (59.6B)


Debt to Equity History and Analysis

Debt Level: DIS's debt to equity ratio (55.3%) is considered high

Reducing Debt: DIS's debt to equity ratio has increased from 33.1% to 55.3% over the past 5 years.

Debt Coverage: DIS's debt is not well covered by operating cash flow (14.5%).

Interest Coverage: DIS's interest payments on its debt are well covered by EBIT (17.1x coverage).


Balance Sheet

Inventory Level: DIS has a low level of unsold assets or inventory.

Debt Coverage by Assets: DIS's debt is not covered by short term assets (assets are 0.5x debt).


Next Steps

Dividend

What is Walt Disney's current dividend yield, its reliability and sustainability?

1.34%

Current Dividend Yield


Dividend Yield vs Market

company1.3%marketbottom25%1.5%markettop25%3.7%industryaverage1.3%forecastin3Years1.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: DIS's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: DIS's dividend (1.34%) is low compared to the top 25% of dividend payers in the US market (3.72%).

Stable Dividend: DIS's dividends per share have been stable in the past 10 years.

Growing Dividend: DIS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (23.2%), DIS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: DIS's dividends in 3 years are forecast to be well covered by earnings (27.1% payout ratio).


Next Steps

Management

What is the CEO of Walt Disney's salary, the management and board of directors tenure and is there insider trading?

12.0yrs

Average management tenure


CEO

Bob Iger (68yo)

14yrs

Tenure

US$65,645,214

Compensation

Mr. Robert A. Iger, also known as Bob, has been the Chairman of The Walt Disney Company since March 13, 2012 and has been its Chief Executive Officer since October 2, 2005. Mr. Iger served as the President ...


CEO Compensation Analysis

Compensation vs. Market: Bob's total compensation ($USD65.65M) is about average for companies of similar size in the US market ($USD11.21M).

Compensation vs Earnings: Bob's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

12.0yrs

Average Tenure

62yo

Average Age

Experienced Management: DIS's management team is seasoned and experienced (12 years average tenure).


Board Age and Tenure

3.7yrs

Average Tenure

64.5yo

Average Age

Experienced Board: DIS's board of directors are considered experienced (3.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$2,131,59014 Jun 19
Zenia Mucha
EntityIndividual
Role
Head of Corporate Communications
Senior EVP & Chief Communications Officer
Shares15,000
Max PriceUS$142.11
SellUS$2,563,00012 Apr 19
Zenia Mucha
EntityIndividual
Role
Head of Corporate Communications
Senior EVP & Chief Communications Officer
Shares20,000
Max PriceUS$128.15

Ownership Breakdown


Management Team

  • Bob Iger (68yo)

    Chairman & CEO

    • Tenure: 14yrs
    • Compensation: US$65.65m
  • Christine McCarthy (64yo)

    Senior EVP & CFO

    • Tenure: 4.3yrs
    • Compensation: US$11.84m
  • Brent Woodford (56yo)

    Executive Vice President of Controllership

    • Tenure: 0yrs
  • Alan Braverman (71yo)

    Senior EVP

    • Tenure: 16.8yrs
    • Compensation: US$10.42m
  • Lowell Singer

    Senior Vice President of Investor Relations

    • Tenure: 0yrs
  • Zenia Mucha (62yo)

    Senior EVP & Chief Communications Officer

    • Tenure: 14.6yrs
    • Compensation: US$5.10m
  • Bob Chapek

    Chairman of Parks

    • Tenure: 1.6yrs
  • Kevin Mayer (57yo)

    Chairman of Direct-to-Consumer & International Business Segment

    • Tenure: 14.3yrs
    • Compensation: US$11.62m
  • Mary Parker (58yo)

    Senior EVP & Chief Human Resources Officer

    • Tenure: 10.1yrs
    • Compensation: US$6.81m
  • John Rood

    Senior Vice President of Marketing

    • Tenure: 3yrs

Board Members

  • Bob Iger (68yo)

    Chairman & CEO

    • Tenure: 14yrs
    • Compensation: US$65.65m
  • Mel Lagomasino (70yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$322.51k
  • Alan Horn (76yo)

    Chief Creative Officer of Studios & Chairman of the Walt Disney Studios

    • Tenure: 7.3yrs
  • Susan Arnold (64yo)

    Independent Lead Director

    • Tenure: 1.6yrs
    • Compensation: US$385.11k
  • John Landgraf

    Chairman of FX Networks & FX Productions

    • Tenure: 1.8yrs
  • Gary Knell (65yo)

    Chairman of National Geographic Partners

    • Tenure: 0yrs
  • Dana Walden (54yo)

    Chairman of Disney Television Studios & ABC Entertainment

    • Tenure: 0yrs
  • Peter Rice

    Chairman of Walt Disney Television & Co-Chair of Disney Media Networks

    • Tenure: 1.8yrs
  • Jimmy Pitaro (49yo)

    President of ESPN & Co-Chair of Disney Media Networks

    • Tenure: 3.7yrs
  • Ivan Tavrin (43yo)

    Chairman of The Board of Directors of New TV Channel Disney

    • Tenure: 0yrs

Company Information

The Walt Disney Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Walt Disney Company
  • Ticker: DIS
  • Exchange: NYSE
  • Founded: 1923
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: US$235.783b
  • Shares outstanding: 1.80b
  • Website: https://www.thewaltdisneycompany.com

Number of Employees


Location

  • The Walt Disney Company
  • 500 South Buena Vista Street
  • Burbank
  • California
  • 91521
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DISNYSE (New York Stock Exchange)YesCommon SharesUSUSDJan 1968
DISBVL (Bolsa de Valores de Lima)YesCommon SharesPEUSDJan 1968
DIS *BMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNJan 1968
WDPDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1968
WDPXTRA (XETRA Trading Platform)YesCommon SharesDEEURJan 1968
DISSNSE (Santiago Stock Exchange)YesCommon SharesCLUSDJan 1968
DISSWX (SIX Swiss Exchange)YesCommon SharesCHCHFJan 1968
DISWBAG (Wiener Boerse AG)YesCommon SharesATEURJan 1968
DISNBASE (Buenos Aires Stock Exchange)4 CEDEAR EACH REPR 1 COM USD0.01ARARSJan 2001
DISB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM SHSBRBRLJan 2012

Biography

The Walt Disney Company, together with its subsidiaries, operates as an entertainment company worldwide. The company’s Media Networks segment operates cable programming businesses under the ESPN, Disney, a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 23:34
End of Day Share Price2019/10/18 00:00
Earnings2019/06/29
Annual Earnings2018/09/29


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.