The Walt Disney Co. (DIS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

The Walt Disney Co.

Live Nation Entertainment, Inc.

Liberty Media Corp.

Churchill Downs, Inc.

Cinemark Holdings, Inc.

DraftKings, Inc.

Cedar Fair LP

PENN Entertainment, Inc.

United Parks & Resorts, Inc.

Six Flags Entertainment Corp.

Madison Square Garden Sports Corp.

Why is The Walt Disney Co. ?

Company has a low Debt to Equity ratio (avg) at times

Positive results in Jun 25

OPERATING CASH FLOW(Y) Highest at USD 19,145 MM
ROCE(HY) Highest at 11.01%
INTEREST COVERAGE RATIO(Q) Highest at 1,421.16

With ROCE of 9.39%, it has a fair valuation with a 1.73 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -9.20%, its profits have risen by 45.3% ; the PEG ratio of the company is 0.4

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -9.20% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to The Walt Disney Co. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is The Walt Disney Co. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

The Walt Disney Co.

-9.85%

0.10

29.72%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.34%

EBIT Growth (5y)

17.34%

EBIT to Interest (avg)

5.08

Debt to EBITDA (avg)

3.49

Net Debt to Equity (avg)

0.36

Sales to Capital Employed (avg)

0.61

Tax Ratio

12.39%

Dividend Payout Ratio

27.62%

Pledged Shares

Institutional Holding

74.61%

ROCE (avg)

5.50%

ROE (avg)

5.78%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.98

EV to EBIT

18.38

EV to EBITDA

13.28

EV to Capital Employed

1.73

EV to Sales

2.61

PEG Ratio

0.40

Dividend Yield

84.00%

ROCE (Latest)

9.39%

ROE (Latest)

10.51%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

23What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 19,145 MM

ROCE(HY)

Highest at 11.01%

INTEREST COVERAGE RATIO(Q)

Highest at 1,421.16

RAW MATERIAL COST(Y)

Fallen by -5.66% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 33.8 %

DEBTORS TURNOVER RATIO(HY)

Highest at 7.14 times

NET PROFIT(Q)

Highest at USD 5,540 MM

EPS(Q)

Highest at USD 2.92

-3What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 31.59 times

CASH AND EQV(HY)

Lowest at USD 11,219 MM

Here's what is working for The Walt Disney Co.

Operating Cash Flow

Highest at USD 19,145 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Highest at 1,421.16

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

At USD 5,540 MM has Grown at 112.51%

over average net sales of the previous four periods of USD 2,606.96 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Profit

Highest at USD 5,540 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 2.92

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Lowest at 33.8 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 7.14 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -5.66% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 1,332 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for The Walt Disney Co.

Inventory Turnover Ratio

Lowest at 31.59 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Cash and Eqv

Lowest at USD 11,219 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents