Walt Disney (DIS) closed the latest trading day at $83.30, indicating a -0.28% change from the previous session's end. The stock's performance was behind the S&P 500's daily loss of 0.23%. Elsewhere, the Dow saw a downswing of 0.91%, while the tech-heavy Nasdaq appreciated by 0.1%.
Heading into today, shares of the entertainment company had lost 20.83% over the past month, lagging the Consumer Discretionary sector's loss of 19.11% and the S&P 500's loss of 12.13% in that time.
The investment community will be closely monitoring the performance of Walt Disney in its forthcoming earnings report. The company is scheduled to release its earnings on May 7, 2025. The company's earnings per share (EPS) are projected to be $1.19, reflecting a 1.65% decrease from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.19 billion, up 5.03% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.48 per share and a revenue of $94.63 billion, signifying shifts of +10.26% and +3.58%, respectively, from the last year.
Any recent changes to analyst estimates for Walt Disney should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% lower within the past month. Walt Disney is currently a Zacks Rank #3 (Hold).
In terms of valuation, Walt Disney is presently being traded at a Forward P/E ratio of 15.25. This expresses a discount compared to the average Forward P/E of 16.45 of its industry.
One should further note that DIS currently holds a PEG ratio of 1.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Media Conglomerates industry had an average PEG ratio of 1.7 as trading concluded yesterday.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 175, finds itself in the bottom 30% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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The Walt Disney Company (DIS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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