Walt Disney (DIS) closed the latest trading day at $84, indicating a -0.96% change from the previous session's end. The stock's change was more than the S&P 500's daily loss of 2.36%. Meanwhile, the Dow experienced a drop of 2.48%, and the technology-dominated Nasdaq saw a decrease of 2.55%.
Shares of the entertainment company witnessed a loss of 14.73% over the previous month, trailing the performance of the Consumer Discretionary sector with its loss of 7.05% and the S&P 500's loss of 5.6%.
Analysts and investors alike will be keeping a close eye on the performance of Walt Disney in its upcoming earnings disclosure. The company's earnings report is set to go public on May 7, 2025. The company's upcoming EPS is projected at $1.19, signifying a 1.65% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $23.14 billion, showing a 4.78% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.47 per share and a revenue of $94.61 billion, signifying shifts of +10.06% and +3.56%, respectively, from the last year.
Any recent changes to analyst estimates for Walt Disney should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.2% downward. Walt Disney is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Walt Disney's current valuation metrics, including its Forward P/E ratio of 15.51. Its industry sports an average Forward P/E of 16.76, so one might conclude that Walt Disney is trading at a discount comparatively.
We can also see that DIS currently has a PEG ratio of 1.38. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Media Conglomerates industry held an average PEG ratio of 2.35.
The Media Conglomerates industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 182, placing it within the bottom 27% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming 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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