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Walt Disney (DIS) Gains But Lags Market: What You Should Know

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Walt Disney (DIS) closed the most recent trading day at $174.61, moving +0.66% from the previous trading session. This change lagged the S&P 500's 1.05% gain on the day.

Coming into today, shares of the entertainment company had lost 4.17% in the past month. In that same time, the Consumer Discretionary sector lost 5.75%, while the S&P 500 lost 5.07%.

Investors will be hoping for strength from DIS as it approaches its next earnings release. On that day, DIS is projected to report earnings of $0.54 per share, which would represent year-over-year growth of 370%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.84 billion, up 28.11% from the year-ago period.

Any recent changes to analyst estimates for DIS should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.46% lower. DIS is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, DIS currently has a Forward P/E ratio of 34.01. For comparison, its industry has an average Forward P/E of 34.01, which means DIS is trading at a no noticeable deviation to the group.

We can also see that DIS currently has a PEG ratio of 1.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Media Conglomerates stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.

The Media Conglomerates industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 114, putting it in the top 45% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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