In the latest trading session, Walt Disney (DIS) closed at $106.24, marking a +0.17% move from the previous day. This move outpaced the S&P 500's daily loss of 0.52%. At the same time, the Dow lost 0.13%, and the tech-heavy Nasdaq lost 1.4%.
Prior to today's trading, shares of the entertainment company had gained 6.27% over the past month. This has lagged the Consumer Discretionary sector's gain of 12.06% and the S&P 500's gain of 13.35% in that time.
Wall Street will be looking for positivity from DIS as it approaches its next earnings report date. This is expected to be May 5, 2020. The company is expected to report EPS of $0.83, down 48.45% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.03 billion, up 20.85% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.93 per share and revenue of $74.02 billion, which would represent changes of -49.22% and +6.39%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for DIS. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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 moved 25.71% lower. DIS is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, DIS is holding a Forward P/E ratio of 36.22. Its industry sports an average Forward P/E of 24.17, so we one might conclude that DIS is trading at a premium comparatively.
Investors should also note that DIS has a PEG ratio of 7.11 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Media Conglomerates was holding an average PEG ratio of 7.11 at yesterday's closing price.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% 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.
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 Report
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