DIS The Walt Disney Co

The Walt Disney Company is a global entertainment conglomerate with operations spanning theme parks, film studios, streaming (Disney+), and consumer products. Sector: Communication Services.

The Walt Disney Co (DIS) is an individual stock. The analysis below presents key financial metrics for the company, covering profitability, capital efficiency, valuation, margins, and growth.

From a capital efficiency perspective, ROIC is 6.39%, WACC is 9.96%, and the economic spread is -3.57%. On balance, the company is currently generating returns below their cost of capital, which may weigh on intrinsic value over time. Supporting metrics show ROE at 7.94% and ROA at 4.54%, a combination that helps frame whether profitability strength is broad enough to hold through different market conditions. Taken together, the return profile suggests a company that likely needs operating improvement before returns quality can be considered durable.

Multiple analysis puts the company at trailing P/E of 21.66, forward P/E of 14.02, PEG of 2.08. Trailing P/E sits modestly above forward P/E, a spread that is consistent with steady earnings progress and limited near-term re-rating potential. On a PEG basis, valuation is in the middle ground — fair for the growth on offer, with the return case resting on earnings delivery rather than re-rating. At 0.71, the aggregate current ratio reflects the company with limited near-term liquidity buffer. The combined valuation and liquidity profile points to a company where current prices embed meaningful growth expectations, and where delivery against those expectations will drive the return outcome.

On the margin front: gross margin sits at 37.60%, operating margin at 15.41%, and free cash flow margin at 8.39%. At this level, gross margins suggest a more competitive or capital-intensive operating environment across the the company. Operating margins sit in a healthy range — not exceptional, but indicating reasonable operational efficiency. Moderate free cash flow margins suggest the company that generate cash but rely on continued revenue growth to sustain reinvestment capacity. The combined margin read is functional rather than exceptional, which can increase sensitivity to cost pressure or slower demand.

On the forward picture: TTM revenue growth of 6.76% reflecting consistent if unspectacular revenue expansion. Consensus EPS estimates point to 54.5% earnings growth over the next 12 months — a compelling near-term earnings catalyst that, if delivered, changes the valuation conversation materially. Analyst price targets suggest street expectations imply a constructive but measured return profile on a 12-month view. Revenue growth is grounded in reported results; price targets are forward projections that embed assumptions about multiple expansion, earnings delivery, and macro conditions. The key risk in both directions is whether the company can maintain their operating trajectory as macro and sector conditions evolve. The estimated 12-month price change is based on analyst consensus price target estimates, sourced from publicly available data, and should not be interpreted as a reliable prediction of future performance.

The composite picture leans positive, with capital efficiency and growth momentum providing the core of the investment thesis.

The analysis above draws from quantitative data only and does not constitute personalized financial advice. Investors should conduct independent research and consider professional guidance before acting on any information presented here.