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Walt Disney (DIS) Advances But Underperforms Market: Key Facts

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Walt Disney (DIS - Free Report) closed the most recent trading day at $91.55, moving +0.72% from the previous trading session. The stock lagged the S&P 500's daily gain of 1.41%. Meanwhile, the Dow gained 0.58%, and the Nasdaq, a tech-heavy index, added 2.2%.

Coming into today, shares of the entertainment company had lost 2.07% in the past month. In that same time, the Consumer Discretionary sector gained 3.64%, while the S&P 500 gained 2.9%.

Investors will be eagerly watching for the performance of Walt Disney in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 7, 2024. The company is forecasted to report an EPS of $1.01, showcasing a 2.02% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $23.54 billion, reflecting a 0.11% rise from the equivalent quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.38 per share and a revenue of $91.99 billion, representing changes of +16.49% and +4.76%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Walt Disney. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 0.07% upward. Walt Disney is currently a Zacks Rank #3 (Hold).

Investors should also note Walt Disney's current valuation metrics, including its Forward P/E ratio of 20.76. This indicates a premium in contrast to its industry's Forward P/E of 15.48.

It is also worth noting that DIS currently has a PEG ratio of 1.68. 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. The Media Conglomerates industry currently had an average PEG ratio of 1.75 as of yesterday's close.

The Media Conglomerates industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 213, putting it in the bottom 16% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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