Walt Disney Co (DIS) stock analysis
Close on Nov 11, 2026Market cap $206.60BP/E 24.7Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Solid15 of 30 checks passed
Walt Disney passes 15 of the 30 checks behind our score; 6 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 6/6
- Growth
- 2/6
- Past performance
- 3/6
- Financial health
- 3/6
- Dividend
- 1/6
What stands out
Margin of safety over 20%
The price is 21.8% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $119.65 is below our fair value estimate of $152.96.
EPS growing 10%+ a year
Diluted EPS grew 58.5% a year over the last three fiscal years.
Interest well covered
No meaningful interest expense to cover.
What to watch
Return on equity under 15%
Return on equity was 7.8% over the last twelve months and averaged 5.0% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 8.9%, below the 10% that usually covers the cost of capital.
High debt
Debt is 41.8% of shareholders' equity, above the 40% we consider low.
Revenue growing under 10% a year
Revenue grew 4.5% a year over the last three fiscal years, short of the 10% we look for.
Valuation6/6
P/E below its 5-year median
Walt Disney's P/E of 24.7 is below its own 5-year median of 46.8.
P/E below the industry
Walt Disney's P/E of 24.7 is below the Miscellaneous Amusement and Recreation median of 35.3.
EV/EBITDA below its 5-year median
Walt Disney's EV/EBITDA of 10.7 is below its 5-year median of 11.7.
P/B below the industry
Walt Disney's price-to-book of 1.88 is below the Miscellaneous Amusement and Recreation median of 3.09.
Trading below fair value
The share price of $119.65 is below our fair value estimate of $152.96.
Margin of safety over 20%
The price is 21.8% below fair value, more than the 20% cushion we look for.
Growth2/6
Revenue growing under 10% a year
Revenue grew 4.5% a year over the last three fiscal years, short of the 10% we look for.
EPS growing 10%+ a year
Diluted EPS grew 58.5% a year over the last three fiscal years.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew 4.6% over the last twelve months; the Miscellaneous Amusement and Recreation median is 9.8%.
Guidance raised
Walt Disney raised its fiscal 2026 share repurchases outlook on Aug 5, 2026.
Gross margin trend
This company does not report gross profit.
Past performance3/6
Return on equity under 15%
Return on equity was 7.8% over the last twelve months and averaged 5.0% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 8.9%, below the 10% that usually covers the cost of capital.
Return on equity above the industry
Walt Disney's return on equity of 7.8% is above the Miscellaneous Amusement and Recreation median of 4.4%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin above its 5-year average
Net margin was 8.7% over the last twelve months, against a 5-year average of 5.6%.
Net margin above the industry
Walt Disney's net margin of 8.7% is above the Miscellaneous Amusement and Recreation median of 1.6%.
Financial health3/6
High debt
Debt is 41.8% of shareholders' equity, above the 40% we consider low.
Debt falling against equity
Debt to equity fell from 70.1% five years ago to 41.8%.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 36.9% of total debt.
Interest well covered
No meaningful interest expense to cover.
Short-term assets don't cover short-term debts
Current assets are 0.71 times current liabilities.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.57; above 3 is the safe zone and below 1.8 the distress zone.
Dividend1/6
Pays a dividend
Walt Disney paid dividends worth 1.3% of the share price over the last twelve months.
Yield below Treasuries
The 1.3% yield is below the 4.4% on a 1-year Treasury.
Yield below the top quarter
The top quarter of US dividend payers yield 3.8% or more; Walt Disney yields 1.3%.
Dividend stability
Fewer than five years of dividend history.
Earnings cover
Needs dividends paid and net income.
Cash-flow cover
Needs dividends paid and free cash flow.
Fair value
How we estimate itOur estimate per share
$152.96
The share price is 22% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 41.1× | 46.8× | 35.3× | $199.47 | 40% |
| EV/EBITDA | 12.0× | 11.7× | 12.4× | $142.16 | 35% |
| P/B | 2.5× | 1.9× | 3.1× | $158.34 | 10% |
| Earnings power | 10.2% cost of equity | – | – | $50.53 | 15% |
| Fair value | $152.96 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 46.8
- Miscellaneous Amusement and Recreation median 35.3
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Low risk
- Average value traded per day
- $905.52M
- Value traded per 1% price move
- $779.41M
Downside
Low risk
- Typical loss in a bad month
- 9.3%
- Volatility (annualized)
- 27%
- Sharpe ratio, 1 year
- 0.08
- Beta to the S&P 500 (5Y)
- 1.06
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2016 to 2025
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +3.4% | +4.5% | +7.6% | – | |
| Operating income | +12.5% | +13.1% | +16.7% | – | |
| Net income | +149.5% | +58.0% | – | – | |
| EPS, diluted | +151.8% | +58.5% | – | – | |
| Free cash flow | +17.7% | +111.9% | +22.9% | – |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | -3.3% | 11.8% | |
| Return on assets | – | -1.4% | 6.3% | |
| Current ratio | – | 1.32 | 0.71 | |
| Debt to equity | – | 0.70 | 0.38 | |
| Net debt to EBITDA | – | 3.02× | 1.59× | |
| Interest coverage | – | 4.9× | -9.7× | |
| Capex to revenue | – | 6.2% | 8.5% | |
| Diluted shares | – | 1.81B | 1.81B |
Where the cash went
Fiscal 2021 to 2025, five years combined
Walt Disney generated $53.51B from operations and spent $36.59B on capital expenditure, dividends and share buybacks. 74% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 13.1% | 0.48× | 1.87× | 11.8% |
| FY2024 | 5.4% | 0.45× | 2.01× | 5.0% |
| FY2023 | 2.6% | 0.43× | 2.11× | 2.4% |
| FY2022 | 3.8% | 0.41× | 2.22× | 3.4% |
| FY2021 | 3.0% | 0.33× | 2.35× | 2.3% |
| FY2020 | -4.4% | 0.33× | 2.29× | -3.3% |
| FY2019 | 15.9% | 0.48× | 2.13× | 16.1% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$12.40B
- Cash generatingOperating cash flow above zero$18.10B
- Return on assets improvedROA up on the prior year2.4% → 6.3%
- Earnings backed by cashOperating cash flow above net income$18.10B vs $12.40B
- Less leverageLong-term debt to assets fell19.9% → 17.9%
- Better liquidityCurrent ratio rose0.73 → 0.71
- No dilutionShare count did not rise1.83B → 1.81B
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.44 → 0.48
See a number that looks wrong?