Walt Disney (DIS) Dips More Than Broader Markets: What You Should Know

Walt Disney (DIS) closed at $139.10 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's 0.17% loss on the day. At the same time, the Dow added 0.03%, and the tech-heavy Nasdaq lost 0.32%.

Prior to today's trading, shares of the entertainment company had gained 5.65% over the past month. This has outpaced the Consumer Discretionary sector's gain of 2.22% and the S&P 500's gain of 3.07% in that time.

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 $1.76 per share, which would represent a year-over-year decline of 5.88%. Our most recent consensus estimate is calling for quarterly revenue of $21.68 billion, up 42.35% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $6.63 per share and revenue of $71.61 billion, which would represent changes of -6.36% and +20.49%, respectively, from the prior year.

Any recent changes to analyst estimates for DIS should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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. The Zacks Consensus EPS estimate has moved 0.24% lower within the past month. DIS is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that DIS has a Forward P/E ratio of 21.14 right now. This valuation marks a premium compared to its industry's average Forward P/E of 14.43.

Meanwhile, DIS's PEG ratio is currently 3.76. 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 2.41 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 218, putting it in the bottom 15% 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.