Walt Disney (DIS) closed the most recent trading day at $113.63, moving -0.7% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.08%. At the same time, the Dow lost 1.51%, and the tech-heavy Nasdaq lost 0.86%.
Heading into today, shares of the entertainment company had lost 10.1% over the past month, lagging the Consumer Discretionary sector's loss of 2.05% and the S&P 500's loss of 0.3% in that time.
DIS will be looking to display strength as it nears its next earnings release, which is expected to be August 4, 2020. The company is expected to report EPS of -$0.35, down 125.93% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.68 billion, down 37.36% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.49 per share and revenue of $67.03 billion, which would represent changes of -74.18% and -3.65%, respectively, from the prior year.
Investors might also notice 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 9.95% lower. DIS currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, DIS is holding a Forward P/E ratio of 76.63. This represents a premium compared to its industry's average Forward P/E of 47.67.
Investors should also note that DIS has a PEG ratio of 12.21 right now. 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 was holding an average PEG ratio of 12.21 at yesterday's closing price.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 229, putting it in the bottom 10% 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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