One-glance verdict
Within fair range
$96.43 our estimate vs market $105.31
Wall Street consensus: $128.18 (32.9% higher than our fair-value estimate)
9% above our estimate
Fundamentals snapshot
The Walt Disney Company
DIS · NYQ · Communication Services · Entertainment
Current price
$105.31
52-week range
$92.19 - $119.05
Market cap
$181.84B
Balance sheet
Watch
7.63x Adequate
Net debt $40.86B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 4.7% last year.
- Reward Returns 8.0% on equity, ahead of 33% of its peers.
- Reward Free cash flow was positive in 9/10 years.
- Risk Insider ownership is only 0.1% (peer median: 2.1%).
What this company does
The Walt Disney Company
The Walt Disney Company is a global entertainment business that owns famous brands like Marvel, Pixar, and Star Wars, creating movies, TV shows, and streaming services like Disney+. It makes most of its money from its theme parks, resorts, and cruises, as well as from its media businesses through advertising sales and streaming subscriptions. The company's core strategy is to use its beloved characters and stories across this entire ecosystem (a network of connected products), turning a hit movie into new theme park attractions, merchandise, and more.
How the company got here
Walt and his brother Roy Disney founded the Disney Brothers Cartoon Studio in 1923 to produce a series of animated shorts. A key turning point was the creation of Mickey Mouse in 1928, which established Disney as a leader in animation. The company later expanded into feature films, and in 1955, opened its first theme park, Disneyland, which marked a major step into a new line of business. Over the years, Disney has grown by acquiring other companies, including Pixar, Marvel, and Lucasfilm, which gave them ownership of popular characters and stories.
What it actually does
Most people know Disney from its movies, theme parks, and characters like Mickey Mouse. You might have watched Disney movies at the theater, visited Disneyland or Walt Disney World, or bought toys and clothes with characters from "Frozen" or "Star Wars." The company also owns television networks like ABC and ESPN, and streaming services such as Disney+, Hulu, and ESPN+. This means they create the shows and movies, broadcast them on TV, and offer them for you to watch on-demand online.
Entertainment
This is Disney's largest business segment, making up almost half of its revenue (the total money a company brings in from sales). It includes the creation and distribution of movies and TV shows from its famous studios like Walt Disney Pictures, Pixar, Marvel, and Lucasfilm. This segment also houses their streaming services, Disney+ and Hulu, which people pay a monthly subscription fee to watch. They also make money from selling their content to other platforms and from advertising shown on their networks and streaming services.
Experiences
The Experiences segment is a huge part of the company, responsible for a little over a third of its revenue. This is where the famous theme parks and resorts like Walt Disney World and Disneyland fit in, along with Disney Cruise Line and vacation clubs. People pay for tickets, hotel stays, food, and merchandise at these locations. This segment also includes consumer products, which involves licensing (giving other companies the right to use Disney's characters and stories) its popular characters and stories for use on toys, clothing, and other merchandise sold in stores worldwide.
Sports
This part of the business is mainly the ESPN brand and makes up a smaller, but still significant, portion of the company's revenue. It generates money through the fees that cable and satellite TV providers pay to carry ESPN channels, as well as from advertising during live sports and shows. It also includes the ESPN+ streaming service, where subscribers pay a monthly fee for access to live sports and other sports-related content.
What management is betting on now
Disney's leadership is focused on making its streaming services profitable and continuing to invest heavily in its theme parks and experiences. They plan to spend around $60 billion over the next ten years to expand and improve their parks and cruise line. Another key priority is to strengthen the performance of their film studios to create new hit movies. They are also looking for ways to use technology to create better experiences for customers and to grow the company.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$4.03B
FY2025 Q1
$739.00M
FY2025 Q2
$4.89B
FY2025 Q3
$1.89B
FY2025 Q4
$2.56B
FY2026 Q1
$-2.28B
FY2026 Q2
$4.94B
FY2026 Q3
$3.07B
Revenue
$25.25B
Net income
$2.64B
Diluted EPS
1.51
Operating cash flow
$4.87B
Free cash flow
$3.07B
Fetching…
Sources
Revenue
$25.17B
Net income
$2.25B
Diluted EPS
1.27
Operating cash flow
$6.91B
Free cash flow
$4.94B
Fetching…
Sources
Revenue
$25.98B
Net income
$2.40B
Diluted EPS
1.34
Operating cash flow
$735.00M
Free cash flow
$-2.28B
Fetching…
Sources
Revenue
$22.46B
Net income
$1.31B
Diluted EPS
0.72
Operating cash flow
$4.47B
Free cash flow
$2.56B
Fetching…
Sources
Revenue
$23.65B
Net income
$5.26B
Diluted EPS
2.92
Operating cash flow
$3.67B
Free cash flow
$1.89B
Fetching…
Sources
Revenue
$23.62B
Net income
$3.27B
Diluted EPS
1.81
Operating cash flow
$6.75B
Free cash flow
$4.89B
Fetching…
Sources
Revenue
$24.69B
Net income
$2.55B
Diluted EPS
1.40
Operating cash flow
$3.21B
Free cash flow
$739.00M
Fetching…
Sources
Revenue
$22.57B
Net income
$460.00M
Diluted EPS
0.26
Operating cash flow
$5.52B
Free cash flow
$4.03B
Fetching…
Sources
Is it cheap or expensive?
Fair value $96.43 vs current price $105.31
Wall Street consensus is the average analyst price target: $128.18 (32.9% higher than our fair-value estimate).
Our most-likely fair value is $96.43 a share — about 8.4% away from today's price of $105.31, so the stock currently looks fairly priced.
Is it drowning in debt?
Watch
Net debt $40.9B. Interest coverage 7.6x.
Net debt
$40.86B
Interest coverage
7.63x
The Walt Disney Company's profit covers its interest bill about 7.6 times over. which is stronger than most peers shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Watch
Worse cushion
Baseline
Better cushion
DIS
BASELINE
The Walt Disney Company
Total debt $46.04B Interest coverage 7.63x This is the baseline the peer rows are being compared against.
Total debt $90.38B Interest coverage 4.69x -39% vs DIS Carries about 1.6x less debt cushion than DIS.
Total debt $16.65B Interest coverage 17.16x +125% vs DIS Carries about 2.2x more debt cushion than DIS.
Total debt $32.02B Interest coverage 0.63x -92% vs DIS Carries about 12.2x less debt cushion than DIS.
Total debt $6.77M Interest coverage -7.74x -100% vs DIS This peer has almost no interest-payment cushion compared with DIS.
Total debt $11.28B Interest coverage 3.90x -49% vs DIS Carries about 2.0x less debt cushion than DIS.
What you should know
The case for and against DIS
3 Rewards
1 Risk
Rewards
-
Revenue grew 4.7% last year.
-
Returns 8.0% on equity, ahead of 33% of its peers.
-
Free cash flow was positive in 9/10 years.
Risks
-
Insider ownership is only 0.1% (peer median: 2.1%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
21.71x
Forward P/E
14.09x
P/B
1.66x
P/S
1.84x
EV/EBITDA
10.95x
PEG ratio
2.66x
Profitability
How much profit each dollar creates
Gross margin
37.6%
Operating margin
19.3%
Net margin
8.7%
ROE
8.0%
ROA
4.8%
Health
Liquidity and balance-sheet strength
Debt / equity
0.39x
Current ratio
0.71x
Quick ratio
0.56x
Total debt
$46.04B
Total cash
$5.18B
Growth
How the business has been compounding
Revenue TTM
$98.86B
Revenue 5Y CAGR
8.8%
EPS TTM
4.85
EPS 5Y CAGR
58.5%
Cash flow
How much cash the business throws off
Operating CF TTM
$16.99B
Free CF TTM
$10.08B
FCF margin
10.2%
Dividend
Shareholder payout
Yield
1.4%
Payout ratio
30.9%
Last ex-div date
2026-06-30