One-glance verdict
Within fair range
$102.49 our estimate vs market $111.67
Wall Street consensus: $126.58 (23.5% higher than our fair-value estimate)
9% above our estimate
Fundamentals snapshot
The Walt Disney Company
DIS · NYQ · Communication Services · Entertainment
Current price
$111.67
52-week range
$92.19 - $117.09
Market cap
$192.82B
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: 1.7%).
What this company does
The Walt Disney Company
Disney sells entertainment through movies, TV shows, streaming services like Disney+, and theme parks. A big chunk of their money comes from people paying to visit their parks and resorts, which is important because it's a very profitable part of their business.
How the company got here
The Walt Disney Company started in 1923 as a small animation studio, famously creating Mickey Mouse. Over the decades, it grew by expanding into live-action films, television, and theme parks, becoming a global entertainment giant. Key turning points include the launch of Disneyland in 1955, the acquisition of Pixar in 2006, Marvel in 2009, and Lucasfilm in 2012, which significantly expanded its intellectual property portfolio. More recently, the company has focused on its direct-to-consumer streaming services, like Disney+, to adapt to changing media consumption habits.
What it actually does
Disney is a massive entertainment company that creates and shares stories and experiences across many platforms. Think of the movies you watch in theaters or on streaming services, the TV shows on channels like ABC or FX, the magical theme parks and resorts, and the cruise ships. They also sell merchandise featuring their beloved characters and license their brands to other businesses.
Entertainment
This segment is all about creating and distributing content, including movies and television shows. It encompasses well-known movie studios like Walt Disney Pictures, Pixar, Marvel, and Lucasfilm, as well as TV networks such as ABC and FX. They also operate streaming services like Disney+ and Hulu, where people pay a monthly fee to watch a vast library of films and shows. This part of Disney is a major driver of its revenue, bringing in a significant portion of the company's overall income through ticket sales, advertising, and subscriptions.
Sports
The Sports segment primarily revolves around ESPN, a major sports media company. This includes broadcasting live sporting events, producing sports-related content, and offering sports-themed streaming services like ESPN+. People pay for access to watch games and sports news, making this a key revenue generator, especially through advertising and subscription fees. While a substantial part of Disney's business, its focus is on delivering sports content to fans.
Experiences
This segment is what most people picture when they think of Disney: theme parks, resorts, and cruises. It includes iconic places like Walt Disney World and Disneyland, as well as Disney Cruise Line. Visitors pay for tickets, hotel stays, food, and merchandise, making this a very significant and profitable part of the company. It's where Disney brings its characters and stories to life in a physical, immersive way.
What management is betting on now
Disney's current strategy heavily emphasizes growing its streaming services, Disney+ and Hulu, to capture more direct-to-consumer revenue. They are also focused on optimizing the profitability of their theme parks and experiences, ensuring these popular destinations continue to be major cash generators. Management is also investing in new content across all their platforms, from blockbuster movies to engaging TV shows, to keep audiences coming back. The goal is to balance the growth of new digital businesses with the continued strength of their traditional entertainment and park operations.
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 $102.49 vs current price $111.67
Wall Street consensus is the average analyst price target: $126.58 (23.5% higher than our fair-value estimate).
Our most-likely fair value is $102.49 a share — about 8.2% away from today's price of $111.67, 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 $15.13B 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: 1.7%).
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)
23.02x
Forward P/E
14.90x
P/B
1.76x
P/S
1.95x
EV/EBITDA
11.47x
PEG ratio
3.60x
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
1.3%
Payout ratio
30.9%
Last ex-div date
2026-06-30