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Here's Why Walt Disney (DIS) Gained But Lagged the Market Today

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In the latest trading session, Walt Disney (DIS - Free Report) closed at $119.18, marking a +2.08% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 2.35%. Elsewhere, the Dow gained 2.15%, while the tech-heavy Nasdaq added 2.74%.

Prior to today's trading, shares of the entertainment company had gained 8.05% outpaced the Consumer Discretionary sector's gain of 6.34% and the S&P 500's loss of 5.6%.

Investors will be eagerly watching for the performance of Walt Disney in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on November 17, 2026. The company's upcoming EPS is projected at $1.67, signifying a 50.45% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $25.26 billion, showing a 12.43% escalation compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $6.93 per share and revenue of $101.57 billion. These totals would mark changes of +16.86% and +7.57%, respectively, from last year.

Any recent changes to analyst estimates for Walt Disney should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.06% fall in the Zacks Consensus EPS estimate. Walt Disney currently has a Zacks Rank of #3 (Hold).

Digging into valuation, Walt Disney currently has a Forward P/E ratio of 15.62. This expresses a discount compared to the average Forward P/E of 16.17 of its industry.

One should further note that DIS currently holds a PEG ratio of 1.35. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. DIS's industry had an average PEG ratio of 1.44 as of yesterday's close.

The Media Conglomerates industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 177, placing it within the bottom 29% of over 250 industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

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