Walt Disney (DIS - Free Report) closed the most recent trading day at $111.91, moving +0.02% from the previous trading session. This change outpaced the S&P 500's 0.01% gain on the day. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq added 0.26%.
Heading into today, shares of the entertainment company had lost 0.74% over the past month, lagging the Consumer Discretionary sector's gain of 1.18% and the S&P 500's gain of 3.23% in that time.
Wall Street will be looking for positivity from DIS as it approaches its next earnings report date. This is expected to be November 8, 2018. In that report, analysts expect DIS to post earnings of $1.31 per share. This would mark year-over-year growth of 22.43%. Meanwhile, our latest consensus estimate is calling for revenue of $13.81 billion, up 8.05% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.92 per share and revenue of $58.86 billion. These totals would mark changes of +21.4% and +6.75%, respectively, from last 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. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 1.77% lower within the past month. DIS is currently sporting a Zacks Rank of #4 (Sell).
Looking at its valuation, DIS is holding a Forward P/E ratio of 16.17. Its industry sports an average Forward P/E of 17.22, so we one might conclude that DIS is trading at a discount comparatively.
Investors should also note that DIS has a PEG ratio of 1.48 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Media Conglomerates stocks are, on average, holding a PEG ratio of 1.2 based on yesterday's closing prices.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
You can find more information on all of these metrics, and much more, on Zacks.com.