Walt Disney operates as an entertainment company worldwide. The company operates in five segments: Media Networks, Parks and Resorts, Studio Entertainment, Consumer Products, and Interactive. The company was founded in 1923 and is based in Burbank, California.
DIS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for DIS, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Walt Disney Co ranked in the 3th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 99%. As for the metrics that stood out in our discounted cash flow analysis of Walt Disney Co, consider:
The company's compound free cash flow growth rate over the past 5.5 years comes in at -0.27%; that's greater than only 6.53% of US stocks we're applying DCF forecasting to.
DIS's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 28.84% of tickers in our DCF set.
Relative to other stocks in its sector (Consumer Cyclical), Walt Disney Co has a reliance on debt greater than just 18.9% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as DIS, try CRMT, FND, GCI, H, and MAT.