DIS Fair Value Estimate
$160.2865.9% undervalued
Blended fair value estimate based on DCF, Graham Number, and earnings-based models.
Walt Disney Co (The)
Exchange: NYSESector: Communication ServicesIndustry: Entertainment
Disney Consumer Products (DCP) is the division of Disney Experiences that brings beloved brands and franchises into the daily lives of families and fans through products – from toys to t-shirts, apps, books, console games and more – and experiences that can be found around the world, including on the Disney Store e-commerce platform and at Disney Parks, local and international retailers, as well as Disney Store locations globally. The business is home to world-class teams of product, licensing and retail experts, artists and storytellers, and technologists who inspire imaginations around the world. About FORMULA 1 HEINEKEN LAS VEGAS GRAND PRIX Established in 2023, the FORMULA 1 HEINEKEN LAS VEGAS GRAND PRIX is promoted by Formula 1®, in collaboration with Clark County. The 50-lap race takes place on a 3.8-mile circuit in the heart of the Las Vegas Strip and sees drivers reach jaw-dropping speeds of over 215 mph (346 kph) as they drive past some of the world's most iconic landmarks, hotels, and casinos. Through the Las Vegas Grand Prix Foundation, Las Vegas Grand Prix, Inc. has donated nearly $2 million to non-profit organizations working to strengthen the local community. The 2025 race will take place on November 20-22, 2025.
Did you know?
Earnings per share grew at a 34.1% CAGR.
Current Price
$96.61
+0.05%GoodMoat Value
$160.28
65.9% undervaluedProfile
Valuation (TTM)
Market Cap$172.48B
P/E14.08
EV$215.83B
P/B1.57
Shares Out1.79B
P/Sales1.80
Revenue$95.72B
EV/EBITDA12.13
Walt Disney Co (The) (DIS) Valuation
GoodMoat Analysis
Walt Disney appears favourably priced from a value perspective, trading at a significant discount to its GoodMoat Target, implying a substantial margin of safety. Its P/E ratio is well below the sector average and suggests a cheap valuation relative to its historical norm. The combination of a low earnings multiple and a positive free cash flow yield supports the case for an attractive entry point.
Read full analysis
Based on the GoodMoat Investment Framework's valuation assessment, Walt Disney's current price of $95.95 is deeply undervalued compared to the GoodMoat Target of $160.28. This implies a margin of safety of approximately 40%, which falls into the framework's 'Deeply Undervalued' band (>40%). Such a discount provides a significant cushion for a value investor. The stock's forward P/E of approximately 14x is notably low, especially when compared to the broader Communication Services sector average, which is typically higher. This multiple also sits at the lower end of Disney's own historical range, indicating the stock is cheap relative to its past earnings power. While the company's recent revenue growth of 5.2% YoY is modest, the valuation metrics of a sub-14x P/E and a 5.9% free cash flow yield suggest the market is pricing in little to no growth, potentially creating an opportunity if the company's strategic initiatives bear fruit. The valuation appears disconnected from the company's enduring brand assets and scale, presenting a favourable risk/reward scenario when assessed through a value lens. Analysis based on data as of 2024-05-15.
DIS Valuation Metrics
FCF$10.08B
FCF Growth Rate34.14%
EPS Growth (CAGR)34.14%
WACC10.00%
Fair Value Models
Graham Number, PEG-based, and Earnings-based models
View Fair Value →DIS Valuation & Fair Value Analysis
Walt Disney Co (The) (DIS) valuation analysis using multiple fair value methodologies. GoodMoat calculates a blended fair value target using discounted cash flow (DCF) analysis, the Graham Number, and earnings-based valuation models.
The GoodMoat Fair Value target for Walt Disney Co (The) is $160.28. The current stock price is $96.61, suggesting the stock is 65.9% undervalued.
The price-to-earnings (P/E) ratio is 14.08. Price-to-book ratio is 1.57. Price-to-sales ratio is 1.80. Enterprise value to EBITDA is 12.13. PEG ratio is -2.84.
GoodMoat's valuation models include the Graham Number (based on EPS and book value), an earnings-based model (discounted future EPS), and a PEG-adjusted valuation. The three models are averaged to produce a blended fair value estimate. Use these tools alongside the DCF calculator and reverse DCF to form a comprehensive view of Walt Disney Co (The)'s intrinsic value.