Walt Disney Company (The) shares have been in strong demand lately. The technical chart pattern looks positive which may give rise to new gains.
Summary
● From a short-term investment perspective, the company presents a deteriorated fundamental situation
Strengths
● The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
● Analysts covering this company mostly recommend stock overweighting or purchase.
Weaknesses
● The firm trades with high earnings multiples: 29.72 times its 2024 earnings per share.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
● For the past year, analysts have significantly revised downwards their profit estimates.
● For the last four months, earnings estimated by analysts have been revised downwards with respect to the next two years.
● Over the past twelve months, analysts' opinions have been revised negatively.
● The company's earnings releases usually do not meet expectations.
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The Walt Disney Company is a media and entertainment group. Net sales (including intragroup) break down by activity as follows:
- operation of theme parks and hotel resorts (33.9%): operation, as of 01/10/2022, of 10 theme parks (35 hotels) located in the United States (Walt Disney World Resort, Disneyland Resort and Aulani; 6 theme parks and 23 hotels), France (Disneyland Paris; 2 theme parks and 7 hotels), Japan (Tokyo Disney Resort; 2 theme parks and 5 hotels), Hong Kong (Hong Kong Disneyland; 1 theme park and 3 hotels) and China (Shanghai Disney Resort; 1 theme park and 2 hotels). The group is also involved in cruise sales (Disney Cruise Line), travel organization (Disney Vacation Club and Adventures By Disney), design and development of parks and other real estate properties, and sale of consumer products (children's books, toys, game software, films, etc.);
- operation of TV and radio channels (33.4%): domestic channels (Disney Channels, ESPN, ESPN Radio, Freeform, FX Channels and National Geographic Channels) and international channels (Disney, ESPN, Fox, National Geographic and Star). The group is also developing film post-production and website operation businesses;
- video streaming (23.1%);
- audiovisual content production and distribution (9.6%): TV programs, animated films, TV series, music, live entertainment, etc.
Net sales are distributed geographically as follows: Americas (81.5%), Europe (10.4%) and Asia/Pacific (8.1%).
WALT DISNEY COMPANY (THE) 
