How Much Is a Disney Plus Stock

How Much Is Disney Worth?

  • About Walt Disney Company
  • Disney Worth Today
  • Market Cap Range
  • Revenue
  • Top Shareholders
  • Future Outlook

Disney (DIS)

Kathy Hutchins / Shutterstock.com

The Walt Disney Company (DIS) is a large and diversified Global 500 entertainment and media enterprise headquartered in Burbank, California. The company's vision is to "entertain, inform and inspire people around the globe through the power of unparalleled storytelling."

In fact, the premier entertainment company operates businesses in many different industries. The most significant operations include media networks, parks, studio entertainment and direct-to-consumer productions.

About Walt Disney Company

Walt Disney founded the company in 1923. Interestingly, he took some major financial risks in his career. Today, Disney boasts more than 200,000 employees.

Walt Disney Company Snapshot
Headquarters Burbank, Calif.
Year Founded 1923
Founder Walter Elias Disney
CEO Bob Chapek

Disney parks include many well-known theme parks, resorts, cruise lines and other experiences around the world. Some of the most popular include:

  • Walt Disney World Resort in Florida
  • Disneyland Resort in California
  • Disneyland Paris
  • Disney Cruise Lines

Disney Media and Entertainment Distribution combines technology, media distribution and advertising sales into a single business unit via the following streaming services:

  • Disney+
  • ESPN+
  • Hulu
  • Hotstar
  • Disney Music Group

The Studios business produces live-action and animated films for the following:

  • Walt Disney Pictures
  • Twentieth Century Studios
  • Pixar
  • Marvel
  • Lucasfilm

Disney licenses its intellectual property to merchandise manufacturers, publishers, retail stores and more. It also creates video games, magazines, books and other print pieces. Keep reading to see how much Disney is worth, including its market cap, significant operations and future outlook.

How Much Is Disney's Net Worth?

According to Disney's annual report for the fiscal year ended Oct. 2, 2021, total revenues exceeded $67 billion, a 3% increase from the previous year. Net income was $2.02 billion, up from a loss of $2.8 billion in 2020.

Here are the company's valuation measures trailing 12 months.

Type Ratio
Forward P/E 40.86
Price To Sales (TTM) 5.01
Price To Book Value (TTM) 3.64
Total Enterprise Value To EBIT (TTM) 115.06
Total Enterprise Value to EBITDA (TTM) 44.32
Total Enterprise Value To Total Revenue (TTM) 5.86

Disney Market Cap

Disney stock experienced a 52-week low of $134.10 per share and a high of $203.02. The company's market cap fluctuated in proportion to those share prices. The Nov. 8 closing price of $176.78 gave Disney a market cap of $321.232 billion.

Type Amount
52-Week Stock Price Range $134.10-$203.02

What Is Market Capitalization?

A company's market capitalization calculates the total market value of all outstanding stock at current market prices. Market cap is one way of estimating how much a company is worth. For example, a company with one million outstanding shares trading at $50 would have a market cap of $50 million.

Companies are typically categorized in one of the following groups:

  • Small cap: less than $2 billion
  • Mid cap: $2 billion to $10 billion
  • Large cap: greater than $10 billion

According to the latest annual report, Disney's net worth is $93 Billion.

Calculating Disney's Net Worth

You can calculate Disney's net worth by subtracting its liabilities from its assets. According to the 2021 annual report, Disney's balance sheet showed $203.6 billion in total assets. The same report stated that its liabilities were $110.6 billion. By this formula, Disney's net worth is $93 billion.

The GOBankingRates net worth formula is a calculation of a company's worth based on concrete, measurable figures like assets and revenue. It takes into account only full-year profits and revenue from the past three years and the company's assets and debts. By this GOBankingRates metric, Disney's net worth is currently $54.34 billion.

Type Amount
Total Assets $203.6 billion
Long-Term Obligations $110.6 billion
Net Worth $93 billion
GOBankingRates' Evaluation of Disney Net Worth $54.34 billion

Key Product Lines Contributing To Revenue

According to the latest annual report, Disney's key product lines in 2021 included the following:

Media Networks

Disney's Media Networks include Disney, ESPN, Freeform, FX, and National Geographic brands and networks. This business includes ABC brands for broadcast television and eight domestic television stations. Disney also owns a stake in A&E Television Networks. Revenues come from affiliate fees, advertising and licensing fees for distribution.

Parks, Experiences and Products

Disney's Parks, Experiences and Products business includes all of its theme parks and resorts. The company's consumer products include licensing of trade names, characters and other intellectual property. In addition, Disney sells branded merchandise directly through retail, online and wholesale businesses. Revenues come from park admissions, merchandise, resorts and licensing deals.

Studio Entertainment

Disney's Studio Entertainment includes motion picture production for Walt Disney Pictures, Twentieth Century Studios, Marvel, Lucasfilm, Pixar, Searchlight Pictures and Blue Sky Studios banners. Disney has other businesses that provide for the development, production and licensing of live entertainment events. The company also produces and distributes music. Revenues come from theatrical distribution, home entertainment, TV distribution and licensing fees.

Direct-to-Consumer and International

Disney's DTCI businesses include Disney+, ESPN+ and Hulu. Disney also has branded international television networks and other digital content platforms. Revenues come from subscription fees, advertising, affiliate fees and licensing fees.

Current Top Shareholders

According to Nasdaq, the largest institutional shareholders of Disney stock are:

  • Vanguard Group Inc.
  • Blackrock Inc.
  • State Street Corp.

How Does the Future Look for Disney?

Fiscal year 2020 was a considerable challenge for many businesses. The COVID-19 pandemic had a significant adverse impact on Disney's revenues — in particular, Disney's Parks, Experiences and Products segment.

Mandated closures and reduced operating capacities led to large drops in revenues. Direct-to-Consumer also took a hit, as did Media and Entertainment Distribution, due to production shutdowns. Because the situation is ongoing, it's impossible to know the full extent of these adverse impacts on Disney's future business.

Disney Showing Improvement and Profitability

That said, things are looking up. Disney theme parks and Disney Cruise Lines are operating with reduced capacity, but they've fully reopened, and by the third quarter of 2021, the Parks, Experiences and Products segment had returned to profitability, CNBC reported following the company's Q3 earnings release.

Morgan Stanley analyst Ben Swinburn noted during the company's fourth-quarter earnings call that Disney+ and theme-park margins were two places where the company's expectations had been misaligned with reality, weighing on the stock.

However, Disney expects to see improvement in international attendance at theme parks by the end of 2022 — trips are booked long in advance, so results are delayed — which should help parks return to profitability. New membership programs and park attractions have already improved the bottom line.

Being a newer service, Disney+ costs did weigh on the Direct-to-Consumer business in 2021. However, subscribers to Disney+ grew 60% and total streaming subscribers grew by 48% — solid growth despite falling short of analysts' expectations.

Looking Ahead

The company plans to make Disney+ available in over 50 countries next year and over 160 countries by fiscal year 2023. It expects Disney+ to be profitable by 2024 and reach as many as 260 million paid subscribers that same year.

Until then, new marquee-brand content and increased ad revenue from the sports market and Disney's Hulu streaming service will give this Direct-to-Consumer a much-needed boost in fiscal year 2022.

Is Disney Worth the Money?

While assessing value is sometimes a personal opinion, Disney certainly has a track record of success. The company owns the rights to some of the most well-known characters and brands in the world. There's a reason why Disney is #7 on the Forbes World's Most Valuable Brands 2020 list.

Daria Uhlig contributed to the reporting for this article.

Methodology: The GOBankingRates Evaluation assesses a company's net worth based on the company's total assets, total liabilities, and revenue and net income from the last three years. Base value is established by subtracting total liabilities from total assets from the company's last full fiscal year. Income value is established by taking the average of the revenue from the last three full fiscal years, 10 times the average of the net profits from the last three full fiscal years, and then calculating the average of those two figures. The final GOBankingRates Evaluation number is the sum of the base value and the income value.

Scott Jeffries is a seasoned technology professional based in Florida. He writes on the topics of business, technology, digital marketing and personal finance. After earning his bachelor's in Management Information Systems with a minor in Business, Scott spent 15 years working in technology. He's helped startups to Fortune 100 companies bring software products to life. When he's not writing or building software, Scott can be found reading or spending time outside with his kids.

How Much Is a Disney Plus Stock

Source: https://www.gobankingrates.com/money/business/how-much-is-disney-worth/

0 Response to "How Much Is a Disney Plus Stock"

Post a Comment

Iklan Atas Artikel

Iklan Tengah Artikel 1

Iklan Tengah Artikel 2

Iklan Bawah Artikel