Walt Disney (NYSE:DIS) Shares Gap Up Following Strong Earnings

The Walt Disney Company (NYSE:DIS - Get Free Report) gapped up before the market opened on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $92.17, but opened at $102.42. Walt Disney shares last traded at $101.93, with a volume of 15,128,220 shares changing hands.

The entertainment giant reported $1.45 EPS for the quarter, topping the consensus estimate of $1.21 by $0.24. Walt Disney had a net margin of 6.07% and a return on equity of 9.95%. The firm had revenue of $23.62 billion for the quarter, compared to analysts' expectations of $23.15 billion. During the same quarter last year, the firm earned $1.21 EPS. The company's quarterly revenue was up 7.0% compared to the same quarter last year.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on the company. Guggenheim decreased their target price on Walt Disney from $130.00 to $120.00 and set a "buy" rating for the company in a research report on Thursday. Morgan Stanley raised their price objective on shares of Walt Disney from $110.00 to $120.00 and gave the stock an "overweight" rating in a report on Thursday. The Goldman Sachs Group boosted their target price on shares of Walt Disney from $137.00 to $139.00 and gave the company a "buy" rating in a research note on Tuesday, February 4th. Barclays raised their price target on shares of Walt Disney from $115.00 to $120.00 and gave the stock an "overweight" rating in a research note on Thursday. Finally, Rosenblatt Securities reiterated a "buy" rating and issued a $135.00 price objective on shares of Walt Disney in a research note on Monday, February 10th. Six analysts have rated the stock with a hold rating, seventeen have assigned a buy rating and two have given a strong buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $123.54.

Institutional Investors Weigh In On Walt Disney

A number of large investors have recently added to or reduced their stakes in the company. Trek Financial LLC raised its position in Walt Disney by 479.9% in the 4th quarter. Trek Financial LLC now owns 36,320 shares of the entertainment giant's stock worth $4,044,000 after purchasing an additional 30,057 shares during the period. Brookstone Capital Management grew its stake in shares of Walt Disney by 10.5% during the fourth quarter. Brookstone Capital Management now owns 140,883 shares of the entertainment giant's stock valued at $15,687,000 after buying an additional 13,339 shares during the last quarter. Greystone Financial Group LLC increased its holdings in shares of Walt Disney by 13.3% in the fourth quarter. Greystone Financial Group LLC now owns 85,187 shares of the entertainment giant's stock worth $9,486,000 after buying an additional 9,967 shares during the period. Avanza Fonder AB bought a new stake in shares of Walt Disney in the 4th quarter valued at about $15,125,000. Finally, FourThought Financial Partners LLC purchased a new stake in Walt Disney during the 4th quarter valued at about $446,000. Hedge funds and other institutional investors own 65.71% of the company's stock.

Walt Disney Trading Up 0.8 %

The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.62 and a current ratio of 0.68. The firm has a 50-day moving average of $93.86 and a 200-day moving average of $104.16. The firm has a market capitalization of $191.50 billion, a P/E ratio of 34.50, a price-to-earnings-growth ratio of 1.80 and a beta of 1.49.

About Walt Disney

The Walt Disney Company operates as an entertainment company worldwide. It operates through three segments: Entertainment, Sports, and Experiences. The company produces and distributes film and television video streaming content under the ABC Television Network, Disney, Freeform, FX, Fox, National Geographic, and Star brand television channels, as well as ABC television stations and A+E television networks; and produces original content under the ABC Signature, Disney Branded Television, FX Productions, Lucasfilm, Marvel, National Geographic Studios, Pixar, Searchlight Pictures, Twentieth Century Studios, 20th Television, and Walt Disney Pictures banners.