A Financial Analysis and Valuation of Walt Disney

Yixi Ni; Hao Tang

doi:10.54097/6jmeyh56

Authors

Yixi Ni
Hao Tang

DOI:

https://doi.org/10.54097/6jmeyh56

Keywords:

Financial Performance; Valuation Forecast; Walt Disney; Entertainment Industry.

Abstract

This paper presents an analysis of the financial performance of The Walt Disney Company within the entertainment and media sector, focusing on key data such as liquidity, solvency, and profitability. Through a comparison of Disney's short-term solvency, debt structure, and long-term financial stability with those of peer companies in the same industry, namely Netflix and Paramount, the study will provide a comparison of Disney's financial health and profitability trends in recent years. This also encompasses an analysis of how such financial indicators reflect the firm's operational efficiency and the ability to respond to changes in the market. The paper further deliberates on Industry Risk and Business Risk, where it examines the effect of trends in macroeconomic factors, regulatory changes, and fluctuations of financial indicators on the strategic decisions of Walt Disney. Finally, this research forecasts the competitiveness of Disney in the market and the potential for growth within the next one or two years. This analysis offers an overview of the positioning of Disney in the entertainment landscape and furnishes valuable insights to stakeholders and all those who closely follow the developments in the industry.

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