The Walt Disney Company (NYSE:DIS) Declares Dividend Increase – $0.50 Per Share

The Walt Disney Company (NYSE:DIS) announced a semi-annual dividend on Thursday, December 5th, Wall Street Journal reports. Investors of record on Tuesday, June 24th will be given a dividend of 0.50 per share by the entertainment giant on Wednesday, July 23rd. This represents a yield of 0.6%. The ex-dividend date is Tuesday, June 24th. This is a 11.1% increase from Walt Disney’s previous semi-annual dividend of $0.45.

Walt Disney has a dividend payout ratio of 15.8% meaning its dividend is sufficiently covered by earnings. Research analysts expect Walt Disney to earn $6.13 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 16.3%.

Walt Disney Price Performance

Walt Disney stock opened at $117.61 on Friday. The company has a market cap of $211.44 billion, a price-to-earnings ratio of 24.05, a PEG ratio of 1.72 and a beta of 1.54. The firm’s fifty day moving average is $104.69 and its 200 day moving average is $105.80. The company has a quick ratio of 0.61, a current ratio of 0.67 and a debt-to-equity ratio of 0.34. Walt Disney has a 52-week low of $80.10 and a 52-week high of $120.50.

Walt Disney (NYSE:DIS) last released its quarterly earnings results on Wednesday, May 7th. The entertainment giant reported $1.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.21 by $0.24. The company had revenue of $23.62 billion for the quarter, compared to the consensus estimate of $23.15 billion. Walt Disney had a net margin of 9.47% and a return on equity of 9.99%. Walt Disney’s revenue was up 7.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.21 earnings per share. Sell-side analysts forecast that Walt Disney will post 5.47 EPS for the current fiscal year.

Insider Transactions at Walt Disney

In other news, EVP Brent Woodford sold 1,000 shares of the company’s stock in a transaction dated Tuesday, May 13th. The shares were sold at an average price of $110.84, for a total value of $110,840.00. Following the transaction, the executive vice president now directly owns 46,831 shares in the company, valued at approximately $5,190,748.04. This represents a 2.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 0.16% of the company’s stock.

Institutional Inflows and Outflows

A hedge fund recently raised its stake in Walt Disney stock. Brighton Jones LLC boosted its holdings in shares of The Walt Disney Company (NYSE:DIS) by 7.7% during the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 26,767 shares of the entertainment giant’s stock after acquiring an additional 1,904 shares during the period. Brighton Jones LLC’s holdings in Walt Disney were worth $2,980,000 as of its most recent filing with the Securities and Exchange Commission (SEC). Institutional investors and hedge funds own 65.71% of the company’s stock.

Analyst Upgrades and Downgrades

DIS has been the topic of a number of analyst reports. Needham & Company LLC reiterated a “buy” rating and set a $125.00 price objective on shares of Walt Disney in a research report on Thursday, May 8th. Loop Capital boosted their price objective on shares of Walt Disney from $125.00 to $130.00 and gave the company a “buy” rating in a research report on Tuesday, June 10th. Guggenheim cut their price objective on shares of Walt Disney from $130.00 to $120.00 and set a “buy” rating on the stock in a research report on Thursday, May 8th. Rosenblatt Securities boosted their price objective on shares of Walt Disney from $135.00 to $140.00 and gave the company a “buy” rating in a research report on Tuesday, June 3rd. Finally, UBS Group boosted their price objective on shares of Walt Disney from $105.00 to $120.00 and gave the company a “buy” rating in a research report on Thursday, May 8th. Six equities research 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. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $123.96.

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.