Head-To-Head Comparison: Walt Disney (NYSE:DIS) versus BuzzFeed (NASDAQ:BZFD)

Walt Disney (NYSE:DIS) and BuzzFeed (NASDAQ:BZFD) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, profitability, earnings, analyst recommendations, valuation, institutional ownership and risk.

Institutional & Insider Ownership

65.7% of Walt Disney shares are held by institutional investors. Comparatively, 37.6% of BuzzFeed shares are held by institutional investors. 0.2% of Walt Disney shares are held by company insiders. Comparatively, 19.2% of BuzzFeed shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Walt Disney and BuzzFeed’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Walt Disney	9.47%	9.99%	5.41%
BuzzFeed	6.37%	-24.44%	-8.70%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Walt Disney and BuzzFeed, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Walt Disney	0	6	17	2	2.84
BuzzFeed	0	0	0	1	4.00

Walt Disney presently has a consensus price target of $123.96, suggesting a potential upside of 3.70%. Given Walt Disney’s higher probable upside, research analysts plainly believe Walt Disney is more favorable than BuzzFeed.

Volatility and Risk

Walt Disney has a beta of 1.54, indicating that its stock price is 54% more volatile than the S&P 500. Comparatively, BuzzFeed has a beta of 3.54, indicating that its stock price is 254% more volatile than the S&P 500.

Earnings and Valuation

This table compares Walt Disney and BuzzFeed”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Walt Disney	$91.36 billion	2.35	$4.97 billion	$4.89	24.44
BuzzFeed	$189.89 million	0.40	-$10.10 million	$0.33	6.00

Walt Disney has higher revenue and earnings than BuzzFeed. BuzzFeed is trading at a lower price-to-earnings ratio than Walt Disney, indicating that it is currently the more affordable of the two stocks.

Summary

Walt Disney beats BuzzFeed on 12 of the 15 factors compared between the two stocks.

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. It also offers direct-to-consumer streaming services through Disney+, Disney+ Hotstar, Hulu, and Star+; sports-related entertainment services through ESPN, ESPN on ABC, ESPN+ DTC, and Star; sale/licensing of film and episodic content to third-party television and VOD services; theatrical, home entertainment, and music distribution services; DVD and Blu-ray discs, electronic home video licenses, and VOD rental services; staging and licensing of live entertainment events; and post-production services. In addition, the company operates theme parks and resorts comprising Walt Disney World Resort, Disneyland Resort, Disneyland Paris, Hong Kong Disneyland Resort, Shanghai Disney Resort, Disney Cruise Line, Disney Vacation Club, National Geographic Expeditions, and Adventures by Disney, as well as Aulani, a Disney resort and spa in Hawaii. It also licenses its intellectual property to a third party for operations of the Tokyo Disney Resort; licenses trade names, characters, visual, literary, and other IP for use on merchandise, published materials, and games; operates a direct-to-home satellite distribution platform; sells branded merchandise through retail, online, and wholesale businesses; and develops and publishes books, comic books, and magazines. The company was founded in 1923 and is based in Burbank, California.

About BuzzFeed

BuzzFeed, Inc., a digital media company, distributes content across owned and operated, as well as third-party platforms. The company offers BuzzFeed, a go-to authority for entertainment, pop culture, and Internet with articles, lists, quizzes, videos, and original series; BuzzFeed News, a pocket friendly newsroom; Tasty, a platform for food content; HuffPost, media platform for news, politics, opinion, entertainment, features, and lifestyle content. It also provides display, programmatic, and video advertising on its owned and operated sites and applications. BuzzFeed, Inc. is headquartered in New York, New York.