Walt Disney Company (DIS)vsInternational Business Machines (IBM)
DIS
Walt Disney Company
$108.02
-0.59%
COMMUNICATION SERVICES · Cap: $188.69B
IBM
International Business Machines
$229.76
+0.06%
TECHNOLOGY · Cap: $217.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Walt Disney Company generates 41% more annual revenue ($97.26B vs $68.91B). IBM leads profitability with a 15.6% profit margin vs 11.5%. IBM appears more attractively valued with a PEG of 2.11. IBM earns a higher WallStSmart Score of 60/100 (C).
DIS
Buy57
out of 100
Grade: C
IBM
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+16.1%
Fair Value
$126.48
Current Price
$108.02
$18.46 discount
Margin of Safety
-29.8%
Fair Value
$178.18
Current Price
$229.76
$51.58 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 4.9B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Generating 4.8B in free cash flow
Areas to Watch
Grey zone — moderate risk
Expensive relative to growth rate
Earnings declined 29.8%
Expensive relative to growth rate
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : DIS
The strongest argument for DIS centers on Market Cap, P/E Ratio, Price/Book.
Bull Case : IBM
The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.
Bear Case : DIS
The primary concerns for DIS are Altman Z-Score, PEG Ratio, EPS Growth.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.06 is elevated, increasing financial risk.
Key Dynamics to Monitor
DIS profiles as a value stock while IBM is a mature play — different risk/reward profiles.
DIS carries more volatility with a beta of 1.42 — expect wider price swings.
IBM is growing revenue faster at 9.5% — sustainability is the question.
DIS generates stronger free cash flow (4.9B), providing more financial flexibility.
Bottom Line
IBM scores higher overall (60/100 vs 57/100), backed by strong 15.6% margins. DIS offers better value entry with a 16.1% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Walt Disney Company
COMMUNICATION SERVICES · ENTERTAINMENT · USA
The Walt Disney Company, commonly known as Disney, is an American diversified multinational mass media and entertainment conglomerate headquartered at the Walt Disney Studios complex in Burbank, California.
Visit Website →International Business Machines
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR) and was renamed International Business Machines in 1924. IBM is incorporated in New York. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Inventions by IBM include the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM). The IBM mainframe, exemplified by the System/360, was the dominant computing platform during the 1960s and 1970s.
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