08-05-2015, 09:48 PM
(08-05-2015, 06:47 PM)Dash Wrote:(08-05-2015, 04:15 PM)EricL Wrote:(08-05-2015, 03:08 PM)Rasec Wrote: Is Disney a buy/bargain at this price point ($110)?
I know I'm probably in the minority, but I wouldn't be interested until it got in the low $90's. Its normal PE over the last 10 years is 17.8, and the last 5 is 17.2.
With an expected $5.05 in 2015 earnings an 18 multiple would put "fair price" at about $90.90.
It is an outstanding company, but at current prices of 24 times earnings its too expensive in my opinion.
Totally agreed on DIS. Love Disney but there are other awesome companies available for fair value or cheaper right now that I'd rather buy into.
I dunno... sometimes it pays to buy the hype. Disney has cornered the blockbuster movie segment with Marvel and Star Wars for the foreseeable future and continues to dominate the kids movie sector with another Frozen (ugh...) on the horizon. Its overpriced, but I dont expect a discount anytime soon.