Financial Review: CD Projekt (OTCMKTS:OTGLF) and Walt Disney (NYSE:DIS)

Walt Disney (NYSE:DIS) and CD Projekt (OTCMKTS:OTGLF) are both communication services companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Walt Disney	8.70%	9.90%	5.63%
CD Projekt	N/A	N/A	N/A

Institutional and Insider Ownership

65.7% of Walt Disney shares are held by institutional investors. 0.2% of Walt Disney shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Walt Disney and CD Projekt”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Walt Disney	$94.42 billion	1.98	$12.40 billion	$4.85	22.30
CD Projekt	N/A	N/A	N/A	N/A	N/A

Walt Disney has higher revenue and earnings than CD Projekt.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Walt Disney and CD Projekt, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Walt Disney	1	3	16	1	2.81
CD Projekt	0	0	0	0	0.00

Walt Disney presently has a consensus price target of $127.61, suggesting a potential upside of 17.99%. Given Walt Disney’s stronger consensus rating and higher probable upside, equities analysts clearly believe Walt Disney is more favorable than CD Projekt.

Summary

Walt Disney beats CD Projekt on 10 of the 10 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 CD Projekt

CD Projekt S.A., together its subsidiaries, engages in the development, publishing, and digital distribution of video games for personal computers and video game consoles in Poland. The company operates through two segments, CD PROJEKT RED and GOG.com. Its product portfolio comprises The Witcher; The Witcher 2: Assassins of Kings; The Witcher 3: Wild Hunt; Thronebreaker: The Witcher Tales; Gwent: The Witcher Card game; and Cyberpunk 2077. The company also distributes videogames through GOG.com distribution platform and the GOG GALAXY application, as well as online channels. In addition, it exports its products in Europe, North America, South America, Asia, Australia, and Africa. CD Projekt S.A. was incorporated in 2001 and is headquartered in Warsaw, Poland.