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Compare Stocks › BAC vs DIS

Bank of America Corporation (BAC) vs Walt Disney Company (The) (DIS): Which Is the Better Buy in 2026?

As of 2026-08-03, BAC is undervalued at $62, with a DCF intrinsic value of $966181785898 and a margin of safety of 100%. DIS is undervalued at $96, with an intrinsic value of $254584003147 and a margin of safety of 100%. Of the two, BAC has the wider margin of safety.

BAC
Bank of America Corporation
$61.95
VS
DIS
Walt Disney Company (The)
$96.19

Rewards

BAC
  • ★Bank of America Corporation scores 100/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
DIS
  • ★Free cash flow has grown at a 111.4% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Each dollar of retained earnings has created $6.06 of earning power — management is an exceptional capital allocator.
  • ★Management has timed buybacks well — 2 out of 2 years showed value-accretive repurchases.

Risks

BAC
  • ⚠Gross margin of 0.0% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠Altman Z-Score of 0.14 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
DIS
  • ⚠PEG ratio of 2.24 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
  • ⚠Altman Z-Score of 1.08 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.

Key Valuation Metrics

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BAC
DIS
Valuation
N/A
Free Cash Flow
$10.08B
N/A
FCF Yield
0.00%
14.31
Trailing P/E
15.39
11.74
Forward P/E
12.90
Quality & Moat
4.37%
ROIC
7.33%
11.20%
ROE
11.01%
0.00%
Gross Margin
37.16%
1.06
PEG Ratio
2.24
Balance Sheet Safety
N/A
Net Debt / Equity
0.36
N/A
Interest Coverage
N/A
N/A
Net Debt / EBITDA
2.11
2.07%
Dividend Yield
1.56%
BAC: 4Ties: 2DIS: 2
BACDIS

Historical Fundamentals

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BAC

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

DIS

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

$1 Retained Earnings Test

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BAC
$0.00
created per $1 retained over 3 years
Value Destroyer
Σ Retained
$55.63B
Δ Market Cap
+$21.88
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
DIS
$0.00
created per $1 retained over 3 years
Value Destroyer
Σ Retained
$16.56B
Δ Market Cap
+$26.89
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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BAC
100.0% Margin of Safety
Price is 100.0% below estimated fair value
Current Price: $61.95
Fair Value: $966181785897.97
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
DIS
100.0% Margin of Safety
Price is 100.0% below estimated fair value
Current Price: $96.19
Fair Value: $254584003146.76
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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BAC

Requires positive FCF to compute implied growth rate.

DIS

What growth rate is the market pricing in at $96?

-18.7%
Market-Implied Owner Earnings Growth
Standard FCF implies -15.2%

The market implies -18.7% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding -15.2%, reflecting heavy growth investment expected to generate future returns.

Economic Moat Score

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BAC
100/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Reinvestment Efficiency is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
DIS
51/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

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BAC
-2.31
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
DIS
-2.61
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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BAC
Insiders 7.4%Institutions 71.4%Retail & Other 21.1%
No. of Institutional Holders4,431
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
DIS
Insiders 0.1%Institutions 77.8%Retail & Other 22.2%
No. of Institutional Holders3,833
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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BAC
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
DIS
0
Buys (3M)
2
Buys (12M)
Total value (12M): $2.11M
CHANG AMY L
Director
$98,791
@ $107.85 · 2026-02-12
GORMAN JAMES P
Director
$2.01M
@ $111.89 · 2025-12-12
MCDONALD CALVIN
Director
$999,994
@ $85.06 · 2024-08-08
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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BAC
0
Sells (3M)
5
Sells (12M)
Total value (12M): $20.17M
MENSAH BERNARD AMPONSAH
Officer
$4.41M
@ $46.94 · 2026-03-12
SCRIVENER THOMAS M
Officer
$2.49M
@ $49.82 · 2026-03-05
BRONSTEIN SHERI B
Officer
$2.99M
@ $49.91 · 2026-03-05
ATHANASIA DEAN C
President
$6.86M
@ $50.21 · 2026-03-03
BORTHWICK ALASTAIR M.
Chief Financial Officer
$3.42M
@ $50.24 · 2026-02-27
MENSAH BERNARD AMPONSAH
Officer
$3.66M
@ $39.80 · 2024-08-27
HANS LINDSAY D
Officer
$402,410
@ $36.91 · 2024-08-05
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
DIS
0
Sells (3M)
3
Sells (12M)
Total value (12M): $792,757
COLEMAN SONIA L
Officer
$281,922
@ $114.00 · 2026-01-22
COLEMAN SONIA L
Officer
$277,134
@ $114.00 · 2025-12-24
COLEMAN SONIA L
Officer
$233,701
@ $118.57 · 2025-08-25
WOODFORD BRENT A
Officer
$110,845
@ $110.84 · 2025-05-13
COLEMAN SONIA L
Officer
$74,936
@ $108.76 · 2025-01-22
COLEMAN SONIA L
Officer
$342,766
@ $111.36 · 2024-12-17
WOODFORD BRENT A
Officer
$917,920
@ $114.74 · 2024-12-11
IGER ROBERT A
Chief Executive Officer
$42.67M
@ $114.57 · 2024-11-22
WOODFORD BRENT A
Officer
$568,101
@ $113.62 · 2024-11-20
COLEMAN SONIA L
Officer
$279,772
@ $99.99 · 2024-11-11
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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BAC
FearGreed
😏Greed(72/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
DIS
FearGreed
😐Neutral(46/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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BAC
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (72)
DIS
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (46)
View BAC Full AnalysisView DIS Full Analysis

Frequently Asked Questions: BAC vs DIS

Is Bank of America Corporation or Walt Disney Company (The) more undervalued in 2026?▼

Based on our discounted cash flow model, BAC trades at a 100.0% margin of safety (intrinsic value $966181785898 vs. price $62), compared to DIS's 100.0% margin of safety (intrinsic $254584003147 vs. $96).

Which stock has a wider economic moat, Bank of America Corporation or Walt Disney Company (The)?▼

BAC scores 100/100 (Wide moat), while DIS scores 51/100 (Narrow moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

Is Bank of America Corporation in financial distress?▼

BAC's Altman Z-Score of 0.1 places it in the Distress zone, signaling elevated bankruptcy risk. DIS scores 1.1 (Distress zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which stock has higher return on invested capital, Bank of America Corporation or Walt Disney Company (The)?▼

DIS earns 7.3% ROIC versus BAC's 4.4%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

Which dividend is safer, Bank of America Corporation's or Walt Disney Company (The)'s?▼

DIS's dividend earns a safety score of 88/100 (Very Safe), compared to BAC's 79/100 (Safe). DIS has raised its dividend for 1 consecutive years.