Disneyland in China: A Great Addition to The Walt Disney Company (DIS)

Page 2 of 2

Another competitor is SeaWorld Entertainment Inc (NYSE:SEAS), which is definitely more expensive than the other two companies. It enjoys a P/E ratio of 40. SeaWorld Entertainment Inc (NYSE:SEAS) is expected to earn $1.12 per share this year, followed by $1.31 next year, and $1.52 in 2015. Therefore, we are looking at a forward P/E ratio of 25 for this company.

Out of these three, I would definitely pick The Walt Disney Company (NYSE:DIS) because the company has such a wide range of income generators. It has TV channels, movie studios, cruise ships, resorts, gift stores and many other items where it continues to make money. Next year, we’ll see The Walt Disney Company (NYSE:DIS) monetizing its LucasArts purchase when it releases the next Star Wars movie. Looking at Disney’s performance with its last acquisition (Marvel), it is safe to say that the company will monetize LucasArts quickly and efficiently. I own shares of Disney, and I plan on increasing my stake if we see a pullback or a correction. It is definitely one of my favorite stocks.

Jacob Steinberg owns shares of Disney. The Motley Fool recommends The Walt Disney Company (NYSE:DIS). The Motley Fool owns shares of Walt Disney.

The article Disneyland in China: A Great Addition to The Walt Disney Company originally appeared on Fool.com.

Jacob is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2