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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 0.05
DISCA's Cash to Debt is ranked higher than
53% of the 543 Companies
in the Global Media - Diversified industry.

( Industry Median: 0.49 vs. DISCA: 0.05 )
DISCA' s 10-Year Cash to Debt Range
Min: 0.02   Max: No Debt
Current: 0.05

Equity to Asset 0.36
DISCA's Equity to Asset is ranked higher than
64% of the 527 Companies
in the Global Media - Diversified industry.

( Industry Median: 0.45 vs. DISCA: 0.36 )
DISCA' s 10-Year Equity to Asset Range
Min: 0.36   Max: 0.79
Current: 0.36

0.36
0.79
Interest Coverage 6.53
DISCA's Interest Coverage is ranked higher than
66% of the 326 Companies
in the Global Media - Diversified industry.

( Industry Median: 12.70 vs. DISCA: 6.53 )
DISCA' s 10-Year Interest Coverage Range
Min: 5.14   Max: 9999.99
Current: 6.53

5.14
9999.99
F-Score: 5
Z-Score: 1.99
M-Score: -2.42
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 34.77
DISCA's Operating margin (%) is ranked higher than
98% of the 543 Companies
in the Global Media - Diversified industry.

( Industry Median: 8.60 vs. DISCA: 34.77 )
DISCA' s 10-Year Operating margin (%) Range
Min: -59.15   Max: 43.26
Current: 34.77

-59.15
43.26
Net-margin (%) 19.25
DISCA's Net-margin (%) is ranked higher than
95% of the 543 Companies
in the Global Media - Diversified industry.

( Industry Median: 5.17 vs. DISCA: 19.25 )
DISCA' s 10-Year Net-margin (%) Range
Min: -102.72   Max: 27.16
Current: 19.25

-102.72
27.16
ROE (%) 19.32
DISCA's ROE (%) is ranked higher than
90% of the 512 Companies
in the Global Media - Diversified industry.

( Industry Median: 7.17 vs. DISCA: 19.32 )
DISCA' s 10-Year ROE (%) Range
Min: -15.86   Max: 17.77
Current: 19.32

-15.86
17.77
ROA (%) 7.59
DISCA's ROA (%) is ranked higher than
87% of the 547 Companies
in the Global Media - Diversified industry.

( Industry Median: 2.79 vs. DISCA: 7.59 )
DISCA' s 10-Year ROA (%) Range
Min: -10.71   Max: 9.87
Current: 7.59

-10.71
9.87
ROC (Joel Greenblatt) (%) 166.41
DISCA's ROC (Joel Greenblatt) (%) is ranked higher than
95% of the 543 Companies
in the Global Media - Diversified industry.

( Industry Median: 19.39 vs. DISCA: 166.41 )
DISCA' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -36.09   Max: 201.53
Current: 166.41

-36.09
201.53
Revenue Growth (%) 21.10
DISCA's Revenue Growth (%) is ranked higher than
95% of the 471 Companies
in the Global Media - Diversified industry.

( Industry Median: 2.10 vs. DISCA: 21.10 )
DISCA' s 10-Year Revenue Growth (%) Range
Min: 0   Max: 217.5
Current: 21.1

0
217.5
EBITDA Growth (%) 28.90
DISCA's EBITDA Growth (%) is ranked higher than
94% of the 407 Companies
in the Global Media - Diversified industry.

( Industry Median: 5.20 vs. DISCA: 28.90 )
DISCA' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 145.6
Current: 28.9

0
145.6
EPS Growth (%) 26.40
DISCA's EPS Growth (%) is ranked higher than
90% of the 364 Companies
in the Global Media - Diversified industry.

( Industry Median: 4.70 vs. DISCA: 26.40 )
DISCA' s 10-Year EPS Growth (%) Range
Min: 0   Max: 92
Current: 26.4

0
92
» DISCA's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q4 2013

DISCA Guru Trades in Q4 2013

Caxton Associates 21,777 sh (New)
Jeff Auxier 2,866 sh (unchged)
Jim Simons Sold Out
Steven Cohen Sold Out
Louis Moore Bacon Sold Out
Ron Baron 1,525,296 sh (-0.02%)
Ken Fisher 147,590 sh (-0.34%)
Mario Gabelli 561,108 sh (-1.68%)
Pioneer Investments 103,074 sh (-4.41%)
Murray Stahl 920,965 sh (-12.26%)
» More
Q1 2014

DISCA Guru Trades in Q1 2014

Jim Simons 145,250 sh (New)
Steven Cohen 503,597 sh (New)
Chuck Akre 1,784,200 sh (+346.05%)
Jeff Auxier 2,866 sh (unchged)
Caxton Associates Sold Out
Mario Gabelli 552,369 sh (-1.56%)
Pioneer Investments 100,315 sh (-2.68%)
Ken Fisher 140,014 sh (-5.13%)
Ron Baron 1,401,611 sh (-8.11%)
Murray Stahl 831,993 sh (-9.66%)
» More
Q2 2014

DISCA Guru Trades in Q2 2014

Paul Tudor Jones 5,253 sh (New)
Frank Sands 1,272,850 sh (New)
Jean-Marie Eveillard 952,082 sh (New)
Joel Greenblatt 3,605 sh (New)
Ray Dalio 24,000 sh (New)
Jim Simons 627,650 sh (+332.12%)
Mario Gabelli 557,817 sh (+0.99%)
Ron Baron 1,401,788 sh (+0.01%)
Steven Cohen 12,800 sh (unchged)
Jeff Auxier 2,866 sh (unchged)
Murray Stahl 826,406 sh (-0.67%)
Pioneer Investments 95,727 sh (-4.57%)
Ken Fisher 129,251 sh (-7.69%)
Chuck Akre 2,868,230 sh (-19.62%)
» More
Q3 2014

DISCA Guru Trades in Q3 2014

John Burbank 2,632 sh (New)
George Soros 492,000 sh (New)
Paul Tudor Jones 48,424 sh (+821.84%)
Jean-Marie Eveillard 1,342,021 sh (+40.96%)
Murray Stahl 1,013,664 sh (+22.66%)
Ken Fisher 137,637 sh (+6.49%)
Frank Sands 1,324,650 sh (+4.07%)
Mario Gabelli 568,723 sh (+1.96%)
John Burbank 160,000 sh (unchged)
Jeff Auxier Sold Out
Joel Greenblatt Sold Out
Pioneer Investments Sold Out
Chuck Akre Sold Out
Ray Dalio Sold Out
Steven Cohen Sold Out
Ron Baron 1,090,093 sh (-22.24%)
Jim Simons 104,650 sh (-83.33%)
» More
» Details

Insider Trades

Latest Guru Trades with DISCA

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Chuck Akre 2014-09-30 Sold Out 6%$37.705 - $44.83 $ 34.22-18%0
George Soros 2014-09-30 New Buy0.14%$37.705 - $44.83 $ 34.22-18%492000
Ron Baron 2014-09-30 Reduce -22.24%0.09%$37.705 - $44.83 $ 34.22-18%1090093
Jean-Marie Eveillard 2014-09-30 Add 40.96%0.04%$37.705 - $44.83 $ 34.22-18%1342021
Ray Dalio 2014-09-30 Sold Out 0.01%$37.705 - $44.83 $ 34.22-18%0
John Burbank 2014-09-30 New Buy$37.705 - $44.83 $ 34.22-18%2632
Joel Greenblatt 2014-09-30 Sold Out $37.705 - $44.83 $ 34.22-18%0
Chuck Akre 2014-06-30 Reduce -19.62%0.86%$72.34 - $84.2 $ 34.22-56%2868230
Frank Sands 2014-06-30 New Buy0.24%$72.34 - $84.2 $ 34.22-56%1272850
Jean-Marie Eveillard 2014-06-30 New Buy0.17%$72.34 - $84.2 $ 34.22-56%952082
Ray Dalio 2014-06-30 New Buy0.01%$72.34 - $84.2 $ 34.22-56%24000
Joel Greenblatt 2014-06-30 New Buy$72.34 - $84.2 $ 34.22-56%3605
Premium More recent guru trades are included for Premium Members only!!
Premium More recent guru trades are included for USA Subscribe Members only!!
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Guru Investment Theses on Discovery Communications Inc

Wallace Weitz Comments on Discovery Communications - Oct 17, 2014

Discovery (DISCA) is a world-class provider of global pay-tv programming including ‘must-carry’ channels (Discovery, TLC and Animal Planet) as well as emerging and niche networks (ID, OWN and Science, among others). Non-fiction content is a wonderful business – it is cheap to produce and portable across geographies, driving excellent margins and cash flows. Discovery is especially well positioned to benefit from the long-tailed wave of increasing pay-tv adoption outside the U.S. The company generally owns the full rights to its content, providing bargaining power as the distribution ecosystem evolves. We project per-share cash flow growth in the high teens over the next several years, fueled by the international business. From today’s price, we think the stock’s return potential is adequate-to-exceptional with solid downside protection.

From Wallace Weitz (Trades, Portfolio)'s Value Fund Q3 2014 Commentary.

Check out Wallace Weitz latest stock trades

Baron Funds Comments on Discovery Communications - May 02, 2014

Shares of Discovery Communications, Inc. (DISCA), a leading global cable network programming operator, fell after reporting weaker results for its fourth quarter 2013, as well as lower ratings for its television content. Since then, Discovery's ratings have improved, and its 2014 financial guidance appears increasingly achievable. We remain positive on Discovery, as we believe it will disproportionately benefit from the continued growth in its international markets for the next several years, aided by its recent European acquisitions, Eurosport and SBS.



From Baron Funds' first quarter 2014 letter to investors.



Check out Ron Baron latest stock trades

Baron Funds Comments on Discover Communications Inc. - May 01, 2013

Discovery Communications, Inc. (DISCA) owns and operates several cable networks, including Discovery Channel, Animal Planet and the Learning Channel. Its networks have achieved ongoing increases in their viewership levels, which have allowed the company to charge higher rates to advertisers and to the cable systems that deliver their networks.We expect Discovery to continue to profit from lucrative deals with distributors that would like to offer the company's content through Internet-based platforms.

From Baron Funds’ first quarter 2013 letter.


Check out Ron Baron latest stock trades

Top Ranked Articles about Discovery Communications Inc

Walt Disney's Most Recent Stock Information
Like most other little girls growing up, I always dreamed about becoming a Disney princess when I was younger. My mother dressed me as Tinkerbell when I was a toddler, and I wore the costume every single day, through November, until my father made me take it off because of the stares from strangers in grocery stores and on the streets. No one could understand why this little girl was wearing a tattered lime green costume around Thanksgiving. Read more...
Wallace Weitz Comments on Discovery Communications
Discovery (DISCA) is a world-class provider of global pay-tv programming including ‘must-carry’ channels (Discovery, TLC and Animal Planet) as well as emerging and niche networks (ID, OWN and Science, among others). Non-fiction content is a wonderful business – it is cheap to produce and portable across geographies, driving excellent margins and cash flows. Discovery is especially well positioned to benefit from the long-tailed wave of increasing pay-tv adoption outside the U.S. The company generally owns the full rights to its content, providing bargaining power as the distribution ecosystem evolves. We project per-share cash flow growth in the high teens over the next several years, fueled by the international business. From today’s price, we think the stock’s return potential is adequate-to-exceptional with solid downside protection. Read more...
Gurus' Best-Loved Stocks in the Worst-Performing Sector of 2014
All sectors of the economy have so far gained this year with Utilities performing best, rising more than 15%. The worst-performing sector was Consumer Cyclical, which gained a mere 0.23%. Consumer Cyclical stocks consist of luxury goods and services that people generally indulge in only when the economy is good. Read more...
Baron Funds Comments on Discovery Communications
Shares of Discovery Communications, Inc. (DISCA), a leading global cable network programming operator, fell after reporting weaker results for its fourth quarter 2013, as well as lower ratings for its television content. Since then, Discovery's ratings have improved, and its 2014 financial guidance appears increasingly achievable. We remain positive on Discovery, as we believe it will disproportionately benefit from the continued growth in its international markets for the next several years, aided by its recent European acquisitions, Eurosport and SBS. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 11.50
DISCA's P/E(ttm) is ranked higher than
93% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 43.20 vs. DISCA: 11.50 )
DISCA' s 10-Year P/E(ttm) Range
Min: 6.69   Max: 149.73
Current: 11.5

6.69
149.73
P/B 2.60
DISCA's P/B is ranked higher than
72% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 2.83 vs. DISCA: 2.60 )
DISCA' s 10-Year P/B Range
Min: 0.27   Max: 3.3
Current: 2.6

0.27
3.3
P/S 1.87
DISCA's P/S is ranked higher than
69% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 2.08 vs. DISCA: 1.87 )
DISCA' s 10-Year P/S Range
Min: 0.59   Max: 9.49
Current: 1.87

0.59
9.49
PFCF 12.86
DISCA's PFCF is ranked higher than
88% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 44.00 vs. DISCA: 12.86 )
DISCA' s 10-Year PFCF Range
Min: 4.34   Max: 1167.9
Current: 12.86

4.34
1167.9
EV-to-EBIT 10.27
DISCA's EV-to-EBIT is ranked higher than
90% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 25.32 vs. DISCA: 10.27 )
DISCA' s 10-Year EV-to-EBIT Range
Min: -1246.4   Max: 17.1
Current: 10.27

-1246.4
17.1
PEG 0.62
DISCA's PEG is ranked higher than
98% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 9999.00 vs. DISCA: 0.62 )
DISCA' s 10-Year PEG Range
Min: 0.18   Max: 2.31
Current: 0.62

0.18
2.31
Shiller P/E 14.72
DISCA's Shiller P/E is ranked higher than
94% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 9999.00 vs. DISCA: 14.72 )
DISCA' s 10-Year Shiller P/E Range
Min: 13.94   Max: 43.01
Current: 14.72

13.94
43.01
Current Ratio 1.01
DISCA's Current Ratio is ranked higher than
60% of the 534 Companies
in the Global Media - Diversified industry.

( Industry Median: 1.42 vs. DISCA: 1.01 )
DISCA' s 10-Year Current Ratio Range
Min: 0.95   Max: 4.45
Current: 1.01

0.95
4.45
Quick Ratio 1.01
DISCA's Quick Ratio is ranked higher than
64% of the 533 Companies
in the Global Media - Diversified industry.

( Industry Median: 1.26 vs. DISCA: 1.01 )
DISCA' s 10-Year Quick Ratio Range
Min: 0.95   Max: 4.45
Current: 1.01

0.95
4.45

Valuation & Return

vs
industry
vs
history
Price/DCF (Projected) 1.30
DISCA's Price/DCF (Projected) is ranked higher than
84% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 4.12 vs. DISCA: 1.30 )
DISCA' s 10-Year Price/DCF (Projected) Range
Min: 0.69   Max: 1.43
Current: 1.3

0.69
1.43
Price/Median PS Value 0.88
DISCA's Price/Median PS Value is ranked higher than
86% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 1.24 vs. DISCA: 0.88 )
DISCA' s 10-Year Price/Median PS Value Range
Min: 0.26   Max: 3.45
Current: 0.88

0.26
3.45
Price/Peter Lynch Fair Value 0.66
DISCA's Price/Peter Lynch Fair Value is ranked higher than
99% of the 574 Companies
in the Global Media - Diversified industry.

( Industry Median: 9999.00 vs. DISCA: 0.66 )
DISCA' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.4   Max: 2.1
Current: 0.66

0.4
2.1
Earnings Yield (Greenblatt) 9.70
DISCA's Earnings Yield (Greenblatt) is ranked higher than
90% of the 537 Companies
in the Global Media - Diversified industry.

( Industry Median: 4.20 vs. DISCA: 9.70 )
DISCA' s 10-Year Earnings Yield (Greenblatt) Range
Min: 5.9   Max: 21.6
Current: 9.7

5.9
21.6
Forward Rate of Return (Yacktman) 25.35
DISCA's Forward Rate of Return (Yacktman) is ranked higher than
92% of the 337 Companies
in the Global Media - Diversified industry.

( Industry Median: 10.22 vs. DISCA: 25.35 )
DISCA' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 2.8   Max: 57.2
Current: 25.35

2.8
57.2

Business Description

Industry: Entertainment » Media - Diversified
Compare:VIA, NWS, VIVHY, MSG, LMCA » details
Traded in other countries:DC6.Germany, DC6C.Germany,
Discovery Communications Inc was formed on September 17, 2008, in connection with Discovery Holding Company 'DHC' and Advance/Newhouse Programming Partnership 'Advance/Newhouse' combining their respective ownership interests in Discovery Communications Holding, LLC ('DCH') and exchanging those interests with and into Discovery (the 'Discovery Formation'). The Company is nonfiction media company that provides original and purchased content to more than 2.2 billion cumulative viewers worldwide through networks that it wholly or partially own. It distributes customized content in the U.S. and over 220 other countries and territories in over 40 languages. Its portfolio of networks includes prominent television brands such as Discovery Channel, one of the first nonfiction networks and its distributed global brand, TLC and Animal Planet. The Company also has a diversified portfolio of websites and develops and sell curriculum-based education products and services. Its content spans genres including science, exploration, survival, natural history, sustainability of the environment, technology, docu-series, anthropology, paleontology, history, space, archaeology, health and wellness, engineering, adventure, lifestyles, forensics, civilizations and current events. The Company's programming tends to maintain its relevance for an extended period of time. As a result, a significant amount of its content translates well across international borders and is made even more accessible through extensive use of dubbing and subtitles in local languages. The Company own and lease 1.7 million square feet of building space for the conduct of its businesses at 65 locations throughout the world. In the U.S. alone, it own and lease approximately 597,000 and 564,000 square feet of building space, respectively, at 13 locations. The Company's networks compete with other television networks, including broadcast, cable and local, for the distribution of its programming and fees charged to cable television operators, DTH satellite service providers and other distributors that carry its network programming. The Company's networks and websites also compete for their target audiences with all forms of programming and other media provided to viewers, including broadcast, cable and local networks, pay-per-view and VOD services, DVDs, online activities and other forms of news, information and entertainment. Its businesses are subject to and affected by regulations of U.S. federal, state and local government authorities, and its international operations are subject to laws and regulations of local countries and international bodies such as the European Union.
» More Articles for DISCA

Headlines

Articles On GuruFocus.com
Wonderful Businesses Help You Stay Rational Dec 13 2014 
Walt Disney's Most Recent Stock Information Dec 05 2014 
Wallace Weitz Buys Discovery Communications, Sells Apple in Q3 Nov 14 2014 
Can This Outperforming Stock Get Better? Nov 06 2014 
Is Hasbro Racing Ahead Of Mattel? Oct 30 2014 
Wallace Weitz Comments on Discovery Communications Oct 17 2014 
Wallace Weitz's Value Fund Q3 2014 Commentary Oct 17 2014 
Gurus' Best-Loved Stocks in the Worst-Performing Sector of 2014 Sep 25 2014 
Frank Sands Adds 5 New Stocks Aug 14 2014 
Chuck Akre 2nd 2014 Quarter Commentary Jul 19 2014 

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