Warner Music Valuation
| WMG Stock | USD 32.52 0.42 1.31% |
At this time, the company appears to be fairly valued. Warner Music Group maintains a prevalent Real Value of $33.22 per share. The last-minute price of the company is $32.52. Our model calculates the value of Warner Music Group from examining the company fundamentals such as Return On Asset of 0.0742, profit margin of 0.09 %, and Current Valuation of 20.22 B as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Warner Music's valuation include:
Price Book 32.0997 | Enterprise Value 20.2 B | Enterprise Value Ebitda 18.5681 | Price Sales 2.6395 | Forward PE 23.6407 |
Fairly Valued
Today
Please note that Warner Music's price fluctuation is very steady at this time. Calculation of the real value of Warner Music Group is based on 3 months time horizon. Increasing Warner Music's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Warner stock is determined by what a typical buyer is willing to pay for full or partial control of Warner Music Group. Since Warner Music is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Warner Stock. However, Warner Music's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 32.52 | Real 33.22 | Target 35.07 | Hype 31.86 | Naive 31.82 |
The real value of Warner Stock, also known as its intrinsic value, is the underlying worth of Warner Music Group Company, which is reflected in its stock price. It is based on Warner Music's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Warner Music's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Warner Music Group helps investors to forecast how Warner stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Warner Music more accurately as focusing exclusively on Warner Music's fundamentals will not take into account other important factors: When choosing an evaluation method for Warner Music Group, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.
Warner Music Cash |
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Warner Valuation Trend
Comparing Warner Music's enterprise value against its market capitalization is a good way to estimate the value of Warner Music Group uage its performance over time. This information may sometimes be enough for investors to make reasonable market timing decisions.
Warner Revenue by Product
Warner Music Total Value Analysis
Warner Music Group is at this time expected to have company total value of 20.22 B with market capitalization of 16.85 B, debt of 4.29 B, and cash on hands of 586 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Warner Music fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
20.22 B | 16.85 B | 4.29 B | 586 M |
Warner Music Investor Information
About 94.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.24. Warner Music Group last dividend was issued on the 19th of November 2024. Based on the measurements of operating efficiency obtained from Warner Music's historical financial statements, Warner Music Group is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.Warner Music Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Warner Music has an asset utilization ratio of 70.19 percent. This implies that the Company is making $0.7 for each dollar of assets. An increasing asset utilization means that Warner Music Group is more efficient with each dollar of assets it utilizes for everyday operations.Warner Music Ownership Allocation
The majority of Warner Music outstanding shares are owned by institutional investors. These institutions are usually referred to as non-private investors looking to purchase positions in Warner Music Group to benefit from reduced commissions. Consequently, other corporate entities are subject to a different set of regulations than regular investors in Warner Music Group. Please pay attention to any change in the institutional holdings of Warner Music Group as this could imply that something significant has changed or is about to change at the company.Warner Music Profitability Analysis
The company reported the last year's revenue of 6.43 B. Total Income to common stockholders was 478 M with profit before taxes, overhead, and interest of 2.84 B.Warner Music Past Distributions to stockholders
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| 1st of December 2023 | ||
| 24th of August 2023 | ||
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| 1st of December 2022 |
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Warner Music's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Warner Music and how it compares across the competition.
About Warner Music Valuation
The stock valuation mechanism determines Warner Music's current worth on a weekly basis. Our valuation model uses a comparative analysis of Warner Music. We calculate exposure to Warner Music's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Warner Music's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 3.1 B | 2 B | |
| Pretax Profit Margin | 0.09 | 0.10 | |
| Operating Profit Margin | 0.13 | (0.47) | |
| Net Loss | 0.07 | (0.40) | |
| Gross Profit Margin | 0.48 | 0.43 |
A single share of Warner Music represents a small ownership stake in the entity. As a stockholder of Warner, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Warner Music Dividends Analysis For Valuation
At this time, Warner Music's Dividend Payout Ratio is most likely to increase slightly in the upcoming years. The Warner Music's current Dividend Paid And Capex Coverage Ratio is estimated to increase to 5.45, while Dividends Paid is projected to decrease to roughly 326.6 M. . The Warner Music's current Price Earnings To Growth Ratio is estimated to increase to 0.14, while Retained Earnings are forecasted to increase to (1.2 B).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 361 M | 326.6 M | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.83 | 0.87 | |
| Dividend Paid And Capex Coverage Ratio | 1.58 | 5.45 |
There are various types of dividends Warner Music can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Warner shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Warner Music Group directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Warner pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Warner Music by the value of the dividends paid out.
Warner Music Growth Indicators
Investing in growth stocks can be very risky. If the company such as Warner Music does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 1.4 B | |
| Quarterly Earnings Growth Y O Y | 0.137 | |
| Forward Price Earnings | 23.6407 |
Warner Music Current Valuation Indicators
Valuation refers to the process of determining the present value of Warner Music Group and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Warner we look at many different elements of the entity such as Warner's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Warner Music, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Warner Music's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Warner Music's worth.Complementary Tools for Warner Stock analysis
When running Warner Music's price analysis, check to measure Warner Music's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Warner Music is operating at the current time. Most of Warner Music's value examination focuses on studying past and present price action to predict the probability of Warner Music's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Warner Music's price. Additionally, you may evaluate how the addition of Warner Music to your portfolios can decrease your overall portfolio volatility.
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