Warner Music Group Corp. Class A Common Stock (WMG) Stock Analysis
P/E 31.52×· 5Y range 26.07–92.48×· 25th percentile of history
Sector: Consumer Cyclical · Industry: Services-Amusement & Recreation Services
AnalystsStrong Buy23 analystsStrengths
- ✓ROE 61.2% — efficient capital deployment
Risks
- ⚠Altman Z 1.1 — distress-zone balance sheet
What's happening with WMG
Price History
5-Year Weekly Candlestick Chart
Profile
Strong earnings quality and valuation; financial health and growth lag behind.
How is each axis scored?
- Valuation75/100 · Strong
- P/E vs own history (25th pct)20/25
- FCF yield (5.1%)20/25
- P/S (2.0x)25/25
- EV/EBIT (n/a)10/25
- Growth49/100 · Weak
- Revenue CAGR (6.1%)12/25
- Net income CAGR (4.7%)6/25
- EPS CAGR 5Y (4.3%)6/25
- Fwd implied growth (105.2%)25/25
- Profitability50/100 · Moderate
- ROIC (n/a)0/25
- ROE (61.2%)25/25
- Net margin (6.3%)13/25
- Operating margin (12.1%)12/25
- Financial Health44/100 · Weak
- Altman Z (1.10)3/25
- Current ratio (0.73)6/25
- Interest coverage (4.6x)10/25
- Net cash / debt (Net cash)25/25
- Quality85/100 · Strong
- Piotroski F (5/9)15/25
- Beneish M (-2.54)25/25
- FCF conversion (161%)25/25
- Margin stability (σ 5.2%)20/25
About Warner Music Group Corp. Class A Common Stock
Warner Music is the third-largest of the three major record companies. Show more
Recorded music accounts for most of the firm's revenue, with the segment housing notable record labels including Atlantic Records, Warner Records, Elektra Records. Some of the most successful current artists signed to record deals with Warner include Ed Sheeran, Bruno Mars, Cardi B, and Dua Lipa. Warner's remaining revenue comes from its publishing business, where Warner Chappell represents more than 180,000 songwriters and composers, some of whom are also Warner recording artists but many of whom are not recording artists or are attached to other labels. Warner Chappell controls more than 1 million musical compositions. Access Industries controls 98% of Warner's voting rights, while holding a 72% economic interest.
Headquarters: NEW YORK, NY · Employees: 5,500 · Website ↗
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
Valuation
75B+P/E (TTM)31.5xC
Grade C: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 26.1x–92.5x · 25th pct
P/FCF24.0xB
Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield5.1%A
Grade A: ValueTTM FCF / Market Cap — vs own 5Y history: 1.9%–5.6% · 94th pct
P/S (TTM)1.99xA
Grade A: CheapPrice / TTM Revenue (own statements) — vs own 5Y history: 1.8x–5.0x · 3rd pct
EV/EBITDA13.0xB
Grade B: FairEnterprise value / EBITDA (Finnhub) — capital-structure neutral
EV/Sales2.5xB
Grade B: FairEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E15.4xB
Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio19.24xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio0.51A
Grade A: CheapFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield2.82%A
Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio104.9%D
Grade D: UnsustainableDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
50CROIC—
NOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE61.2%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA6.5%C
Grade C: AverageReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin6.3%C
Grade C: AverageNet Income / Revenue
Operating Margin12.1%C
Grade C: AverageTTM EBIT / TTM Revenue
Gross Margin45.8%C
Grade C: AverageGross Profit / Revenue
FCF Margin10.2%C
Grade C: AverageFCF / Revenue
True FCF Margin10.2%C
Grade C: AverageTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
49D+Revenue CAGR6.1%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR4.7%D
Grade D: LowCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)4.3%D
Grade D: LowCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth105.2%A
Grade A: HighImplied 1Y EPS growth from forward P/E vs our TTM EPS. Sparse — only where forward estimates exist
Dilution (5Y)—
Share count change over 5Y
SBC / Net Income—
Stock-based comp/Net income. >30% = dilution risk
SBC / Revenue—
TTM stock-based comp / TTM Revenue
Financial Health
44D+Altman Z-Score1.10D
Grade D: DistressBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio0.73xD
Grade D: LowCurrent Assets/Liabilities
Quick Ratio0.47xD
Grade D: Low(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage4.6xC
Grade C: OkEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT—
Leverage. <2x Low, >4x High
Debt/Equity6.75xD
Grade D: HighDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt—
Cash covers how much of total debt. >1 = could repay all debt from cash
Quality
85APiotroski F-Score5/9C
Grade C: AverageFinancial strength 0–9. >7 Strong
Beneish M-Score-2.54A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion161.3%A
Grade A: StrongFCF / Net Income
Margin Stability5.2%A
Grade A: StableEBIT margin std deviation. Lower = stable
Capex / Revenue1.6%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.68xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
More metrics — Per Share, Balance Sheet, MarketHide additional metrics
Per Share
EPS (TTM)$0.86
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$1.02
Cash & short-term investments per share (Finnhub)
Book Value / Share$1.24
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt—
Total debt obligations (short + long term)
Cash & Equiv.$741.00M
Cash and short-term investments
Net Debt—
Total Debt minus Cash. Negative = Net Cash position
Total Equity$738.00M
Shareholders' equity (book value)
Asset / Liability1.10xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$14.20B
Current Market Capitalization
Beta1.36C
Grade C: VolatilePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
Takeaway
Company is effectively debt-free after netting cash. · Current P/E of 31.5x sits at the 25th percentile of its historical range.
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Mar 2026 · Ratio snapshot Sep 27, 2026
Key Insights: Warner Music Group Corp. Class A Common Stock (WMG)
WMG is down 0.55% at the last close. Piotroski F-Score of 5/9 indicates mixed fundamentals for Warner Music Group Corp. Class A Common Stock. Altman Z-Score of 1.10 is below the 1.81 distress threshold — an elevated financial-risk flag. Beneish M-Score of -2.54 suggests a low likelihood of earnings manipulation. Company is effectively debt-free after netting cash.
- Warner Music Group Corp. Class A Common Stock posted a net loss in 1 of 10 available completed fiscal years (2016–2025).
- At a valuation score of 75/100, WMG trades near the cheapest end of its own historical range (P/E 31.5).
- Return on equity of 61.2% is well above the market average.
- The stock currently yields 2.8% in dividends.
Insider Transactions
Recent SEC Form 4 filings · 8 records
| Transaction date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Hertz Noreena Filed | Hertz Noreena | BuyGrant / award | +45 | |
Kreiz Ynon Filed | Kreiz Ynon | BuyGrant / award | +45 | |
Dubuc Nancy Filed | Dubuc Nancy | BuyGrant / award | +45 | |
Kurzman Cecelia Filed | Kurzman Cecelia | BuyGrant / award | +84 | |
Dopfner Mathias Filed | Dopfner Mathias | BuyGrant / award | +45 |
Show 3 more filingsShow fewer filings
| Transaction date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Lynton Michael Filed | Lynton Michael | BuyGrant / award | +122 | |
Kreiz Ynon Filed | Kreiz Ynon | BuyGrant / award | +38 | |
Hertz Noreena Filed | Hertz Noreena | BuyGrant / award | +38 |
See how WMG ranks on the Capex Tracker — top 50 capital spenders compared.
No significant market moves for WMG in the last 30 days.
See WMG move history →Frequently Asked Questions about WMG
What is the current Warner Music Group Corp. Class A Common Stock (WMG) stock price?
WMG is trading at $27.14 at the last market close, down 0.55% on the session. PreMarketPrice tracks WMG pre-market, intraday and after-hours prices.
Is WMG stock a buy right now?
PreMarketPrice's quantitative model rates Warner Music Group Corp. Class A Common Stock's financial health at 44/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is WMG stock overvalued?
Warner Music Group Corp. Class A Common Stock trades at a trailing P/E of 31.5 and our valuation score rates it 75/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Warner Music Group Corp. Class A Common Stock report earnings?
No confirmed earnings date is currently scheduled for WMG. The Earnings section lists recent reports and updates as dates are announced.
What sector does Warner Music Group Corp. Class A Common Stock operate in?
Warner Music Group Corp. Class A Common Stock operates in the Consumer Cyclical sector, within the Services-Amusement & Recreation Services industry. The Related Stocks section lists sector peers for comparison.
What does Warner Music Group Corp. Class A Common Stock do?
Warner Music is the third-largest of the three major record companies.
About Warner Music Group Corp. Class A Common Stock (WMG) Stock
Warner Music Group Corp. Class A Common Stock (WMG) is a US-listed stock operating in the Consumer Cyclical sector, specifically the Services-Amusement & Recreation Services industry. As of the latest update, Warner Music Group Corp. Class A Common Stock is trading at $27.14, down 0.55% on the day with a market capitalization of $14.2 billion. The financial health score for WMG is 44/100, which indicates weak financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for WMG stock.
WMG Stock Analysis & Key Metrics
On PreMarketPrice, you can track Warner Music Group Corp. Class A Common Stock (WMG) across multiple dimensions:
- Pre-market price & movement: Real-time WMG stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for WMG with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Warner Music Group Corp. Class A Common Stock across multiple reporting periods.
- Financial health score: A composite score of 44/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for WMG.
- Sector peers: Compare WMG against 10 other consumer cyclical stocks on key financial metrics.
Is WMG a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Warner Music Group Corp. Class A Common Stock (WMG) as an investment. The financial health score of 44/100 suggests weak financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Warner Music Group Corp. Class A Common Stock (WMG) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.