Warner Music Group Corp. Class A Common Stock (WMG) Valuation
Historical valuation analysis based on 500 data points (2024-09-27 to 2026-09-25)
Warner Music is the third-largest of the three major record companies. Recorded music accounts for most of the firm's revenue, with the segment housing notable record labels including Atlantic Reco...
Warner Music Group Corp. Class A Common Stock (WMG) currently trades at a P/E ratio of 31.51 (historical range: 28.78–60.01, median: 33.95), placing it at the 27th percentile — below its historical average, P/S ratio of 2.00 (range: 1.79–2.97, 7th percentile — cheap relative to its history), EV/EBITDA of 27.94 (range: 21.55–32.17, 61th percentile).
Over the historical period (2024-09-27 to 2026-09-25), Warner Music Group Corp. Class A Common Stock's P/E ratio has expanded by 12% over the observed period (from an average of 37.7 to 42.3).
Warner Music Group Corp. Class A Common Stock trades below its historical valuation range, with most metrics below their median levels.
Historical Valuation Metrics
| Metric | Current | Min | Median | Max | Percentile | Assessment |
|---|---|---|---|---|---|---|
| P/E Ratio | 31.51 | 28.78 | 33.95 | 60.01 | 27th | below its historical average |
| P/S Ratio | 2.00 | 1.79 | 2.40 | 2.97 | 7th | cheap relative to its history |
| EV/EBITDA | 27.94 | 21.55 | 27.11 | 32.17 | 61th | above its historical average |
| FCF Yield | 5.12% | 3.41% | 4.18% | 5.65% | 85th | cheap relative to its history |
Warner Music Group Corp. Class A Common Stock (WMG) Valuation & P/E History
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 currently trading at $27.15 with a market capitalization of $14.2 billion. This page provides historical valuation analysis for WMG based on 500 data points covering 2024-09-27 to 2026-09-25. The P/E ratio of 31.51 is below the historical median of 33.95, placing WMG at the 27th percentile of its valuation range. The P/S ratio of 2.00 compares to a median of 2.40.
WMG Valuation Metrics & Historical Range
The valuation table above shows Warner Music Group Corp. Class A Common Stock's current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether WMG is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests WMG is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for Warner Music Group Corp. Class A Common Stock.
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is WMG Overvalued or Undervalued?
Warner Music Group Corp. Class A Common Stock trades below its historical valuation range, with most metrics below their median levels. The overall valuation percentile of 32 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive WMG is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full WMG analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.WMG trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.