Reading the tape
NASDAQ: WMG
Warner Music Group Corp.
Communication Services · Entertainment
Market Cap
$14.68B
52w High
$34.63
52w Low
$23.34
P/E
47.84
Volume
1.55M
Outstanding Shares
522.25M
Price vs Fundamentals
Why The Stock Is Moving
Mixed / unclearLow confidence
Note: The most recent financial data is over 3 months old. Metrics shown may not reflect the latest reporting period.
1Y Price: -7.17%Revenue (TTM): 8.46%FCF (TTM): -10.46%P/FCF: 16th pct
What changed
The stock fell 7.17% over the last year. Revenue grew 8.46% over the trailing twelve months. Operating margin moved from 10.77% to 11.73%. Free cash flow declined 10.46% over the trailing twelve months.
What the market seems to be pricing
The stock has moved lower against modestly improving underlying metrics. The operating data does not yet tell a clear story — the move may reflect sentiment, sector rotation, or macro factors rather than company-specific earnings power.
What would invalidate this read
Operating margin currently stands at 11.73%. A decisive move in revenue — currently up 8.46% — would be the clearest signal to resolve the ambiguity.
Company profile
Warner Music Group Corp. operates as a music entertainment company in the United States, the United Kingdom, Germany, and internationally.
CEORobert Kyncl
SectorCommunication Services
IndustryEntertainment
Employees5,800
IPO dateJun 3, 2020
Valuation
Forward P/E—
EV/EBITDA19.53
Enterprise value$21.75B
Stock splits
No stock splits recorded for this ticker.
Profitability & growth
Revenue growth10.44%
Gross margin44.43%▼4.06%vs FY2024
Operating margin11.73%▼19.21%vs FY2024
ROE56.41%▼32.82%vs FY2024
Analyst consensus
RatingBuy
Target price$35.50▲26.29%
16
Buy
7
Hold
1
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
May 7, 2026
Q2 FY26 · EPS est $0.30 · Revenue est $1.61B
View
Dividends
$0.75/shareQuarterly4yr growth streakAdequateWMG pays a dividend with a 2.67% dividend yield, 4 consecutive years of growth, growing at 5.98% annually, covered 1.4× by free cash flow.
Dividend Yield
2.67%
Annual Div / Share
$0.75
3yr CAGR
+5.98%
Doubles every ~11.9yr
Payout Ratio
127.54%
Adequate
Dividend Growth Rate
3yr CAGR
+5.98%
Dividend Safety
3/10Adequate
Dividend History
Annualized dividend cycles per share
YearAnnual DivYoY
2025$0.75+5.6%
2024$0.71+6.0%
2023$0.67+6.3%
2022$0.63+10.5%
2021$0.57—
Income Projection
Invest
$
Growth rate:
Reinvest dividends
Today
$27/yr
$2/mo
In 5 yrs
$36/yr+34%
$3/mo
In 10 yrs
$48/yr+79%
$4/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$27/yr $2/mo | $36/yr+34% $3/mo | $48/yr+79% $4/mo |
Yield-on-cost grows from 2.67% → 4.77% over 10yr
Analysis
Dividend Strengths
No strong strength signal stands out from the latest period pair.
Risks to Watch
High payout ratio
With 127.54% of earnings paid as dividends, there is limited retained earnings for reinvestment — and a dividend cut becomes more likely if earnings decline.