(UMG) Universal Music - Ratings and Ratios
Recorded Music, Music Publishing, Merchandise
UMG EPS (Earnings per Share)
UMG Revenue
Description: UMG Universal Music
Universal Music Group N.V. is a global music company with a diversified business model, operating through three main segments: Recorded Music, Music Publishing, and Merchandising & Other. The company discovers and develops recording artists and songwriters, licenses and distributes music across various formats and platforms, and engages in live events, sponsorship, film, and television operations.
The Recorded Music segment is a key driver of the companys revenue, with a focus on discovering and developing new artists, as well as promoting and distributing their music. The Music Publishing segment owns and administers the copyright for musical compositions, generating revenue through royalties and licensing fees. The Merchandising & Other segment produces and sells branded products, such as artist merchandise, and offers brand rights management services.
From a financial perspective, Universal Music Group N.V. has a market capitalization of approximately €48.8 billion, indicating a significant presence in the global music industry. The companys price-to-earnings ratio is around 23.61, with a forward P/E of 25.91, suggesting a moderate valuation. The return on equity (RoE) is a robust 67.18%, indicating a strong ability to generate profits from shareholder equity.
Some key performance indicators (KPIs) to monitor for Universal Music Group N.V. include revenue growth, driven by the increasing demand for streaming services, artist roster and talent acquisition, and the companys ability to adapt to changing consumer behavior and technological advancements. Other relevant KPIs include the companys market share in the global recorded music market, the average revenue per user (ARPU) from its streaming services, and the effectiveness of its merchandising and brand management operations.
To further analyze the companys prospects, it is essential to examine its competitive position within the music industry, its ability to innovate and respond to changing market trends, and its financial performance relative to its peers. By examining these factors, investors can gain a more comprehensive understanding of Universal Music Group N.V.s potential for long-term growth and profitability.
UMG Stock Overview
| Market Cap in USD | 53,696m |
| Sub-Industry | Movies & Entertainment |
| IPO / Inception |
UMG Stock Ratings
| Growth Rating | 60.2% |
| Fundamental | 77.5% |
| Dividend Rating | 63.8% |
| Return 12m vs S&P 500 | -9.43% |
| Analyst Rating | - |
UMG Dividends
| Dividend Yield 12m | 3.08% |
| Yield on Cost 5y | 3.29% |
| Annual Growth 5y | 26.37% |
| Payout Consistency | 99.0% |
| Payout Ratio | 48.4% |
UMG Growth Ratios
| Growth Correlation 3m | -76.8% |
| Growth Correlation 12m | 56.1% |
| Growth Correlation 5y | 67.5% |
| CAGR 5y | 13.36% |
| CAGR/Max DD 3y | 0.49 |
| CAGR/Mean DD 3y | 2.33 |
| Sharpe Ratio 12m | 0.57 |
| Alpha | 0.03 |
| Beta | 0.622 |
| Volatility | 25.39% |
| Current Volume | 1295.1k |
| Average Volume 20d | 1144.9k |
| Stop Loss | 23.6 (-3.1%) |
| Signal | -0.50 |
Piotroski VR‑10 (Strict, 0-10) 4.5
| Net Income (2.67b TTM) > 0 and > 6% of Revenue (6% = 899.3m TTM) |
| FCFTA 0.14 (>2.0%) and ΔFCFTA -4.92pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -30.32% (prev -13.27%; Δ -17.05pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.15 (>3.0%) and CFO 2.57b <= Net Income 2.67b (YES >=105%, WARN >=100%) |
| Net Debt (1.34b) to EBITDA (4.59b) ratio: 0.29 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.40 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (1.86b) change vs 12m ago -0.32% (target <= -2.0% for YES) |
| Gross Margin 41.46% (prev 41.82%; Δ -0.36pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 98.30% (prev 126.5%; Δ -28.18pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 28.02 (EBITDA TTM 4.59b / Interest Expense TTM 142.0m) >= 6 (WARN >= 3) |
Altman Z'' -5.39
| (A) -0.26 = (Total Current Assets 3.08b - Total Current Liabilities 7.62b) / Total Assets 17.32b |
| (B) -1.66 = Retained Earnings (Balance) -28.80b / Total Assets 17.32b |
| warn (B) unusual magnitude: -1.66 — check mapping/units |
| (C) 0.26 = EBIT TTM 3.98b / Avg Total Assets 15.25b |
| (D) 0.0 = Book Value of Equity 0.0 / Total Liabilities 13.31b |
| Total Rating: -5.39 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 77.47
| 1. Piotroski 4.50pt = -0.50 |
| 2. FCF Yield 5.01% = 2.51 |
| 3. FCF Margin 15.68% = 3.92 |
| 4. Debt/Equity 0.43 = 2.41 |
| 5. Debt/Ebitda 0.43 = 2.36 |
| 6. ROIC - WACC (= 60.87)% = 12.50 |
| 7. RoE 67.18% = 2.50 |
| 8. Rev. Trend 12.12% = 0.91 |
| 9. EPS Trend 17.29% = 0.86 |
What is the price of UMG shares?
Over the past week, the price has changed by -2.37%, over one month by -1.77%, over three months by -9.21% and over the past year by +7.36%.
Is Universal Music a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of UMG is around 23.15 EUR . This means that UMG is currently overvalued and has a potential downside of -4.93%.
Is UMG a buy, sell or hold?
What are the forecasts/targets for the UMG price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 29.4 | 20.9% |
| Analysts Target Price | - | - |
| ValueRay Target Price | 25.8 | 5.9% |
UMG Fundamental Data Overview
Market Cap EUR = 45.44b (45.44b EUR * 1.0 EUR.EUR)
CCE Cash And Equivalents = 553.0m EUR (Cash And Short Term Investments, last quarter)
P/E Trailing = 17.5745
P/E Forward = 21.5054
P/S = 3.7298
P/B = 9.3781
P/EG = 2.7386
Beta = 0.822
Revenue TTM = 14.99b EUR
EBIT TTM = 3.98b EUR
EBITDA TTM = 4.59b EUR
Long Term Debt = 1.90b EUR (from longTermDebt, last quarter)
Short Term Debt = 66.0m EUR (from shortTermDebt, last quarter)
Debt = 1.96b EUR (Calculated: Short Term 66.0m + Long Term 1.90b)
Net Debt = 1.34b EUR (from netDebt column, last quarter)
Enterprise Value = 46.85b EUR (45.44b + Debt 1.96b - CCE 553.0m)
Interest Coverage Ratio = 28.02 (Ebit TTM 3.98b / Interest Expense TTM 142.0m)
FCF Yield = 5.01% (FCF TTM 2.35b / Enterprise Value 46.85b)
FCF Margin = 15.68% (FCF TTM 2.35b / Revenue TTM 14.99b)
Net Margin = 17.83% (Net Income TTM 2.67b / Revenue TTM 14.99b)
Gross Margin = 41.46% ((Revenue TTM 14.99b - Cost of Revenue TTM 8.77b) / Revenue TTM)
Tobins Q-Ratio = unknown (Enterprise Value 46.85b / Book Value Of Equity 0.0)
Interest Expense / Debt = 3.97% (Interest Expense 78.0m / Debt 1.96b)
Taxrate = 27.10% (778.0m / 2.87b)
NOPAT = 2.90b (EBIT 3.98b * (1 - 27.10%))
Current Ratio = 0.40 (Total Current Assets 3.08b / Total Current Liabilities 7.62b)
Debt / Equity = 0.43 (Debt 1.96b / last Quarter total Stockholder Equity 4.53b)
Debt / EBITDA = 0.43 (Net Debt 1.34b / EBITDA 4.59b)
Debt / FCF = 0.84 (Debt 1.96b / FCF TTM 2.35b)
Total Stockholder Equity = 3.98b (last 4 quarters mean)
RoA = 15.43% (Net Income 2.67b, Total Assets 17.32b )
RoE = 67.18% (Net Income TTM 2.67b / Total Stockholder Equity 3.98b)
RoCE = 67.74% (Ebit 3.98b / (Equity 3.98b + L.T.Debt 1.90b))
RoIC = 69.27% (NOPAT 2.90b / Invested Capital 4.19b)
WACC = 8.40% (E(45.44b)/V(47.41b) * Re(8.64%)) + (D(1.96b)/V(47.41b) * Rd(3.97%) * (1-Tc(0.27)))
Shares Correlation 3-Years: 54.55 | Cagr: 0.21%
Discount Rate = 8.64% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 79.53% ; FCFE base≈2.38b ; Y1≈2.94b ; Y5≈5.02b
Fair Price DCF = 41.51 (DCF Value 76.13b / Shares Outstanding 1.83b; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 17.29 | EPS CAGR: 30.67% | SUE: 2.75 | # QB: 1
Revenue Correlation: 12.12 | Revenue CAGR: 43.40% | SUE: N/A | # QB: None