Bank of New York Mellon Corp Acquires Shares of 1,260,118 Warner Music Group Corp. $WMG

Key Points

• Bank of New York Mellon acquired 1,260,118 Warner Music Group shares worth approximately $34.1 million, giving it a 0.24% stake. Institutional investors collectively own 96.88% of the company.
• Warner Music Group exceeded quarterly earnings expectations, reporting $0.51 EPS versus the $0.34 consensus and $1.86 billion in revenue, up 10.4% year over year.
• The company raised its quarterly dividend to $0.20 per share, equal to an annualized $0.80 payout and a 2.9% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $38.77.

Bank of New York Mellon Corp acquired a new stake in shares of Warner Music Group Corp. (NASDAQ:WMG - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 1,260,118 shares of the company's stock, valued at approximately $34,111,000. Bank of New York Mellon Corp owned 0.24% of Warner Music Group as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors and hedge funds have also recently made changes to their positions in the company. Quarry LP purchased a new stake in shares of Warner Music Group in the 4th quarter worth about $40,000. Osaic Holdings Inc. increased its position in shares of Warner Music Group by 480.9% during the second quarter. Osaic Holdings Inc. now owns 1,493 shares of the company's stock valued at $41,000 after buying an additional 1,236 shares during the period. Caitong International Asset Management Co. Ltd raised its stake in Warner Music Group by 774.6% in the third quarter. Caitong International Asset Management Co. Ltd now owns 1,207 shares of the company's stock worth $41,000 after buying an additional 1,069 shares in the last quarter. Parallel Advisors LLC raised its stake in Warner Music Group by 355.7% in the fourth quarter. Parallel Advisors LLC now owns 1,531 shares of the company's stock worth $47,000 after buying an additional 1,195 shares in the last quarter. Finally, Quadrant Capital Group LLC boosted its position in Warner Music Group by 740.0% during the 4th quarter. Quadrant Capital Group LLC now owns 1,890 shares of the company's stock valued at $58,000 after acquiring an additional 1,665 shares in the last quarter. Institutional investors own 96.88% of the company's stock.

Warner Music Group Price Performance

Shares of NASDAQ:WMG opened at $28.03 on Friday. The firm's 50 day moving average price is $27.28 and its 200-day moving average price is $28.40. The stock has a market capitalization of $14.66 billion, a PE ratio of 22.25, a price-to-earnings-growth ratio of 0.48 and a beta of 1.30. Warner Music Group Corp. has a twelve month low of $23.34 and a twelve month high of $35.42. The company has a quick ratio of 0.72, a current ratio of 0.73 and a debt-to-equity ratio of 4.94.

Warner Music Group (NASDAQ:WMG - Get Free Report) last released its earnings results on Wednesday, August 5th. The company reported $0.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.17. Warner Music Group had a net margin of 9.20% and a return on equity of 85.50%. The company had revenue of $1.86 billion during the quarter, compared to analyst estimates of $1.81 billion. During the same period in the prior year, the firm posted ($0.03) EPS. The firm's quarterly revenue was up 10.4% compared to the same quarter last year. Equities research analysts expect that Warner Music Group Corp. will post 1.45 EPS for the current year.

Warner Music Group Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Thursday, August 20th will be issued a dividend of $0.20 per share. This is a boost from Warner Music Group's previous quarterly dividend of $0.19. The ex-dividend date of this dividend is Thursday, August 20th. This represents a $0.80 annualized dividend and a dividend yield of 2.9%. Warner Music Group's payout ratio is currently 63.49%.

Analyst Ratings Changes

WMG has been the subject of several research reports. JPMorgan Chase & Co. increased their target price on Warner Music Group from $40.00 to $43.00 and gave the stock an "overweight" rating in a research report on Friday, May 8th. Wall Street Zen lowered Warner Music Group from a "buy" rating to a "hold" rating in a research report on Saturday, July 18th. UBS Group increased their price objective on Warner Music Group from $40.00 to $42.00 and gave the stock a "buy" rating in a report on Friday, May 8th. Morgan Stanley reissued an "overweight" rating and set a $36.00 price objective on shares of Warner Music Group in a research report on Thursday, August 6th. Finally, Evercore restated an "outperform" rating and set a $43.00 target price on shares of Warner Music Group in a report on Friday, May 8th. Thirteen investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $38.77.

Warner Music Group Profile

Warner Music Group is a major global music company that operates across recorded music and music publishing. Its recorded-music business comprises a portfolio of well-known labels—including Atlantic, Warner Records and Parlophone—as well as distribution and artist-services operations that support both established and emerging artists. The company's publishing arm, Warner Chappell Music, manages songwriting catalogs and administers rights for compositions across multiple media, providing licensing for film, television, advertising and other commercial uses.

WMG's activities span the full music value chain: signing and developing artists, producing and marketing recordings, distributing music through physical channels and streaming platforms, and monetizing rights through licensing, synchronization and neighboring-rights collection.

Want to see what other hedge funds are holding WMG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Warner Music Group Corp. (NASDAQ:WMG - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source