Warner Music Group (NASDAQ:WMG) Price Target Raised to $43.00

Key Points

• JPMorgan raised its price target on Warner Music Group from $40 to $43 and kept an overweight rating, implying about 30% upside from the prior close.
• WMG shares rose 6.6% to $33.09 as investors responded to strong recent performance and positive analyst sentiment. The stock has traded between $23.34 and $34.63 over the past 12 months.
• The company recently beat earnings expectations, reporting $0.44 EPS on $1.73 billion in revenue, with sales up 16.7% year over year. Analysts continue to see the stock favorably, with a consensus rating of Moderate Buy.

Warner Music Group (NASDAQ:WMG - Get Free Report) had its price objective increased by equities research analysts at JPMorgan Chase & Co. from $40.00 to $43.00 in a research report issued on Friday,Benzinga reports. The firm presently has an "overweight" rating on the stock. JPMorgan Chase & Co.'s price objective would suggest a potential upside of 29.96% from the stock's previous close.

WMG has been the topic of a number of other research reports. Citigroup cut their target price on shares of Warner Music Group from $41.00 to $40.00 and set a "buy" rating on the stock in a research note on Wednesday, January 21st. Scotiabank raised shares of Warner Music Group from a "sector perform" rating to a "sector outperform" rating in a research report on Friday, February 13th. Evercore reaffirmed an "outperform" rating and set a $43.00 price objective on shares of Warner Music Group in a research report on Friday. Morgan Stanley set a $39.00 price objective on shares of Warner Music Group in a research report on Friday. Finally, Moffett Nathanson began coverage on shares of Warner Music Group in a research report on Tuesday, January 27th. They set a "buy" rating and a $38.00 price objective for the company. Fourteen equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $37.38.

Warner Music Group Trading Up 6.6%

Shares of NASDAQ:WMG traded up $2.05 during trading on Friday, reaching $33.09. 4,529,884 shares of the stock were exchanged, compared to its average volume of 2,336,958. The company has a debt-to-equity ratio of 5.30, a quick ratio of 0.69 and a current ratio of 0.70. Warner Music Group has a 12-month low of $23.34 and a 12-month high of $34.63. The firm has a market cap of $17.28 billion, a price-to-earnings ratio of 57.07, a price-to-earnings-growth ratio of 0.49 and a beta of 1.25. The firm's 50-day moving average price is $27.38 and its 200 day moving average price is $29.00.

Warner Music Group (NASDAQ:WMG - Get Free Report) last posted its earnings results on Thursday, May 7th. The company reported $0.44 earnings per share for the quarter, beating the consensus estimate of $0.30 by $0.14. The business had revenue of $1.73 billion for the quarter, compared to analyst estimates of $1.61 billion. Warner Music Group had a net margin of 4.43% and a return on equity of 38.33%. The business's quarterly revenue was up 16.7% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.07 EPS. On average, sell-side analysts anticipate that Warner Music Group will post 1.42 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Parallel Advisors LLC lifted its stake in shares of Warner Music Group by 274.5% in the 1st quarter. Parallel Advisors LLC now owns 5,733 shares of the company's stock worth $146,000 after acquiring an additional 4,202 shares during the period. Modera Wealth Management LLC lifted its stake in shares of Warner Music Group by 14.5% in the 1st quarter. Modera Wealth Management LLC now owns 130,257 shares of the company's stock worth $3,327,000 after acquiring an additional 16,504 shares during the period. Assetmark Inc. lifted its stake in shares of Warner Music Group by 43.8% in the 1st quarter. Assetmark Inc. now owns 570,488 shares of the company's stock worth $14,570,000 after acquiring an additional 173,680 shares during the period. Bank of New York Mellon Corp lifted its stake in shares of Warner Music Group by 1.3% in the 1st quarter. Bank of New York Mellon Corp now owns 1,275,640 shares of the company's stock worth $32,580,000 after acquiring an additional 16,295 shares during the period. Finally, Sanctuary Advisors LLC acquired a new stake in shares of Warner Music Group in the 1st quarter worth approximately $233,000. Institutional investors own 96.88% of the company's stock.

Trending Headlines about Warner Music Group

Here are the key news stories impacting Warner Music Group this week:

• Positive Sentiment: Q1 results beat consensus — WMG reported $0.44 EPS vs. $0.30 expected and revenue of $1.73B (vs. $1.61B est.), with revenue up ~17% year‑over‑year; management credited major releases for the surge. This buy-side catalyst explains much of the stock strength. WMG Revenue Jumps 17% to $1.7B on Major Q1 Releases From Bruno Mars, sombr & More
• Positive Sentiment: Strategic content deal with Paramount — WMG signed a multi‑year first‑look pact to develop theatrical films based on its artists and songwriters, opening new IP monetization and cross‑media revenue streams that can lift long‑term growth and margins. PARAMOUNT PICTURES & WARNER MUSIC GROUP ANNOUNCE PARTNERSHIP FOR THEATRICAL FILMS FOCUSED ON ICONIC ARTISTS & SONGWRITERS
• Positive Sentiment: Quarterly dividend declared — WMG announced a $0.19/share quarterly dividend (annualized yield ~2.4%), with record/ex‑div dates in late May; this supports income‑oriented demand for the shares. (Company press release / filings)
• Neutral Sentiment: Analyst/earnings coverage and materials available — The earnings call transcript, slide deck and analyst write‑ups provide more detail on margin drivers, cost trends and guidance; investors should review the call for commentary on sustainability of release-driven revenue upsides. Warner Music Group Corp. (WMG) Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Valuation takes mixed — recent coverage flags that strong top‑line growth and content deals are positive but valuation and returns are a mixed picture; investors should weigh growth vs. multiples. Assessing Warner Music Group (WMG) Valuation As Mixed Returns Contrast With Undervaluation Signals
• Negative Sentiment: Profitability and leverage remain watch‑points — despite top‑line strength, reported net margin was modest (~4.4%) and the company carries high leverage metrics noted in coverage; these factors could limit upside if revenue growth slows. MarketBeat: Warner Music Group Q2 earnings, margins and metrics

Warner Music Group Company 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.

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