Warner Music Group (WMG) Competitors

Warner Music Group (NASDAQ:WMG) and TKO Group (NYSE:TKO) are both large-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their community ranking, risk, valuation, profitability, media sentiment, analyst recommendations, earnings, institutional ownership and dividends.

Is WMG or TKO a better dividend stock?

Warner Music Group pays an annual dividend of $0.72 per share and has a dividend yield of 2.7%. TKO Group pays an annual dividend of $1.52 per share and has a dividend yield of 0.9%. Warner Music Group pays out 82.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. TKO Group pays out 77.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Warner Music Group has raised its dividend for 4 consecutive years. Warner Music Group is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media refer more to WMG or TKO?

In the previous week, TKO Group had 21 more articles in the media than Warner Music Group. MarketBeat recorded 26 mentions for TKO Group and 5 mentions for Warner Music Group. TKO Group's average media sentiment score of 0.72 beat Warner Music Group's score of 0.71 indicating that TKO Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Warner Music Group	2 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
TKO Group	10 Very Positive mention(s)	6 Positive mention(s)	6 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals and insiders hold more shares of WMG or TKO?

96.9% of Warner Music Group shares are held by institutional investors. Comparatively, 89.8% of TKO Group shares are held by institutional investors. 72.2% of Warner Music Group shares are held by company insiders. Comparatively, 53.8% of TKO Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Do analysts rate WMG or TKO?

Warner Music Group presently has a consensus target price of $33.95, indicating a potential upside of 27.33%. TKO Group has a consensus target price of $168.08, indicating a potential upside of 1.96%. Given Warner Music Group's higher possible upside, analysts plainly believe Warner Music Group is more favorable than TKO Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Warner Music Group	2 Sell rating(s)	7 Hold rating(s)	9 Buy rating(s)	1 Strong Buy rating(s)	2.47
TKO Group	0 Sell rating(s)	2 Hold rating(s)	12 Buy rating(s)	1 Strong Buy rating(s)	2.93

Does the MarketBeat Community favor WMG or TKO?

Warner Music Group received 11 more outperform votes than TKO Group when rated by MarketBeat users. However, 80.65% of users gave TKO Group an outperform vote while only 42.07% of users gave Warner Music Group an outperform vote.

Company	Underperform	Outperform
Warner Music Group	Outperform Votes 61 42.07%	Underperform Votes 84 57.93%
TKO Group	Outperform Votes 50 80.65%	Underperform Votes 12 19.35%

Is WMG or TKO more profitable?

Warner Music Group has a net margin of 8.07% compared to TKO Group's net margin of -1.26%. Warner Music Group's return on equity of 79.01% beat TKO Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Warner Music Group	8.07%	79.01%	5.71%
TKO Group	-1.26%	3.39%	2.32%

Which has higher valuation & earnings, WMG or TKO?

Warner Music Group has higher revenue and earnings than TKO Group. Warner Music Group is trading at a lower price-to-earnings ratio than TKO Group, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Warner Music Group	$6.33B	2.19	$435M	$0.87	30.64
TKO Group	$2.85B	11.44	$208.18M	$1.97	83.68

Which has more volatility and risk, WMG or TKO?

Warner Music Group has a beta of 1.25, indicating that its stock price is 25% more volatile than the S&P 500. Comparatively, TKO Group has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500.

Summary

Warner Music Group beats TKO Group on 13 of the 21 factors compared between the two stocks.