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Warner Music Group (BSP:W1MG34) Cyclically Adjusted PS Ratio : 2.97 (As of Mar. 04, 2025)


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What is Warner Music Group Cyclically Adjusted PS Ratio?

As of today (2025-03-04), Warner Music Group's current share price is R$49.40. Warner Music Group's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2024 was R$16.65. Warner Music Group's Cyclically Adjusted PS Ratio for today is 2.97.

The historical rank and industry rank for Warner Music Group's Cyclically Adjusted PS Ratio or its related term are showing as below:

BSP:W1MG34' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 2.47   Med: 3.34   Max: 6.11
Current: 3.08

During the past years, Warner Music Group's highest Cyclically Adjusted PS Ratio was 6.11. The lowest was 2.47. And the median was 3.34.

BSP:W1MG34's Cyclically Adjusted PS Ratio is ranked worse than
84.17% of 619 companies
in the Media - Diversified industry
Industry Median: 0.95 vs BSP:W1MG34: 3.08

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Warner Music Group's adjusted revenue per share data for the three months ended in Dec. 2024 was R$4.901. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is R$16.65 for the trailing ten years ended in Dec. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Warner Music Group Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Warner Music Group's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Warner Music Group Cyclically Adjusted PS Ratio Chart

Warner Music Group Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.35 5.28 2.52 3.14 2.93

Warner Music Group Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.55 3.18 2.91 2.93 2.87

Competitive Comparison of Warner Music Group's Cyclically Adjusted PS Ratio

For the Entertainment subindustry, Warner Music Group's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Warner Music Group's Cyclically Adjusted PS Ratio Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Warner Music Group's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Warner Music Group's Cyclically Adjusted PS Ratio falls into.



Warner Music Group Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Warner Music Group's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=49.40/16.65
=2.97

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Warner Music Group's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2024 is calculated as:

For example, Warner Music Group's adjusted Revenue per Share data for the three months ended in Dec. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=4.901/133.1571*133.1571
=4.901

Current CPI (Dec. 2024) = 133.1571.

Warner Music Group Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201503 1.059 99.621 1.415
201506 1.100 100.684 1.455
201509 1.458 100.392 1.934
201512 1.641 99.792 2.190
201603 1.372 100.470 1.818
201606 1.383 101.688 1.811
201609 1.363 101.861 1.782
201612 1.532 101.863 2.003
201703 1.285 102.862 1.663
201706 1.505 103.349 1.939
201709 1.431 104.136 1.830
201712 1.715 104.011 2.196
201803 1.573 105.290 1.989
201806 1.799 106.317 2.253
201809 2.126 106.507 2.658
201812 2.327 105.998 2.923
201903 2.085 107.251 2.589
201906 2.032 108.070 2.504
201909 2.306 108.329 2.835
201912 2.567 108.420 3.153
202003 2.606 108.902 3.186
202006 2.599 108.767 3.182
202009 2.980 109.815 3.613
202012 3.361 109.897 4.072
202103 3.424 111.754 4.080
202106 3.275 114.631 3.804
202109 3.531 115.734 4.063
202112 4.431 117.630 5.016
202203 3.325 121.301 3.650
202206 3.510 125.017 3.739
202209 3.812 125.227 4.053
202212 3.788 125.222 4.028
202303 3.531 127.348 3.692
202306 3.678 128.729 3.805
202309 3.795 129.860 3.891
202312 4.146 129.419 4.266
202403 3.592 131.776 3.630
202406 4.040 132.554 4.058
202409 4.357 133.029 4.361
202412 4.901 133.157 4.901

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Warner Music Group  (BSP:W1MG34) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Warner Music Group Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Warner Music Group's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Warner Music Group Business Description

Traded in Other Exchanges
Address
1633 Broadway, New York, NY, USA, 10019
Warner Music is the third-largest of the three major record companies. Recorded music accounts for most of the firm's revenue, with the segment housing notable record labels including Atlantic Records, Warner Records, Elektra Records. Some of the most successful current artists signed to record deals with Warner include Ed Sheeran, Bruno Mars, Cardi B, and Dua Lipa. Warner's remaining revenue comes from its publishing business, where Warner Chappell represents more than 180,000 songwriters and composers, some of whom are also Warner recording artists but many of whom are not recording artists or are attached to other labels. Warner Chappell controls more than 1 million musical compositions. Access Industries controls 98% of Warner's voting rights, while holding a 72% economic interest.

Warner Music Group Headlines

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