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Warner Music GroupHAM:WA4 -2.42%76 Cyclically Adjusted PS Ratio is 2.38 as of Jul. 20, 2026, which is 26% below its 10-year median of 3.21. GuruFocus rates HAM:WA4 with a GF Score™ of 76/100 and a GF Value™ of €29.98. The stock has 2 warning signs investors should review. Among 733 Media - Diversified companies, Warner Music Group ranks worse than 80.76% on this metric.
The historical rank and industry rank for Warner Music Group's Cyclically Adjusted PS Ratio or its related term are showing as below:
HAM:WA4'
s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 2.05 Med: 3.21 Max: 6.11
Current: 2.37
During the past years, Warner Music Group's highest Cyclically Adjusted PS Ratio was 6.11. The lowest was 2.05. And the median was 3.21.
HAM:WA4's Cyclically Adjusted PS Ratio is ranked worse than 80.76% of 733
companies
in the Media - Diversified industry
Industry Median: 0.78
vs HAM:WA4: 2.37
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 Mar. 2026 was €2.855. 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 €10.15 for the trailing ten years ended in Mar. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Warner Music Group (HAM:WA4) 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
Warner Music Group Cyclically Adjusted PS Ratio Historical Data
* Premium members only.
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.
Warner Music Group Cyclically Adjusted PS Ratio Chart
HAM:WA4 vs NWSA, TKO, PSKY: Cyclically Adjusted PS Ratio Comparison
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 Cyclically Adjusted PS Ratio vs 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
* 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.
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.
What does a Cyclically Adjusted PS Ratio of 2.38 mean?
Warner Music Group (HAM:WA4) has a Cyclically Adjusted PS Ratio of 2.38 as of Jul. 20, 2026. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Warner Music Group and its competitors. This is 26% below median its historical median of 3.21. Over the past decade, Warner Music Group's Cyclically Adjusted PS Ratio has ranged from 2.05 to 6.11. According to the industry distribution chart, Warner Music Group ranks #592 out of 733 companies in the Media - Diversified industry, placing it in the top 80.8%.
Is Warner Music Group's Cyclically Adjusted PS Ratio too high?
Warner Music Group's current Cyclically Adjusted PS Ratio of 2.38 is 26% below median its 10-year median of 3.21. Over the past 10 years, this metric has ranged from a low of 2.05 to a high of 6.11. The Media - Diversified industry median Cyclically Adjusted PS Ratio is 0.78. Warner Music Group's value of 2.38 is 205.1% above this industry median. Based on the distribution chart, Warner Music Group ranks #592 out of 733 companies in the Media - Diversified industry, which is in the bottom quartile relative to peers. Overall, Warner Music Group has a GF Score™ of 76/100, reflecting its overall financial health beyond just this single metric.
How does Warner Music Group's Cyclically Adjusted PS Ratio compare to NWSA and TKO?
According to the Media - Diversified industry distribution chart, Warner Music Group ranks #592 out of 733 companies for Cyclically Adjusted PS Ratio. This places Warner Music Group in the lower half of its industry. The industry median Cyclically Adjusted PS Ratio is 0.78. Warner Music Group's value of 2.38 is 205.1% above this benchmark. Historically, Warner Music Group's own Cyclically Adjusted PS Ratio has ranged from 2.05 to 6.11 over the past decade. While the company's 10-year median is 3.21 vs. the industry median of 0.78, Warner Music Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PS Ratio for a Media - Diversified company?
The median Cyclically Adjusted PS Ratio among Media - Diversified companies is 0.78, based on 733 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Warner Music Group's current Cyclically Adjusted PS Ratio of 2.38 is 205.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PS Ratio mean?
A high Cyclically Adjusted PS Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Warner Music Group and its competitors. For the Media - Diversified industry, the median Cyclically Adjusted PS Ratio is 0.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Warner Music Group's current Cyclically Adjusted PS Ratio is 2.38, which is 26% below median its own 10-year median of 3.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Warner Music Group stock overvalued right now?
Warner Music Group (HAM:WA4) has a current Cyclically Adjusted PS Ratio of 2.38. The stock's GF Value™ is €29.98, compared to a current price of €24.17 — trading 19.4% below its estimated fair value. The current Cyclically Adjusted PS Ratio is 2.38, which is 26% below median its 10-year median of 3.21 and 205.1% above the Media - Diversified industry median of 0.78. Warner Music Group's overall GF Score™ is 76/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PS Ratio calculated?
Cyclically Adjusted PS Ratio is calculated from a company's financial statements. For Warner Music Group (HAM:WA4), the current Cyclically Adjusted PS Ratio is 2.38 as of Jul. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Warner Music Group (HAM:WA4) Overvalued in 2026?
Based on GuruFocus' analysis, Warner Music Group stock appears to be undervalued.
The current stock price of €24.17 is trading 19.4% below its estimated GF Value™ of €29.98.
Key valuation signals for HAM:WA4:
Cyclically Adjusted PS Ratio: 2.38 (26% below median its 10-year median of 3.21)
GF Value™: €29.98 vs. price of €24.17 (19.4% below fair value)
Industry Position: 205.1% above the Media - Diversified median (#592 of 733)
No single metric tells the full story. See the HAM:WA4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
76GF Score
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Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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