Universal Music Group NVCHIX:UMGA 75 EV-to-FCF is 31.48 as of Jul. 07, 2026, which is 10% below its 10-year median of 34.79. GuruFocus rates CHIX:UMGA with a GF Score™ of 75/100 and a GF Value™ of €27.70 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 610 Media - Diversified companies, Universal Music Group NV ranks worse than 76.72% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Universal Music Group NV's Enterprise Value is €37,746 Mil.
Universal Music Group NV's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was €1,199 Mil. Therefore, Universal Music Group NV's EV-to-FCF for today is 31.48.
The historical rank and industry rank for Universal Music Group NV's EV-to-FCF or its related term are showing as below:
CHIX:UMGa'
s EV-to-FCF Range Over the Past 10 Years
Min: -751.98 Med: 34.79 Max: 68.96
Current: 31.85
During the past 9 years, the highest EV-to-FCF of Universal Music Group NV was 68.96. The lowest was -751.98. And the median was 34.79.
CHIX:UMGa's EV-to-FCF is ranked worse than 76.72% of 610
companies
in the Media - Diversified industry
Industry Median: 11.69
vs CHIX:UMGa: 31.85
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Universal Music Group NV (CHIX:UMGa) EV-to-FCF Explanation
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Universal Music Group NV's PE Ratio (TTM) for today is calculated as:
Universal Music Group NV's share price for today is €18.72.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Universal Music Group NV's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was €0.830.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Universal Music Group NV EV-to-FCF Related Terms
Universal Music Group NV EV-to-FCF Historical Data
* 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.
For the Entertainment subindustry, Universal Music Group NV's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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.
Universal Music Group NV EV-to-FCF vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Universal Music Group NV's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Universal Music Group NV's EV-to-FCF falls into.
Universal Music Group NV's current Enterprise Value is €37,746 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Universal Music Group NV's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was €1,199 Mil.
* 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.
Universal Music Group NV (CHIX:UMGA) has a EV-to-FCF of 31.48 as of Jul. 07, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Universal Music Group NV and its competitors. This is 10% below median its historical median of 34.79. According to the industry distribution chart, Universal Music Group NV ranks #468 out of 610 companies in the Media - Diversified industry, placing it in the top 76.7%.
Is Universal Music Group NV's EV-to-FCF too high?
Universal Music Group NV's current EV-to-FCF of 31.48 is 10% below median its 10-year median of 34.79. The Media - Diversified industry median EV-to-FCF is 11.69. Universal Music Group NV's value of 31.48 is 169.3% above this industry median. Based on the distribution chart, Universal Music Group NV ranks #468 out of 610 companies in the Media - Diversified industry, which is in the bottom quartile relative to peers. Overall, Universal Music Group NV has a GF Score™ of 75/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Universal Music Group NV's EV-to-FCF compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Universal Music Group NV ranks #468 out of 610 companies for EV-to-FCF. This places Universal Music Group NV in the lower half of its industry. The industry median EV-to-FCF is 11.69. Universal Music Group NV's value of 31.48 is 169.3% above this benchmark. While the company's 10-year median is 34.79 vs. the industry median of 11.69, Universal Music Group NV 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 EV-to-FCF for a Media - Diversified company?
The median EV-to-FCF among Media - Diversified companies is 11.69, based on 610 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Universal Music Group NV's current EV-to-FCF of 31.48 is 169.3% 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 EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Universal Music Group NV and its competitors. For the Media - Diversified industry, the median EV-to-FCF is 11.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Universal Music Group NV's current EV-to-FCF is 31.48, which is 10% below median its own 10-year median of 34.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Universal Music Group NV stock overvalued right now?
Based on GuruFocus' analysis, Universal Music Group NV (CHIX:UMGA) is currently considered Possible Value Trap. The stock's GF Value™ is €27.70, compared to a current price of €18.72 — trading 32.4% below its estimated fair value. The current EV-to-FCF is 31.48, which is 10% below median its 10-year median of 34.79 and 169.3% above the Media - Diversified industry median of 11.69. Universal Music Group NV's overall GF Score™ is 75/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Universal Music Group NV (CHIX:UMGA), the current EV-to-FCF is 31.48 as of Jul. 07, 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 Universal Music Group NV (CHIX:UMGA) Overvalued in 2026?
Based on GuruFocus' analysis, Universal Music Group NV stock appears to be undervalued.
The current stock price of €18.72 is trading 32.4% below its estimated GF Value™ of €27.70.
GuruFocus considers Universal Music Group NV to be Possible Value Trap.
Key valuation signals for CHIX:UMGA:
EV-to-FCF: 31.48 (10% below median its 10-year median of 34.79)
GF Value™: €27.70 vs. price of €18.72 (32.4% below fair value)
Industry Position: 169.3% above the Media - Diversified median (#468 of 610)
No single metric tells the full story. See the CHIX:UMGA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Universal Music is the largest of the three major record companies. Recorded music accounts for most of the firm's revenue, with the segment housing more than a dozen record labels, including notable names like Interscope, Capital Music, Motown Records, and Def Jam. Some of the most successful current artists signed to record deals with Universal include Taylor Swift, Drake, The Weeknd, and Morgan Wallen. Most of Universal's remaining sales come from its publishing segment, which generates revenue for songwriters and composers, including some of Universal's recording artists as well as songwriters and composers who do not record music themselves or are attached to other labels. Universal's publishing group has nearly 4.5 million owned or administered titles in its catalog.
75GF Score
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