Universal Music Group NVCHIX:UMGA 75 Quick Ratio is 0.60 as of Dec. 2025, which is 2% below its 10-year median of 0.61. GuruFocus rates CHIX:UMGA with a GF Score™ of 75/100 and a GF Value™ of €27.36 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,032 Media - Diversified companies, Universal Music Group NV ranks worse than 83.04% on this metric.
Universal Music Group NV has a quick ratio of 0.60. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Universal Music Group NV's Quick Ratio or its related term are showing as below:
CHIX:UMGa'
s Quick Ratio Range Over the Past 10 Years
Min: 0.53 Med: 0.61 Max: 0.84
Current: 0.6
During the past 9 years, Universal Music Group NV's highest Quick Ratio was 0.84. The lowest was 0.53. And the median was 0.61.
CHIX:UMGa's Quick Ratio is ranked worse than 83.04% of 1032
companies
in the Media - Diversified industry
Industry Median: 1.45
vs CHIX:UMGa: 0.60
Universal Music Group NV (CHIX:UMGa) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Universal Music Group NV Quick Ratio Related Terms
Universal Music Group NV Quick Ratio 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.
CHIX:UMGA vs NFLX, DIS, WBD: Quick Ratio Comparison
For the Entertainment subindustry, Universal Music Group NV's Quick Ratio, along with its competitors' market caps and Quick 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.
Universal Music Group NV Quick Ratio vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Universal Music Group NV's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Universal Music Group NV's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Universal Music Group NV's Quick Ratio for the fiscal year that ended in Dec. 2025 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.
Universal Music Group NV (CHIX:UMGA) has a Quick Ratio of 0.60 as of Dec. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Universal Music Group NV and its competitors. This is near median its historical median of 0.61. Over the past decade, Universal Music Group NV's Quick Ratio has ranged from 0.53 to 0.84. According to the industry distribution chart, Universal Music Group NV ranks #857 out of 1032 companies in the Media - Diversified industry, placing it in the top 83%.
Is Universal Music Group NV's Quick Ratio too high?
Universal Music Group NV's current Quick Ratio of 0.60 is near median its 10-year median of 0.61. Over the past 10 years, this metric has ranged from a low of 0.53 to a high of 0.84. The Media - Diversified industry median Quick Ratio is 1.45. Universal Music Group NV's value of 0.60 is 58.6% below this industry median. Based on the distribution chart, Universal Music Group NV ranks #857 out of 1032 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 Quick Ratio compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Universal Music Group NV ranks #857 out of 1032 companies for Quick Ratio. This places Universal Music Group NV in the lower half of its industry. The industry median Quick Ratio is 1.45. Universal Music Group NV's value of 0.60 is 58.6% below this benchmark. Historically, Universal Music Group NV's own Quick Ratio has ranged from 0.53 to 0.84 over the past decade. While the company's 10-year median is 0.61 vs. the industry median of 1.45, Universal Music Group NV has consistently been below 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 Quick Ratio for a Media - Diversified company?
The median Quick Ratio among Media - Diversified companies is 1.45, based on 1,032 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Universal Music Group NV's current Quick Ratio of 0.60 is 58.6% below 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Universal Music Group NV and its competitors. For the Media - Diversified industry, the median Quick Ratio is 1.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Universal Music Group NV's current Quick Ratio is 0.60, which is near median its own 10-year median of 0.61. 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 €27.36, compared to a current price of €18.11 — trading 33.8% below its estimated fair value. The current Quick Ratio is 0.60, which is near median its 10-year median of 0.61 and 58.6% below the Media - Diversified industry median of 1.45. 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 Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Universal Music Group NV (CHIX:UMGA), the current Quick Ratio is 0.60 as of Dec. 2025. 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 €18.11 is trading 33.8% below its estimated GF Value™ of €27.36.
GuruFocus considers Universal Music Group NV to be Possible Value Trap.
Key valuation signals for CHIX:UMGA:
Quick Ratio: 0.60 (near median its 10-year median of 0.61)
GF Value™: €27.36 vs. price of €18.11 (33.8% below fair value)
Industry Position: 58.6% below the Media - Diversified median (#857 of 1032)
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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