Volatility is a statistical measure of the dispersion of returns for a given security or market index, it shows how the price swings around its mean. The volatility here is measured as the annualized standard deviation between monthly returns from the security over the past year. In most cases, the higher the volatility, the riskier the security.
Universal Music Group NV (OTCPK:UMGNF) Volatility Explanation
Volatility is a statistical measure of the dispersion of returns for a given security or market index. It’s often measured as standard deviation or variance of historical returns over a certain period. The volatility here is measured as the annualized standard deviation between monthly returns from the security over the past year.
Volatility reflects the uncertainty or risk of a security’s value. Generally speaking, a higher volatility suggests a higher risk, because it implies a wider fluctuation around average price. This means the price of the security can change dramatically in either direction within a short period. Conversely, a lower volatility means that the security's price is more steady, which suggests a lower risk.
Another measurement of relative volatility is Beta. Beta is a measure of systematic risk of a security or a portfolio in comparison to the market as a whole. Beta is usually compared to 1. A beta of greater than 1 indicates that the security's price will be more volatile than the market.
Universal Music Group NV Volatility Related Terms
UMGNF vs NFLX, DIS, WBD: Volatility Comparison
For the Entertainment subindustry, Universal Music Group NV's Volatility, along with its competitors' market caps and Volatility 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 Volatility vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Universal Music Group NV's Volatility distribution charts can be found below:
* The bar in red indicates where Universal Music Group NV's Volatility falls into.
Universal Music Group NV (OTCPK:UMGNF) Volatility Calculation
The annualized volatility is calculated as following:
σA
=
σM
*
√12
=
√ 1/(n-1) ∑(Ri - R')^2
*
√12
Where: σM is the monthly volatility, n is the number of months in the period, Ri is the security's historical monthly returns and R' is the arithmetic mean of monthly returns.
* 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 (UMGNF) has a Volatility of 23.50% as of Jun. 27, 2026. Volatility is measured as the annualized standard deviation between monthly returns from the security over the past year. View historical data on Universal Music Group NV and its competitors.
Is Universal Music Group NV's Volatility too high?
Universal Music Group NV's current Volatility is 23.50%. Overall, Universal Music Group NV has a GF Score™ of 77/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Universal Music Group NV's Volatility compare to NFLX and DIS?
Universal Music Group NV's Volatility of 23.50% can be compared against companies in the Media - Diversified industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Volatility for a Media - Diversified company?
A good Volatility depends on the Media - Diversified industry context. However, Volatility should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Volatility mean?
A high Volatility can signal that a stock is expensive relative to its fundamentals. Volatility is measured as the annualized standard deviation between monthly returns from the security over the past year. View historical data on Universal Music Group NV and its competitors. Universal Music Group NV's current Volatility is 23.50%. 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 (UMGNF) is currently considered Possible Value Trap. The stock's GF Value™ is $32.36, compared to a current price of $20.69 — trading 36.1% below its estimated fair value. The current Volatility is 23.50%. Universal Music Group NV's overall GF Score™ is 77/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Volatility calculated?
Volatility is calculated from a company's financial statements. For Universal Music Group NV (UMGNF), the current Volatility is 23.50% as of Jun. 27, 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 (UMGNF) Overvalued in 2026?
Based on GuruFocus' analysis, Universal Music Group NV stock appears to be undervalued.
The current stock price of $20.69 is trading 36.1% below its estimated GF Value™ of $32.36.
GuruFocus considers Universal Music Group NV to be Possible Value Trap.
Key valuation signals for UMGNF:
Volatility: 23.50%
GF Value™: $32.36 vs. price of $20.69 (36.1% below fair value)
No single metric tells the full story. See the UMGNF 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.
77GF Score
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