These Analysts Cut Their Forecasts On Warner Music Following Q4 Earnings

Warner Music Group Corp (NASDAQ:WMG) reported downbeat fiscal fourth-quarter 2024 earnings on Thursday.

GAAP EPS of 8 cents missed the analyst consensus estimate of 27 cents. Revenue grew 2.8% year-on-year to $1.63 billion, beating the analyst consensus estimate of $1.59 billion.

Recorded Music revenue grew by 4.0% Y/Y at $1.34 billion in the quarter. Music Publishing revenue decreased by 1.0% Y/Y to $295 million. Digital revenue remained flat Y/Y at $1.07 billion.

Adjusted OIBDA increased by 11.4% compared to the previous year, reaching $353 million, and the margin improved by 170 basis points to 21.7%, driven by strong operating performance and savings from the company's restructuring plans.

Warner Music shares gained 2.7% to trade at $32.01 on Friday.

These analysts made changes to their price targets on Warner Music following earnings announcement.

  • Barclays analyst Kannan Venkateshwar maintained Warner Music with an Equal-Weight rating and lowered the price target from $32 to $31.
  • JP Morgan analyst David Karnovsky maintained the stock with an Overweight and lowered the price target from $41 to $40.
  • Guggenheim analyst Michael Morris reiterated Warner Music with a Buy and maintained a $44 price target.

Considering buying WMG stock? Here’s what analysts think:

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