CHT vs. WMG: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at CHT and WMG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
CHT trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, WMG is a standard domestic listing.
| Symbol | CHT | WMG |
|---|---|---|
| Company Name | Chunghwa Telecom Co., Ltd. | Warner Music Group Corp. |
| Country | Taiwan | United States |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Diversified Telecommunication Services | Entertainment |
| Market Capitalization | 34.56 billion USD | 17.76 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | July 18, 2003 | June 3, 2020 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of CHT and WMG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | CHT | WMG |
|---|---|---|
| 5-Day Price Return | -1.81% | 5.02% |
| 13-Week Price Return | 1.88% | 30.69% |
| 26-Week Price Return | 7.11% | -3.92% |
| 52-Week Price Return | 8.26% | 17.73% |
| Month-to-Date Return | 5.04% | 16.44% |
| Year-to-Date Return | 9.72% | 9.90% |
| 10-Day Avg. Volume | 8.73M | 2.34M |
| 3-Month Avg. Volume | 10.80M | 1.81M |
| 3-Month Volatility | 13.11% | 23.92% |
| Beta | 0.18 | 1.31 |
Profitability
Return on Equity (TTM)
CHT
9.99%
Diversified Telecommunication Services Industry
- Max
- 35.96%
- Q3
- 14.90%
- Median
- 8.29%
- Q1
- -0.99%
- Min
- -18.19%
CHT’s Return on Equity of 9.99% is on par with the norm for the Diversified Telecommunication Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
WMG
53.54%
Entertainment Industry
- Max
- 42.50%
- Q3
- 22.75%
- Median
- 12.88%
- Q1
- 7.15%
- Min
- -6.84%
WMG’s Return on Equity of 53.54% is exceptionally high, placing it well beyond the typical range for the Entertainment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
CHT
16.27%
Diversified Telecommunication Services Industry
- Max
- 28.40%
- Q3
- 13.05%
- Median
- 6.85%
- Q1
- -0.81%
- Min
- -18.76%
A Net Profit Margin of 16.27% places CHT in the upper quartile for the Diversified Telecommunication Services industry, signifying strong profitability and more effective cost management than most of its peers.
WMG
4.59%
Entertainment Industry
- Max
- 45.25%
- Q3
- 23.93%
- Median
- 14.60%
- Q1
- 4.89%
- Min
- -22.94%
Falling into the lower quartile for the Entertainment industry, WMG’s Net Profit Margin of 4.59% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin (TTM)
CHT
20.60%
Diversified Telecommunication Services Industry
- Max
- 37.46%
- Q3
- 22.24%
- Median
- 15.73%
- Q1
- 9.79%
- Min
- 2.06%
CHT’s Operating Profit Margin of 20.60% is around the midpoint for the Diversified Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
WMG
10.73%
Entertainment Industry
- Max
- 46.83%
- Q3
- 28.87%
- Median
- 15.26%
- Q1
- 8.95%
- Min
- -5.53%
WMG’s Operating Profit Margin of 10.73% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | CHT | WMG |
|---|---|---|
| Return on Equity (TTM) | 9.99% | 53.54% |
| Return on Assets (TTM) | 7.15% | 3.16% |
| Net Profit Margin (TTM) | 16.27% | 4.59% |
| Operating Profit Margin (TTM) | 20.60% | 10.73% |
| Gross Profit Margin (TTM) | 36.60% | 46.64% |
Financial Strength
Current Ratio (MRQ)
CHT
1.15
Diversified Telecommunication Services Industry
- Max
- 1.63
- Q3
- 1.14
- Median
- 0.92
- Q1
- 0.68
- Min
- 0.16
CHT’s Current Ratio of 1.15 is in the upper quartile for the Diversified Telecommunication Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
WMG
0.66
Entertainment Industry
- Max
- 6.80
- Q3
- 3.77
- Median
- 1.87
- Q1
- 0.86
- Min
- 0.39
WMG’s Current Ratio of 0.66 falls into the lower quartile for the Entertainment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
CHT
0.12
Diversified Telecommunication Services Industry
- Max
- 3.82
- Q3
- 2.06
- Median
- 1.32
- Q1
- 0.74
- Min
- 0.11
Falling into the lower quartile for the Diversified Telecommunication Services industry, CHT’s Debt-to-Equity Ratio of 0.12 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
WMG
7.41
Entertainment Industry
- Max
- 1.65
- Q3
- 0.71
- Median
- 0.14
- Q1
- 0.04
- Min
- 0.00
With a Debt-to-Equity Ratio of 7.41, WMG operates with exceptionally high leverage compared to the Entertainment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio (TTM)
CHT
166.33
Diversified Telecommunication Services Industry
- Max
- 14.66
- Q3
- 8.25
- Median
- 3.53
- Q1
- 1.47
- Min
- -2.60
With an Interest Coverage Ratio of 166.33, CHT demonstrates a superior capacity to service its debt, placing it well above the typical range for the Diversified Telecommunication Services industry. This stems from either robust earnings or a conservative debt load.
WMG
4.73
Entertainment Industry
- Max
- 62.11
- Q3
- 31.19
- Median
- 7.50
- Q1
- 2.02
- Min
- -6.33
WMG’s Interest Coverage Ratio of 4.73 is positioned comfortably within the norm for the Entertainment industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | CHT | WMG |
|---|---|---|
| Current Ratio (MRQ) | 1.15 | 0.66 |
| Quick Ratio (MRQ) | 0.99 | 0.45 |
| Debt-to-Equity Ratio (MRQ) | 0.12 | 7.41 |
| Interest Coverage Ratio (TTM) | 166.33 | 4.73 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
CHT
3.45%
Diversified Telecommunication Services Industry
- Max
- 10.34%
- Q3
- 5.44%
- Median
- 3.89%
- Q1
- 1.73%
- Min
- 0.00%
CHT’s Dividend Yield of 3.45% is consistent with its peers in the Diversified Telecommunication Services industry, providing a dividend return that is standard for its sector.
WMG
2.42%
Entertainment Industry
- Max
- 2.54%
- Q3
- 1.29%
- Median
- 0.61%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.42%, WMG offers a more attractive income stream than most of its peers in the Entertainment industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
CHT
409.88%
Diversified Telecommunication Services Industry
- Max
- 270.06%
- Q3
- 135.21%
- Median
- 76.62%
- Q1
- 35.06%
- Min
- 0.00%
At 409.88%, CHT’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Diversified Telecommunication Services industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
WMG
82.30%
Entertainment Industry
- Max
- 82.30%
- Q3
- 45.76%
- Median
- 29.16%
- Q1
- 0.00%
- Min
- 0.00%
WMG’s Dividend Payout Ratio of 82.30% is in the upper quartile for the Entertainment industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | CHT | WMG |
|---|---|---|
| Dividend Yield (TTM) | 3.45% | 2.42% |
| Dividend Payout Ratio (TTM) | 409.88% | 82.30% |
Valuation
Price-to-Earnings Ratio (TTM)
CHT
28.19
Diversified Telecommunication Services Industry
- Max
- 33.39
- Q3
- 23.91
- Median
- 16.72
- Q1
- 13.00
- Min
- 4.13
A P/E Ratio of 28.19 places CHT in the upper quartile for the Diversified Telecommunication Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
WMG
52.44
Entertainment Industry
- Max
- 53.51
- Q3
- 45.31
- Median
- 33.16
- Q1
- 18.21
- Min
- 3.89
A P/E Ratio of 52.44 places WMG in the upper quartile for the Entertainment industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
CHT
4.59
Diversified Telecommunication Services Industry
- Max
- 4.75
- Q3
- 2.60
- Median
- 1.62
- Q1
- 0.94
- Min
- 0.35
CHT’s P/S Ratio of 4.59 is in the upper echelon for the Diversified Telecommunication Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
WMG
2.41
Entertainment Industry
- Max
- 12.81
- Q3
- 7.20
- Median
- 4.68
- Q1
- 3.32
- Min
- 0.79
In the lower quartile for the Entertainment industry, WMG’s P/S Ratio of 2.41 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio (MRQ)
CHT
2.86
Diversified Telecommunication Services Industry
- Max
- 5.77
- Q3
- 3.45
- Median
- 2.10
- Q1
- 1.19
- Min
- 0.32
CHT’s P/B Ratio of 2.86 is within the conventional range for the Diversified Telecommunication Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
WMG
24.11
Entertainment Industry
- Max
- 17.11
- Q3
- 8.38
- Median
- 5.24
- Q1
- 2.18
- Min
- 0.67
At 24.11, WMG’s P/B Ratio is at an extreme premium to the Entertainment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | CHT | WMG |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 28.19 | 52.44 |
| Price-to-Sales Ratio (TTM) | 4.59 | 2.41 |
| Price-to-Book Ratio (MRQ) | 2.86 | 24.11 |
| Price-to-Free Cash Flow Ratio (TTM) | 21.80 | 26.81 |