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GOOG vs. WMG: Alphabet vs. Warner Music Stock Comparison

How do Alphabet (GOOG) and Warner Music (WMG) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Alphabet (GOOG) and Warner Music (WMG) both fall under the Media & Entertainment industry group, but GOOG is classified in Interactive Media & Services while WMG is classified in Entertainment.

Alphabet (GOOG) has more than two decades of public-market history since August 19, 2004, whereas Warner Music (WMG) listed on June 3, 2020 and has a much shorter record to draw on.

Company profile comparison for Alphabet (GOOG) and Warner Music (WMG)
Profile ItemGOOGWMG
NameAlphabet Inc. Class C Common StockWarner Music Group Corp.
Country/RegionUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS Industry GroupMedia & EntertainmentMedia & Entertainment
GICS IndustryInteractive Media & ServicesEntertainment
GICS Sub-IndustryInteractive Media & ServicesMovies & Entertainment
Market Capitalization3,490.64 billion USD16.37 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateAugust 19, 2004June 3, 2020
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

GOOG
WMG
GSPC
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Alphabet (GOOG) vs. Warner Music (WMG), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Alphabet (GOOG) and Warner Music (WMG). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Alphabet (GOOG) and Warner Music (WMG). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Total Return (1Y)3.83%6.98%
Total Return (3Y, Annualized)30.46%1.34%
Total Return (5Y, Annualized)14.40%-6.02%

Risk Profile

Drawdown History

GOOG
WMG
GSPC
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Alphabet (GOOG) vs. Warner Music (WMG), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Alphabet (GOOG) and Warner Music (WMG). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Volatility (1Y, Annualized)33.07%35.24%
Beta (5Y)1.191.31
Max Drawdown (5Y)-44.60%-53.17%
Avg. Volume (3M)19.07M2.05M

Risk-Adjusted Performance

Risk-Return Positioning

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GOOG and WMG are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Sharpe Ratio (1Y)-0.010.08
Sortino Ratio (1Y)-0.020.11

Profitability

ROE (TTM)

Both companies show strong equity returns, but Warner Music (WMG) at 70.07% is the standout with ROE above its industry range; Alphabet (GOOG) at 44.29% also sits in the top quartile.

GOOG

Media & Entertainment industry group

44.29%

Max
49.92%
GOOG
44.29%
Q3
17.95%
Median
7.20%
Q1
-4.53%
Min
-26.31%

WMG

Media & Entertainment industry group

70.07%

WMG
70.07%
Max
49.92%
Q3
17.95%
Median
7.20%
Q1
-4.53%
Min
-26.31%
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their ROE against the Media & Entertainment industry group benchmark.

Net Margin (TTM)

Alphabet (GOOG) at 50.03% converts revenue to bottom-line profit above its industry’s benchmark range, while Warner Music (WMG) at 9.20% keeps roughly the typical share for its industry.

GOOG

Media & Entertainment industry group

50.03%

GOOG
50.03%
Max
32.91%
Q3
11.75%
Median
5.04%
Q1
-4.17%
Min
-25.14%

WMG

Media & Entertainment industry group

9.20%

Max
32.91%
Q3
11.75%
WMG
9.20%
Median
5.04%
Q1
-4.17%
Min
-25.14%
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their net margin against the Media & Entertainment industry group benchmark.

Operating Margin (TTM)

Alphabet (GOOG) at 31.81% operates in the top operating margin quartile, ahead of Warner Music (WMG) at 16.74%, which runs around its industry’s norm.

GOOG

Media & Entertainment industry group

31.81%

Max
40.16%
GOOG
31.81%
Q3
18.72%
Median
8.63%
Q1
1.90%
Min
-22.08%

WMG

Media & Entertainment industry group

16.74%

Max
40.16%
Q3
18.72%
WMG
16.74%
Median
8.63%
Q1
1.90%
Min
-22.08%
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their operating margin against the Media & Entertainment industry group benchmark.

Profitability Metrics

Profitability metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
ROE (TTM)44.29%70.07%
ROA (TTM)12.74%7.65%
Net Margin (TTM)50.03%9.20%
Operating Margin (TTM)31.81%16.74%
Gross Margin (TTM)60.86%45.77%

Growth

Revenue Growth

Alphabet (GOOG) at 15.09% sits in the top revenue growth quartile, while Warner Music (WMG) at 4.37% is closer to the peer norm — faster top-line expansion for GOOG.

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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Alphabet (GOOG) at 34.45% and Warner Music (WMG) at -16.87% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Revenue Growth (YoY)15.09%4.37%
Revenue Growth (3Y CAGR)12.51%4.25%
EPS Growth (YoY)34.45%-16.87%
EPS Growth (3Y CAGR)33.34%-13.33%

Financial Strength

Current Ratio (MRQ)

Alphabet (GOOG) at 2.79 carries current ratio above its industry’s typical mid-range, while Warner Music (WMG) at 0.73 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

GOOG

Media & Entertainment industry group

2.79

Max
4.69
GOOG
2.79
Q3
2.53
Median
1.52
Q1
0.95
Min
0.28

WMG

Media & Entertainment industry group

0.73

Max
4.69
Q3
2.53
Median
1.52
Q1
0.95
WMG
0.73
Min
0.28
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their current ratio against the Media & Entertainment industry group benchmark.

Debt / Equity (MRQ)

Alphabet (GOOG) at 0.22 is near its industry mid-range for debt-to-equity ratio, while Warner Music (WMG) at 4.53 sits above its benchmark range, pointing to a heavier debt load relative to equity.

GOOG

Media & Entertainment industry group

0.22

Max
3.65
Q3
1.69
Median
0.46
GOOG
0.22
Q1
0.17
Min
0.00

WMG

Media & Entertainment industry group

4.53

WMG
4.53
Max
3.65
Q3
1.69
Median
0.46
Q1
0.17
Min
0.00
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their debt-to-equity ratio against the Media & Entertainment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Current Ratio (MRQ)2.790.73
Debt / Equity (MRQ)0.224.53
Net Debt / EBITDA-0.622.57

Dividends

Dividend Yield (TTM)

Alphabet (GOOG) at 0.31% pays an industry-typical yield; Warner Music (WMG) at 2.38% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.

GOOG

Media & Entertainment industry group

0.31%

Max
1.33%
Q3
0.65%
GOOG
0.31%
Median
0.00%
Q1
0.00%
Min
0.00%

WMG

Media & Entertainment industry group

2.38%

WMG
2.38%
Max
1.33%
Q3
0.65%
Median
0.00%
Q1
0.00%
Min
0.00%
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their dividend yield against the Media & Entertainment industry group benchmark.

Dividend Payout Ratio (TTM)

Alphabet (GOOG) at 4.49% pays out a band-typical share of earnings, while Warner Music (WMG) at 60.80% distributes more than its industry norm — less retained, thinner cover.

GOOG

Media & Entertainment industry group

4.49%

Max
71.43%
Q3
28.98%
GOOG
4.49%
Median
0.00%
Q1
0.00%
Min
0.00%

WMG

Media & Entertainment industry group

60.80%

Max
71.43%
WMG
60.80%
Q3
28.98%
Median
0.00%
Q1
0.00%
Min
0.00%
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their payout ratio against the Media & Entertainment industry group benchmark.

Dividend Metrics

Dividend metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
Dividend Yield (TTM)0.31%2.38%
Dividend Payout Ratio (TTM)4.49%60.80%

Valuation

P/E Ratio (TTM)

Both Alphabet (GOOG) at 14.83 and Warner Music (WMG) at 25.04 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

GOOG

Media & Entertainment industry group

14.83

Max
51.21
Q3
28.90
Median
17.98
GOOG
14.83
Q1
11.53
Min
1.64

WMG

Media & Entertainment industry group

25.04

Max
51.21
Q3
28.90
WMG
25.04
Median
17.98
Q1
11.53
Min
1.64
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their P/E ratio against the Media & Entertainment industry group benchmark.

P/S Ratio (TTM)

Warner Music (WMG) at 2.24 is priced about in line with its industry on P/S ratio, while Alphabet (GOOG) at 7.41 sits in the pricier quartile — GOOG costs more per dollar of sales.

GOOG

Media & Entertainment industry group

7.41

Max
7.43
GOOG
7.41
Q3
3.82
Median
1.40
Q1
0.70
Min
0.00

WMG

Media & Entertainment industry group

2.24

Max
7.43
Q3
3.82
WMG
2.24
Median
1.40
Q1
0.70
Min
0.00
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their P/S ratio against the Media & Entertainment industry group benchmark.

P/B Ratio (MRQ)

Alphabet (GOOG) at 5.29 sits near its industry’s typical P/B ratio, while Warner Music (WMG) at 19.17 prices above its benchmark range — WMG looks rich relative to book.

GOOG

Media & Entertainment industry group

5.29

Max
11.45
Q3
5.30
GOOG
5.29
Median
1.84
Q1
0.77
Min
-2.61

WMG

Media & Entertainment industry group

19.17

WMG
19.17
Max
11.45
Q3
5.30
Median
1.84
Q1
0.77
Min
-2.61
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Alphabet (GOOG) vs. Warner Music (WMG): A comparison of their P/B ratio against the Media & Entertainment industry group benchmark.

Valuation Metrics

Valuation metrics for Alphabet (GOOG) and Warner Music (WMG)
MetricGOOGWMG
P/E Ratio (TTM)14.8325.04
P/S Ratio (TTM)7.412.24
P/B Ratio (MRQ)5.2919.17
Free Cash Flow Yield (TTM)-0.03%2.33%