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LBRDA vs. WMG: A Head-to-Head Stock Comparison

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Here’s a clear look at LBRDA and WMG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolLBRDAWMG
Company NameLiberty Broadband CorporationWarner Music Group Corp.
CountryUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS IndustryMediaEntertainment
Market Capitalization8.87 billion USD17.68 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateNovember 4, 2014June 3, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of LBRDA 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.

LBRDA vs. WMG: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolLBRDAWMG
5-Day Price Return0.33%4.21%
13-Week Price Return-35.95%29.66%
26-Week Price Return-23.45%-3.80%
52-Week Price Return-0.03%15.97%
Month-to-Date Return0.65%15.93%
Year-to-Date Return-17.25%9.42%
10-Day Avg. Volume0.13M2.26M
3-Month Avg. Volume0.19M1.83M
3-Month Volatility49.94%23.97%
Beta1.021.31

Profitability

Return on Equity (TTM)

LBRDA

10.91%

Media Industry

Max
34.77%
Q3
16.01%
Median
10.70%
Q1
2.80%
Min
-2.36%

LBRDA’s Return on Equity of 10.91% is on par with the norm for the Media 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.

LBRDA vs. WMG: A comparison of their Return on Equity (TTM) against their respective Media and Entertainment industry benchmarks.

Net Profit Margin (TTM)

LBRDA

103.04%

Media Industry

Max
16.04%
Q3
10.15%
Median
5.18%
Q1
2.39%
Min
-3.66%

LBRDA’s Net Profit Margin of 103.04% is exceptionally high, placing it well beyond the typical range for the Media industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

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.

LBRDA vs. WMG: A comparison of their Net Profit Margin (TTM) against their respective Media and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

LBRDA

8.94%

Media Industry

Max
24.65%
Q3
13.68%
Median
8.96%
Q1
4.53%
Min
-8.09%

LBRDA’s Operating Profit Margin of 8.94% is around the midpoint for the Media 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.

LBRDA vs. WMG: A comparison of their Operating Profit Margin (TTM) against their respective Media and Entertainment industry benchmarks.

Profitability at a Glance

SymbolLBRDAWMG
Return on Equity (TTM)10.91%53.54%
Return on Assets (TTM)6.51%3.16%
Net Profit Margin (TTM)103.04%4.59%
Operating Profit Margin (TTM)8.94%10.73%
Gross Profit Margin (TTM)99.56%46.64%

Financial Strength

Current Ratio (MRQ)

LBRDA

0.60

Media Industry

Max
2.97
Q3
1.79
Median
1.39
Q1
0.92
Min
0.24

LBRDA’s Current Ratio of 0.60 falls into the lower quartile for the Media industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

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.

LBRDA vs. WMG: A comparison of their Current Ratio (MRQ) against their respective Media and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

LBRDA

0.32

Media Industry

Max
2.02
Q3
1.06
Median
0.58
Q1
0.31
Min
0.00

LBRDA’s Debt-to-Equity Ratio of 0.32 is typical for the Media industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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.

LBRDA vs. WMG: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Media and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

LBRDA

0.43

Media Industry

Max
44.57
Q3
23.07
Median
4.52
Q1
2.14
Min
-10.82

LBRDA’s Interest Coverage Ratio of 0.43 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.

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.

LBRDA vs. WMG: A comparison of their Interest Coverage Ratio (TTM) against their respective Media and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolLBRDAWMG
Current Ratio (MRQ)0.600.66
Quick Ratio (MRQ)0.520.45
Debt-to-Equity Ratio (MRQ)0.327.41
Interest Coverage Ratio (TTM)0.434.73

Growth

Revenue Growth

LBRDA vs. WMG: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

LBRDA vs. WMG: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

LBRDA

0.00%

Media Industry

Max
7.76%
Q3
4.16%
Median
1.67%
Q1
0.00%
Min
0.00%

LBRDA currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

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.

LBRDA vs. WMG: A comparison of their Dividend Yield (TTM) against their respective Media and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

LBRDA

0.00%

Media Industry

Max
165.03%
Q3
96.17%
Median
45.64%
Q1
14.80%
Min
0.00%

LBRDA has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

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.

LBRDA vs. WMG: A comparison of their Dividend Payout Ratio (TTM) against their respective Media and Entertainment industry benchmarks.

Dividend at a Glance

SymbolLBRDAWMG
Dividend Yield (TTM)0.00%2.42%
Dividend Payout Ratio (TTM)0.00%82.30%

Valuation

Price-to-Earnings Ratio (TTM)

LBRDA

8.21

Media Industry

Max
49.10
Q3
35.07
Median
17.34
Q1
10.39
Min
5.81

In the lower quartile for the Media industry, LBRDA’s P/E Ratio of 8.21 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

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.

LBRDA vs. WMG: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Media and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

LBRDA

8.46

Media Industry

Max
3.23
Q3
1.85
Median
1.05
Q1
0.78
Min
0.22

With a P/S Ratio of 8.46, LBRDA trades at a valuation that eclipses even the highest in the Media industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

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.

LBRDA vs. WMG: A comparison of their Price-to-Sales Ratio (TTM) against their respective Media and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

LBRDA

1.35

Media Industry

Max
4.30
Q3
2.57
Median
1.83
Q1
1.19
Min
0.51

LBRDA’s P/B Ratio of 1.35 is within the conventional range for the Media 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.

LBRDA vs. WMG: A comparison of their Price-to-Book Ratio (MRQ) against their respective Media and Entertainment industry benchmarks.

Valuation at a Glance

SymbolLBRDAWMG
Price-to-Earnings Ratio (TTM)8.2152.44
Price-to-Sales Ratio (TTM)8.462.41
Price-to-Book Ratio (MRQ)1.3524.11
Price-to-Free Cash Flow Ratio (TTM)178.0926.81