NWSA vs. WMG: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at NWSA and WMG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | NWSA | WMG |
|---|---|---|
| Company Name | News Corporation | Warner Music Group Corp. |
| Country | United States | United States |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Media | Entertainment |
| Market Capitalization | 15.83 billion USD | 17.02 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | June 19, 2013 | June 3, 2020 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of NWSA 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 | NWSA | WMG |
|---|---|---|
| 5-Day Price Return | -5.36% | -4.50% |
| 13-Week Price Return | -8.06% | 8.87% |
| 26-Week Price Return | 3.64% | 5.56% |
| 52-Week Price Return | 3.96% | 6.18% |
| Month-to-Date Return | -12.02% | -4.14% |
| Year-to-Date Return | -1.89% | 5.32% |
| 10-Day Avg. Volume | 5.06M | 1.53M |
| 3-Month Avg. Volume | 3.68M | 1.85M |
| 3-Month Volatility | 22.45% | 22.78% |
| Beta | 1.00 | 1.30 |
Profitability
Return on Equity (TTM)
NWSA
14.14%
Media Industry
- Max
- 31.00%
- Q3
- 15.18%
- Median
- 10.91%
- Q1
- 4.47%
- Min
- -5.88%
NWSA’s Return on Equity of 14.14% 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
- 24.06%
- Median
- 13.69%
- Q1
- 5.35%
- Min
- -17.95%
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)
NWSA
13.21%
Media Industry
- Max
- 20.69%
- Q3
- 11.93%
- Median
- 6.49%
- Q1
- 2.47%
- Min
- -4.90%
A Net Profit Margin of 13.21% places NWSA in the upper quartile for the Media industry, signifying strong profitability and more effective cost management than most of its peers.
WMG
4.59%
Entertainment Industry
- Max
- 45.33%
- Q3
- 24.40%
- Median
- 13.94%
- Q1
- 4.28%
- Min
- -23.67%
WMG’s Net Profit Margin of 4.59% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
NWSA
10.27%
Media Industry
- Max
- 24.30%
- Q3
- 13.57%
- Median
- 9.15%
- Q1
- 4.63%
- Min
- -6.28%
NWSA’s Operating Profit Margin of 10.27% 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
- 41.77%
- Q3
- 28.26%
- Median
- 16.13%
- Q1
- 8.03%
- Min
- -3.93%
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 | NWSA | WMG |
|---|---|---|
| Return on Equity (TTM) | 14.14% | 53.54% |
| Return on Assets (TTM) | 7.24% | 3.16% |
| Net Profit Margin (TTM) | 13.21% | 4.59% |
| Operating Profit Margin (TTM) | 10.27% | 10.73% |
| Gross Profit Margin (TTM) | 54.70% | 46.64% |
Financial Strength
Current Ratio (MRQ)
NWSA
1.84
Media Industry
- Max
- 3.59
- Q3
- 1.97
- Median
- 1.28
- Q1
- 0.86
- Min
- 0.33
NWSA’s Current Ratio of 1.84 aligns with the median group of the Media industry, indicating that its short-term liquidity is in line with its sector peers.
WMG
0.66
Entertainment Industry
- Max
- 6.76
- Q3
- 4.02
- Median
- 1.55
- Q1
- 0.86
- Min
- 0.38
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)
NWSA
0.22
Media Industry
- Max
- 2.13
- Q3
- 1.11
- Median
- 0.55
- Q1
- 0.25
- Min
- 0.00
Falling into the lower quartile for the Media industry, NWSA’s Debt-to-Equity Ratio of 0.22 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
- 1.54
- Q3
- 0.77
- Median
- 0.16
- Q1
- 0.02
- 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)
NWSA
3.05
Media Industry
- Max
- 58.38
- Q3
- 25.12
- Median
- 4.52
- Q1
- 2.14
- Min
- -10.82
NWSA’s Interest Coverage Ratio of 3.05 is positioned comfortably within the norm for the Media industry, indicating a standard and healthy capacity to cover its interest payments.
WMG
4.73
Entertainment Industry
- Max
- 87.17
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
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 | NWSA | WMG |
|---|---|---|
| Current Ratio (MRQ) | 1.84 | 0.66 |
| Quick Ratio (MRQ) | 1.72 | 0.45 |
| Debt-to-Equity Ratio (MRQ) | 0.22 | 7.41 |
| Interest Coverage Ratio (TTM) | 3.05 | 4.73 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
NWSA
1.15%
Media Industry
- Max
- 8.07%
- Q3
- 3.69%
- Median
- 1.37%
- Q1
- 0.00%
- Min
- 0.00%
NWSA’s Dividend Yield of 1.15% is consistent with its peers in the Media industry, providing a dividend return that is standard for its sector.
WMG
2.20%
Entertainment Industry
- Max
- 2.90%
- Q3
- 1.29%
- Median
- 0.59%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.20%, 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)
NWSA
15.68%
Media Industry
- Max
- 199.37%
- Q3
- 102.15%
- Median
- 47.09%
- Q1
- 12.24%
- Min
- 0.00%
NWSA’s Dividend Payout Ratio of 15.68% is within the typical range for the Media industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
WMG
82.30%
Entertainment Industry
- Max
- 82.30%
- Q3
- 38.45%
- Median
- 29.74%
- 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 | NWSA | WMG |
|---|---|---|
| Dividend Yield (TTM) | 1.15% | 2.20% |
| Dividend Payout Ratio (TTM) | 15.68% | 82.30% |
Valuation
Price-to-Earnings Ratio (TTM)
NWSA
13.67
Media Industry
- Max
- 73.10
- Q3
- 36.19
- Median
- 15.22
- Q1
- 11.43
- Min
- 5.11
NWSA’s P/E Ratio of 13.67 is within the middle range for the Media industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
WMG
57.58
Entertainment Industry
- Max
- 92.09
- Q3
- 54.51
- Median
- 28.92
- Q1
- 19.75
- Min
- 2.96
A P/E Ratio of 57.58 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)
NWSA
1.81
Media Industry
- Max
- 3.52
- Q3
- 2.14
- Median
- 1.10
- Q1
- 0.85
- Min
- 0.21
NWSA’s P/S Ratio of 1.81 aligns with the market consensus for the Media industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
WMG
2.64
Entertainment Industry
- Max
- 12.34
- Q3
- 7.67
- Median
- 5.06
- Q1
- 2.72
- Min
- 0.67
In the lower quartile for the Entertainment industry, WMG’s P/S Ratio of 2.64 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)
NWSA
2.02
Media Industry
- Max
- 4.43
- Q3
- 2.53
- Median
- 1.71
- Q1
- 1.21
- Min
- 0.56
NWSA’s P/B Ratio of 2.02 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
- 22.84
- Q3
- 10.54
- Median
- 6.60
- Q1
- 2.30
- Min
- 0.65
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 | NWSA | WMG |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 13.67 | 57.58 |
| Price-to-Sales Ratio (TTM) | 1.81 | 2.64 |
| Price-to-Book Ratio (MRQ) | 2.02 | 24.11 |
| Price-to-Free Cash Flow Ratio (TTM) | 21.28 | 29.43 |