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TKO vs. WMG: TKO vs. Warner Music Stock Comparison

How do TKO (TKO) 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

TKO (TKO) and Warner Music (WMG) are both classified in the Movies & Entertainment sub-industry within the broader Entertainment industry, placing them in the closest GICS peer bucket.

TKO (TKO) has more than two decades of public-market history since October 19, 1999, whereas Warner Music (WMG) listed on June 3, 2020 and has a much shorter record to draw on.

Company profile comparison for TKO (TKO) and Warner Music (WMG)
Profile ItemTKOWMG
NameTKO Group Holdings, Inc. Class A Common StockWarner Music Group Corp.
Country/RegionUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS Industry GroupMedia & EntertainmentMedia & Entertainment
GICS IndustryEntertainmentEntertainment
GICS Sub-IndustryMovies & EntertainmentMovies & Entertainment
Market Capitalization36.02 billion USD16.37 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateOctober 19, 1999June 3, 2020
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

TKO
WMG
GSPC
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TKO (TKO) 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 TKO (TKO) and Warner Music (WMG). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Total Return (1Y)8.79%6.98%
Total Return (3Y, Annualized)33.14%1.34%
Total Return (5Y, Annualized)29.97%-6.02%

Risk Profile

Drawdown History

TKO
WMG
GSPC
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TKO (TKO) 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 TKO (TKO) and Warner Music (WMG). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Warner Music (WMG) has an aggressive beta of 1.31, indicating higher sensitivity to broad-market moves, while TKO (TKO) is defensive at 0.61 and tends to be less market-sensitive — they sit on opposite ends of the beta spectrum.

Risk profile metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Volatility (1Y, Annualized)32.20%35.24%
Beta (5Y)0.611.31
Max Drawdown (5Y)-34.80%-53.17%
Avg. Volume (3M)1.09M2.05M

Risk-Adjusted Performance

Risk-Return Positioning

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TKO 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 TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Sharpe Ratio (1Y)0.140.08
Sortino Ratio (1Y)0.210.11

Profitability

ROE (TTM)

Warner Music (WMG) at 70.07% clears its industry range for ROE, a sharper capital-efficiency signal than TKO (TKO) at 9.39%, which is closer to a typical peer reading.

TKO

Media & Entertainment industry group

9.39%

Max
49.92%
Q3
17.95%
TKO
9.39%
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their ROE against the Media & Entertainment industry group benchmark.

Net Margin (TTM)

Both TKO (TKO) at 5.18% and Warner Music (WMG) at 9.20% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

TKO

Media & Entertainment industry group

5.18%

Max
32.91%
Q3
11.75%
TKO
5.18%
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their net margin against the Media & Entertainment industry group benchmark.

Operating Margin (TTM)

TKO (TKO) at 30.47% operates in the top operating margin quartile, ahead of Warner Music (WMG) at 16.74%, which runs around its industry’s norm.

TKO

Media & Entertainment industry group

30.47%

Max
40.16%
TKO
30.47%
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their operating margin against the Media & Entertainment industry group benchmark.

Profitability Metrics

Profitability metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
ROE (TTM)9.39%70.07%
ROA (TTM)5.22%7.65%
Net Margin (TTM)5.18%9.20%
Operating Margin (TTM)30.47%16.74%
Gross Margin (TTM)60.32%45.77%

Growth

Revenue Growth

Warner Music (WMG) at 4.37% is around its peer norm for revenue growth, while TKO (TKO) at -3.05% drops into the bottom quartile, signaling weaker demand or pricing momentum.

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

EPS Growth

TKO (TKO) at 11,200.00% clears its industry range for EPS growth, a much stronger earnings trajectory than Warner Music (WMG) at -16.87%, which is closer to a typical peer reading.

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

Growth Metrics

Growth metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Revenue Growth (YoY)-3.05%4.37%
Revenue Growth (3Y CAGR)60.74%4.25%
EPS Growth (YoY)11,200.00%-16.87%
EPS Growth (3Y CAGR)---13.33%

Financial Strength

Current Ratio (MRQ)

TKO (TKO) at 1.35 keeps current ratio within its industry’s typical mid-range, while Warner Music (WMG) at 0.73 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for WMG.

TKO

Media & Entertainment industry group

1.35

Max
4.69
Q3
2.53
Median
1.52
TKO
1.35
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their current ratio against the Media & Entertainment industry group benchmark.

Debt / Equity (MRQ)

TKO (TKO) at 0.60 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.

TKO

Media & Entertainment industry group

0.60

Max
3.65
Q3
1.69
TKO
0.60
Median
0.46
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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TKO (TKO) 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 TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Current Ratio (MRQ)1.350.73
Debt / Equity (MRQ)0.604.53
Net Debt / EBITDA2.392.57

Dividends

Dividend Yield (TTM)

Both TKO (TKO) at 1.66% and Warner Music (WMG) at 2.38% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

TKO

Media & Entertainment industry group

1.66%

TKO
1.66%
Max
1.33%
Q3
0.65%
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their dividend yield against the Media & Entertainment industry group benchmark.

Dividend Payout Ratio (TTM)

Both pay out more than their industries’ typical bands, and TKO more so: Warner Music (WMG) at 60.80% sits above the band, while TKO (TKO) at 84.18% exceeds every peer in its group.

TKO

Media & Entertainment industry group

84.18%

TKO
84.18%
Max
71.43%
Q3
28.98%
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their payout ratio against the Media & Entertainment industry group benchmark.

Dividend Metrics

Dividend metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
Dividend Yield (TTM)1.66%2.38%
Dividend Payout Ratio (TTM)84.18%60.80%

Valuation

P/E Ratio (TTM)

Warner Music (WMG) at 25.04 is near its industry’s usual P/E ratio, while TKO (TKO) at 51.21 sits in the richer quartile — TKO needs stronger growth or earnings quality to justify the premium.

TKO

Media & Entertainment industry group

51.21

TKO
51.21
Max
51.21
Q3
28.90
Median
17.98
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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TKO (TKO) 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 TKO (TKO) at 6.50 sits in the pricier quartile — TKO costs more per dollar of sales.

TKO

Media & Entertainment industry group

6.50

Max
7.43
TKO
6.50
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their P/S ratio against the Media & Entertainment industry group benchmark.

P/B Ratio (MRQ)

TKO (TKO) at 4.14 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.

TKO

Media & Entertainment industry group

4.14

Max
11.45
Q3
5.30
TKO
4.14
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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TKO (TKO) vs. Warner Music (WMG): A comparison of their P/B ratio against the Media & Entertainment industry group benchmark.

Valuation Metrics

Valuation metrics for TKO (TKO) and Warner Music (WMG)
MetricTKOWMG
P/E Ratio (TTM)51.2125.04
P/S Ratio (TTM)6.502.24
P/B Ratio (MRQ)4.1419.17
Free Cash Flow Yield (TTM)2.31%2.33%