UNIVERSAL MUSIC GROUP NV (UMG.AS) Stock Fundamental Analysis

AMS:UMG • NL0015000IY2

18.69 EUR
-0.3 (-1.61%)
Last: Mar 3, 2026, 11:31 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

5

Taking everything into account, UMG scores 5 out of 10 in our fundamental rating. UMG was compared to 49 industry peers in the Entertainment industry. While UMG belongs to the best of the industry regarding profitability, there are concerns on its financial health. UMG has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • UMG had positive earnings in the past year.
  • In the past year UMG had a positive cash flow from operations.
  • UMG had positive earnings in each of the past 5 years.
  • In the past 5 years UMG always reported a positive cash flow from operatings.
UMG.AS Yearly Net Income VS EBIT VS OCF VS FCFUMG.AS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 11.40%, UMG belongs to the top of the industry, outperforming 91.84% of the companies in the same industry.
  • UMG has a Return On Equity of 42.77%. This is amongst the best in the industry. UMG outperforms 97.96% of its industry peers.
  • UMG has a Return On Invested Capital of 11.64%. This is amongst the best in the industry. UMG outperforms 85.71% of its industry peers.
  • UMG had an Average Return On Invested Capital over the past 3 years of 17.13%. This is significantly above the industry average of 9.38%.
  • The 3 year average ROIC (17.13%) for UMG is well above the current ROIC(11.64%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 11.4%
ROE 42.77%
ROIC 11.64%
ROA(3y)9.46%
ROA(5y)9.51%
ROE(3y)40.62%
ROE(5y)49.82%
ROIC(3y)17.13%
ROIC(5y)16.12%
UMG.AS Yearly ROA, ROE, ROICUMG.AS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2018 2019 2020 2021 2022 2023 2024 20 40 60 80

1.3 Margins

  • With an excellent Profit Margin value of 17.63%, UMG belongs to the best of the industry, outperforming 91.84% of the companies in the same industry.
  • In the last couple of years the Profit Margin of UMG has grown nicely.
  • Looking at the Operating Margin, with a value of 15.00%, UMG belongs to the top of the industry, outperforming 87.76% of the companies in the same industry.
  • UMG's Operating Margin has been stable in the last couple of years.
  • UMG has a worse Gross Margin (42.99%) than 61.22% of its industry peers.
  • In the last couple of years the Gross Margin of UMG has declined.
Industry RankSector Rank
OM 15%
PM (TTM) 17.63%
GM 42.99%
OM growth 3Y-2.92%
OM growth 5Y0.16%
PM growth 3Y19.16%
PM growth 5Y5.36%
GM growth 3Y-2.09%
GM growth 5Y-1.63%
UMG.AS Yearly Profit, Operating, Gross MarginsUMG.AS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • UMG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • UMG has more shares outstanding than it did 1 year ago.
  • The number of shares outstanding for UMG has been increased compared to 5 years ago.
  • The debt/assets ratio for UMG has been reduced compared to a year ago.
UMG.AS Yearly Shares OutstandingUMG.AS Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
UMG.AS Yearly Total Debt VS Total AssetsUMG.AS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.2 Solvency

  • Based on the Altman-Z score of 0.17, we must say that UMG is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of UMG (0.17) is worse than 73.47% of its industry peers.
  • The Debt to FCF ratio of UMG is 2.22, which is a good value as it means it would take UMG, 2.22 years of fcf income to pay off all of its debts.
  • UMG has a Debt to FCF ratio of 2.22. This is in the better half of the industry: UMG outperforms 75.51% of its industry peers.
  • UMG has a Debt/Equity ratio of 0.54. This is a neutral value indicating UMG is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.54, UMG is in line with its industry, outperforming 57.14% of the companies in the same industry.
  • Even though the debt/equity ratio score it not favorable for UMG, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.54
Debt/FCF 2.22
Altman-Z 0.17
ROIC/WACC1.68
WACC6.91%
UMG.AS Yearly LT Debt VS Equity VS FCFUMG.AS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

2.3 Liquidity

  • A Current Ratio of 0.63 indicates that UMG may have some problems paying its short term obligations.
  • UMG has a Current ratio of 0.63. This is in the lower half of the industry: UMG underperforms 67.35% of its industry peers.
  • UMG has a Quick Ratio of 0.63. This is a bad value and indicates that UMG is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of UMG (0.60) is worse than 67.35% of its industry peers.
Industry RankSector Rank
Current Ratio 0.63
Quick Ratio 0.6
UMG.AS Yearly Current Assets VS Current LiabilitesUMG.AS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 66.18% over the past year.
  • UMG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.91% yearly.
  • UMG shows a small growth in Revenue. In the last year, the Revenue has grown by 6.54%.
  • The Revenue has been growing by 10.57% on average over the past years. This is quite good.
EPS 1Y (TTM)66.18%
EPS 3Y32.12%
EPS 5Y15.91%
EPS Q2Q%N/A
Revenue 1Y (TTM)6.54%
Revenue growth 3Y11.64%
Revenue growth 5Y10.57%
Sales Q2Q%N/A

3.2 Future

  • UMG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.57% yearly.
  • The Revenue is expected to grow by 5.56% on average over the next years.
EPS Next Y11.55%
EPS Next 2Y9.92%
EPS Next 3Y9.96%
EPS Next 5Y10.57%
Revenue Next Year5.35%
Revenue Next 2Y6.26%
Revenue Next 3Y6.49%
Revenue Next 5Y5.56%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
UMG.AS Yearly Revenue VS EstimatesUMG.AS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B
UMG.AS Yearly EPS VS EstimatesUMG.AS Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.5 1 1.5

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • UMG is valuated correctly with a Price/Earnings ratio of 16.54.
  • UMG's Price/Earnings ratio is rather cheap when compared to the industry. UMG is cheaper than 85.71% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of UMG to the average of the S&P500 Index (27.13), we can say UMG is valued slightly cheaper.
  • Based on the Price/Forward Earnings ratio of 16.89, the valuation of UMG can be described as correct.
  • Based on the Price/Forward Earnings ratio, UMG is valued a bit cheaper than 73.47% of the companies in the same industry.
  • UMG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.11.
Industry RankSector Rank
PE 16.54
Fwd PE 16.89
UMG.AS Price Earnings VS Forward Price EarningsUMG.AS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UMG is on the same level as its industry peers.
  • Based on the Price/Free Cash Flow ratio, UMG is valued a bit cheaper than 69.39% of the companies in the same industry.
Industry RankSector Rank
P/FCF 20.36
EV/EBITDA 17.4
UMG.AS Per share dataUMG.AS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 4 6

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • UMG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.43
PEG (5Y)1.04
EPS Next 2Y9.92%
EPS Next 3Y9.96%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • UMG has a Yearly Dividend Yield of 2.76%.
  • Compared to an average industry Dividend Yield of 1.06, UMG pays a better dividend. On top of this UMG pays more dividend than 87.76% of the companies listed in the same industry.
  • UMG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 2.76%

5.2 History

Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
UMG.AS Yearly Dividends per shareUMG.AS Yearly Dividends per shareYearly Dividends per share 2021 2022 2023 2024 2025 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

  • 44.87% of the earnings are spent on dividend by UMG. This is a bit on the high side, but may be sustainable.
DP44.87%
EPS Next 2Y9.92%
EPS Next 3Y9.96%
UMG.AS Yearly Income VS Free CF VS DividendUMG.AS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B
UMG.AS Dividend Payout.UMG.AS Dividend Payout, showing the Payout Ratio.UMG.AS Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

UNIVERSAL MUSIC GROUP NV

AMS:UMG (3/3/2026, 11:31:15 AM)

18.69

-0.3 (-1.61%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)10-30
Earnings (Next)03-05
Inst Owners35.41%
Inst Owner ChangeN/A
Ins Owners18.52%
Ins Owner ChangeN/A
Market Cap34.28B
Revenue(TTM)11.83B
Net Income(TTM)2.09B
Analysts74.07
Price Target28.28 (51.31%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.76%
Yearly Dividend0.51
Dividend Growth(5Y)N/A
DP44.87%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.87%
PT rev (3m)-2.77%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.22%
Revenue NY rev (3m)-0.14%
Valuation
Industry RankSector Rank
PE 16.54
Fwd PE 16.89
P/S 2.9
P/FCF 20.36
P/OCF 19.37
P/B 7.03
P/tB N/A
EV/EBITDA 17.4
EPS(TTM)1.13
EY6.05%
EPS(NY)1.11
Fwd EY5.92%
FCF(TTM)0.92
FCFY4.91%
OCF(TTM)0.97
OCFY5.16%
SpS6.45
BVpS2.66
TBVpS-1.16
PEG (NY)1.43
PEG (5Y)1.04
Graham Number8.22
Profitability
Industry RankSector Rank
ROA 11.4%
ROE 42.77%
ROCE 15.95%
ROIC 11.64%
ROICexc 12.22%
ROICexgc 35.79%
OM 15%
PM (TTM) 17.63%
GM 42.99%
FCFM 14.23%
ROA(3y)9.46%
ROA(5y)9.51%
ROE(3y)40.62%
ROE(5y)49.82%
ROIC(3y)17.13%
ROIC(5y)16.12%
ROICexc(3y)18.53%
ROICexc(5y)17.84%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)23.45%
ROCE(5y)22.06%
ROICexgc growth 3Y-73.19%
ROICexgc growth 5Y-8.8%
ROICexc growth 3Y-5.14%
ROICexc growth 5Y-4.57%
OM growth 3Y-2.92%
OM growth 5Y0.16%
PM growth 3Y19.16%
PM growth 5Y5.36%
GM growth 3Y-2.09%
GM growth 5Y-1.63%
F-Score5
Asset Turnover0.65
Health
Industry RankSector Rank
Debt/Equity 0.54
Debt/FCF 2.22
Debt/EBITDA 1.21
Cap/Depr 21.03%
Cap/Sales 0.73%
Interest Coverage 80.68
Cash Conversion 81.04%
Profit Quality 80.73%
Current Ratio 0.63
Quick Ratio 0.6
Altman-Z 0.17
F-Score5
WACC6.91%
ROIC/WACC1.68
Cap/Depr(3y)14.44%
Cap/Depr(5y)12.06%
Cap/Sales(3y)0.5%
Cap/Sales(5y)0.41%
Profit Quality(3y)147.67%
Profit Quality(5y)127.18%
High Growth Momentum
Growth
EPS 1Y (TTM)66.18%
EPS 3Y32.12%
EPS 5Y15.91%
EPS Q2Q%N/A
EPS Next Y11.55%
EPS Next 2Y9.92%
EPS Next 3Y9.96%
EPS Next 5Y10.57%
Revenue 1Y (TTM)6.54%
Revenue growth 3Y11.64%
Revenue growth 5Y10.57%
Sales Q2Q%N/A
Revenue Next Year5.35%
Revenue Next 2Y6.26%
Revenue Next 3Y6.49%
Revenue Next 5Y5.56%
EBIT growth 1Y25.18%
EBIT growth 3Y8.39%
EBIT growth 5Y10.76%
EBIT Next Year39.77%
EBIT Next 3Y19.73%
EBIT Next 5Y13.15%
FCF growth 1Y-1.41%
FCF growth 3Y13.87%
FCF growth 5Y22.23%
OCF growth 1Y0.97%
OCF growth 3Y15.47%
OCF growth 5Y20.7%

UNIVERSAL MUSIC GROUP NV / UMG.AS FAQ

Can you provide the ChartMill fundamental rating for UNIVERSAL MUSIC GROUP NV?

ChartMill assigns a fundamental rating of 5 / 10 to UMG.AS.


What is the valuation status of UNIVERSAL MUSIC GROUP NV (UMG.AS) stock?

ChartMill assigns a valuation rating of 5 / 10 to UNIVERSAL MUSIC GROUP NV (UMG.AS). This can be considered as Fairly Valued.


How profitable is UNIVERSAL MUSIC GROUP NV (UMG.AS) stock?

UNIVERSAL MUSIC GROUP NV (UMG.AS) has a profitability rating of 8 / 10.


Can you provide the PE and PB ratios for UMG stock?

The Price/Earnings (PE) ratio for UNIVERSAL MUSIC GROUP NV (UMG.AS) is 16.54 and the Price/Book (PB) ratio is 7.03.


Is the dividend of UNIVERSAL MUSIC GROUP NV sustainable?

The dividend rating of UNIVERSAL MUSIC GROUP NV (UMG.AS) is 5 / 10 and the dividend payout ratio is 44.87%.