UNIVERSAL MUSIC GROUP NV (UMG.AS) Fundamental Analysis & Valuation

AMS:UMG • NL0015000IY2

17.8 EUR
-1.56 (-8.06%)
Last: Mar 6, 2026, 05:37 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership

This UMG.AS fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

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. UMG has an excellent profitability rating, but there are concerns on its financial health. UMG has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

8

1. UMG.AS Profitability Analysis

1.1 Basic Checks

  • In the past year UMG was profitable.
  • UMG had a positive operating cash flow in the past year.
  • UMG had positive earnings in each of the past 5 years.
  • UMG had a positive operating cash flow in each of the past 5 years.
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.
  • The Return On Equity of UMG (42.77%) is better than 97.96% of its industry peers.
  • The Return On Invested Capital of UMG (11.64%) is better than 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 last Return On Invested Capital (11.64%) for UMG is well below the 3 year average (17.13%), which needs to be investigated, but indicates that UMG had better years and this may not be a problem.
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

  • UMG's Profit Margin of 17.63% is amongst the best of the industry. UMG outperforms 91.84% of its industry peers.
  • In the last couple of years the Profit Margin of UMG has grown nicely.
  • The Operating Margin of UMG (15.00%) is better than 87.76% of its industry peers.
  • In the last couple of years the Operating Margin of UMG has remained more or less at the same level.
  • Looking at the Gross Margin, with a value of 42.99%, UMG is doing worse than 61.22% of the companies in the same industry.
  • UMG's Gross Margin has declined in the last couple of years.
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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3

2. UMG.AS Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), UMG is creating value.
  • UMG has more shares outstanding than it did 1 year ago.
  • UMG has more shares outstanding than it did 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 0.20, we must say that UMG is in the distress zone and has some risk of bankruptcy.
  • UMG's Altman-Z score of 0.20 is on the low side compared to the rest of the industry. UMG is outperformed by 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.
  • With a decent Debt to FCF ratio value of 2.22, UMG is doing good in the industry, outperforming 75.51% of the companies in the same industry.
  • UMG has a Debt/Equity ratio of 0.54. This is a neutral value indicating UMG is somewhat dependend on debt financing.
  • UMG's Debt to Equity ratio of 0.54 is in line compared to the rest of the industry. UMG outperforms 57.14% of its industry peers.
  • Although UMG's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.54
Debt/FCF 2.22
Altman-Z 0.2
ROIC/WACC1.69
WACC6.88%
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.
  • Looking at the Current ratio, with a value of 0.63, UMG is doing worse than 67.35% of the companies in the same industry.
  • 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. UMG.AS Growth Analysis

3.1 Past

  • UMG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 66.18%, which is quite impressive.
  • Measured over the past years, UMG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.91% on average per year.
  • Looking at the last year, UMG shows a small growth in Revenue. The Revenue has grown by 6.54% in the last year.
  • 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

  • Based on estimates for the next years, UMG will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.57% on average per year.
  • 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

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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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6

4. UMG.AS Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 15.75, the valuation of UMG can be described as correct.
  • Based on the Price/Earnings ratio, UMG is valued cheaper than 87.76% of the companies in the same industry.
  • UMG is valuated rather cheaply when we compare the Price/Earnings ratio to 26.69, which is the current average of the S&P500 Index.
  • Based on the Price/Forward Earnings ratio of 16.08, the valuation of UMG can be described as correct.
  • Based on the Price/Forward Earnings ratio, UMG is valued a bit cheaper than the industry average as 73.47% of the companies are valued more expensively.
  • UMG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.79, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 15.75
Fwd PE 16.08
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 the industry average as 69.39% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 19.39
EV/EBITDA 17.7
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

  • UMG's 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)1.36
PEG (5Y)0.99
EPS Next 2Y9.92%
EPS Next 3Y9.96%

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

5

5. UMG.AS Dividend Analysis

5.1 Amount

  • UMG has a Yearly Dividend Yield of 2.76%. Purely for dividend investing, there may be better candidates out there.
  • UMG's Dividend Yield is rather good when compared to the industry average which is at 1.06. UMG pays more dividend than 87.76% of the companies 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

  • UMG pays out 44.87% of its income as dividend. 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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UMG.AS Fundamentals: All Metrics, Ratios and Statistics

UNIVERSAL MUSIC GROUP NV

AMS:UMG (3/6/2026, 5:37:32 PM)

17.8

-1.56 (-8.06%)

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 Cap32.65B
Revenue(TTM)11.83B
Net Income(TTM)2.09B
Analysts74.07
Price Target28.28 (58.88%)
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 15.75
Fwd PE 16.08
P/S 2.76
P/FCF 19.39
P/OCF 18.45
P/B 6.69
P/tB N/A
EV/EBITDA 17.7
EPS(TTM)1.13
EY6.35%
EPS(NY)1.11
Fwd EY6.22%
FCF(TTM)0.92
FCFY5.16%
OCF(TTM)0.97
OCFY5.42%
SpS6.45
BVpS2.66
TBVpS-1.16
PEG (NY)1.36
PEG (5Y)0.99
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 0.2
F-Score5
WACC6.88%
ROIC/WACC1.69
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 6 / 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 15.75 and the Price/Book (PB) ratio is 6.69.


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%.