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Warner Music Group Corp. (WMG) β€” RQD Stock Rating Cockpit

$30.97 +1.14% NASDAQ β€’ Live Quote vs Prior Daily Close (Synced Snapshot) EXT / AFTER-HRS: $30.97

Warner Music Group Corp. (WMG) carries a Roarable Rating of D+ (Sell) with 54/100 RQD Confidence due to weak cash-flow efficiency and sensitivity to current interest rates. Wait for business cash flow and institutional buying to improve before committing fresh capital.

ROARABLE D+ β€’ SELL / AVOID Cap $16.02B
πŸ“€ Share Live RQD Speedometer Card: 𝕏 Post Reddit StockTwits ⬇ Live SVG Card
⚑ INSTANT AI QUANT PREVIEW β€’ $0 FREE TIER Click Any Pre-Computed AI Quant Specialist Briefing on WMG Below β€” or Connect Your Own ChatGPT / Claude
πŸ€– Mara Quenwick β€’ AI Quant Lead (Click for Instant Brief) Is WMG stock a Buy, Hold, or Sell right now according to Roarable's RQD model?
β–Ό

As of 2026-11-03, Warner Music Group Corp. (NASDAQ: WMG) is rated D+ (Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 54/100 at a spot price of $30.97 (+1.14% 1D, market cap $16.02B). Pillar breakdown: Fundamental Cash Engine 13/20, Institutional 13F & Options Flow 14/20, SEC Balance-Sheet Forensics 6/20, FRED Macro Regime Fit 9/20, and Executive Insider Alignment 12/20. Across 1009 tracked Consumer Discretionary issuers, WMG ranks #454 in composite RQD confidence.

βœ“ Pre-computed one-to-many AI Quant brief
πŸ€– Ellis Vennor β€’ AI Peer & Flow Quant (Click for Instant Brief) How does WMG compare to DKNG and LLYVK in the Consumer Discretionary sector?
β–Ό

Within the Consumer Discretionary sector (Services-Misc. Amusement & Recreation), WMG carries a Roarable D+ (54/100 RQD), trailing P/E of 43.7x, gross margin of 45.8%, and ROIC of 14.3%. By comparison, DKNG (DraftKings Inc.) holds a D- grade (41/100 RQD, P/E N/A, ROIC -1.1%, cap $10.38B) and LLYVK (Liberty Live Holdings Inc. Series C Liberty Live Group) posts a D- grade (40/100 RQD, P/E N/A, ROIC -5.4%, cap $9.60B). Among the 5-stock peer group, MSGK leads on earnings multiple (32.8x) while WMG leads on capital efficiency (14.3% ROIC).

βœ“ Pre-computed one-to-many AI Quant brief
πŸ€– Gideon Ashmere β€’ AI SEC 10-K Forensics (Click for Instant Brief) What are the biggest fundamental strengths and SEC risk factors for WMG?
β–Ό

Per WMG's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-09-30, CIK 0001319161), Warner Music Group Corp. generated $6.71B in revenue (+4.4% YoY), $365.0M in net income, and $539.0M in free cash flow against $10.01B in total assets and $4.13B in total debt. Key quantitative strengths: Established market leader in Consumer Discretionary with deep daily trading liquidity. Primary risk factors monitored: Sensitive to high interest rates and tighter Federal Reserve market liquidity. Institutional options positioning shows a 50% call / 50% put premium split.

βœ“ Pre-computed one-to-many AI Quant brief
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INTERACTIVE SCENARIO DECK:
πŸ›‘οΈ Portfolio Crash X-Ray
EXT / AFTER-HRS: $30.98 (+0.02%)🧬 Cannibal Buyback (-1.24% YoY Shares)βš™οΈ Cash Engine: 13/20 (C) β€’ 8% FCF Margin
Verify 90D Bucket Audit β†’
πŸ“Š Historical Track Record: Scores of 54/100 (D+) historically posted market-perform odds over rolling 90-day windows (-0.7% avg 90D alpha vs SPY β€’ 51.0% hit rate β€” wait for RQD β‰₯ 70 breakout).
Audit Bucket Track Record β†’
RQD QUANT TACHOMETERSELL / AVOID β€’ D+
025507510054
Quant Analyst Panel Split (Battleground)
Cash
SEC
Whale

Impersonal quantitative research (0–100 RQD rubric) β€” not individualized investment advice. Past performance does not guarantee future results. Full Disclaimer

5-PILLAR RQD RADARRw C Β· Rk D-
Cash (13)Whales (14)SEC (6)Macro (9)CEO (12)
Each axis scored 0–20
12M PRICE TARGET CONE-1.8% Base Target
$37 Bull$30 Base$24 Bear
πŸ“¬ FREE WMG RATING-CHANGE & BRIEFING ALERTSManage / Unsubscribe
WHALE OPTIONS SNAPSHOT: β€” (No Active Options Snapshot on file for WMG)Realized 20D OHLCV Swing Band: Β±5.9%
Deterministic 5-Pillar Attribution (54/100 Composite)
πŸ” WHY WMG SCORES 54/100 (D+) β€” TOP 3 DRIVERS2 Bullish Pillars + #1 Risk Drag
β–² #1 Bullish Driver: Whale & Options Positioning+14/20 pts (26% of score)

20D Institutional Volume Accumulation (Β±5.9% realized swing band)

β–² #2 Bullish Driver: Cash Engine Quality+13/20 pts (24% of score)

SEC XBRL FY 2025 (10-K): 8% FCF Margin ($539.0M FCF) & 45.8% Gross Margin

β–Ό #1 Drag / Risk Factor: SEC 10-K Forensic Risk6/20 pts (-14 pt drag)

Balance-sheet & 10-K footnote risk deducts 14 pts from forensic ceiling

πŸ“ˆ PAST 4 QUARTERS RQD vs SUBSEQUENT RETURNQ1 β†’ Q2 β†’ Q3 β†’ Current
Q1 (-3Q)
46
Grade D$28.91+8.8% Next Q
Q2 (-2Q)
49
Grade D$31.44-5.9% Next Q
Q3 (-1Q)
51
Grade C-$29.58+4.7% Next Q
Current
54
Grade D+$30.97-0.7% Hist 90D Ξ±
Trajectory: D (46) β†’ D+ (54)Full Audit β†’
βš”οΈ ADVERSARIAL OPPOSING CASE & FORENSIC KILL-SWITCH (WHY THE BULL/BEAR THESIS COULD FAIL)CONTRARIAN TURNAROUND & SHORT-SQUEEZE DOSSIER

βš”οΈ Adversarial Opposing Case: What Could Spark a WMG Turnaround Squeeze

Gideon Ashmere Forensic Desk β†’

While WMG currently carries a cautious 54/100 (D+) rating due to SEC 10-K Forensic Risk (6/20), shorts face asymmetric squeeze risk if free cash flow inflects or management executes accretive buybacks.

πŸš€ Contrarian Squeeze Trigger #1

Established market leader in Consumer Discretionary with deep daily trading liquidity.

πŸš€ Contrarian Squeeze Trigger #2

Options & Short-Covering Gamma: Reclaiming the 50-day SMA ($28.87) and Max Pain ($32.52) forces dealer call-delta covering toward $37.19.

πŸš€ Contrarian Squeeze Trigger #3

Forensic Repair Trigger: Halting share dilution (Cannibal Buyback (-1.24% YoY Shares)) or retiring high-cost debt immediately upgrades the SEC 10-K Forensic pillar.

🎲 LIVE PREDICTION MARKET ODDS TIED TO $WMGβ€’ $2.4M Crowd Pool β€’ Kalshi / Polymarket Composite
Contract: β€œWMG Beats Next Quarter EPS Consensus (Dec 29, 2026) & Holds Above 200D SMA”
RSI-14 MOMENTUMBULLISH MOMENTUM
58.630 Oversold Β· 70 Hot
ALTMAN-Z SHIELDDISTRESS RISK (<1.8)
1.61>3.0 Fortress Safe
PIOTROSKI F-SCORESOLID CORE (5–6)
6 / 99-Pt Accounting
52-WEEK LASER RANGE63% OF RANGE
L: $23$30.97H: $35
1. Money & Cash Health● MIXED
Are profits real cash in the bank?

Decent core business (45.8% gross margin), though cash flow growth is moderate rather than explosive right now.

Factor Grade: CRQD 13 / 20
2. Big Money & Insiders● NEUTRAL
Are whales & executives buying or selling?

Big funds and company insiders are mostly holding steady without aggressive buying or panic selling.

Factor Grade: CRQD 26 / 40
3. Hidden Risks & Market Weather● WARNING
SEC fine-print scan & interest-rate fit

High sensitivity to tight interest rates or new risk warnings added to recent SEC annual filings.

Factor Grade: D-RQD 15 / 40
MULTI-MODEL QUANT PANEL DELIBERATION

Quant Analyst Panel Split (Battleground) on WMG

Cash & Moat Bull AI
ROIC & Free Cash Flow Model
NEUTRAL (65)

14.3% ROIC with 45.8% gross margin and 3.38% FCF yield.

SEC Forensic Auditor AI
10-K Accruals & Altman-Z Guard
BEARISH (30)

Altman-Z 1.61 and Piotroski 6/9 pass balance-sheet audit.

Whale & Macro Hawk AI
Options Skew, 13F & Fed NetLiq
NEUTRAL (58)

26/40 institutional & smart-money positioning score with 9/20 macro alignment.

Bull Case: Why Buyers Like WMG
  • βœ“Established market leader in Consumer Discretionary with deep daily trading liquidity.
Bear Case: What Could Go Wrong
  • !Sensitive to high interest rates and tighter Federal Reserve market liquidity.
  • !Priced at 44x earningsβ€”high expectations leave less room for a lukewarm quarter.
  • !Recent SEC filings added new risk-factor disclosures that warrant keeping an eye on margins.
ON-DEMAND RQD QUANT WORKSHOP β€’ SPONSORED / PARTNER SPOTLIGHTHosted by Perry Belcher & Roarable Forensic Quant Desk

Red-Light Warning Desk: Spotting SEC Cash-Flow & Dilution Risks Before Downgrades (Featuring WMG)

  • βœ“Walkthrough of WMG's RQD Radar, SEC cash-conversion gap & downside invalidation levels
  • βœ“3 asymmetric Bear/Hedge frameworks when 10-year Treasury yields stay elevated
  • βœ“Includes nightly RQD rating-change & forensic signal email alerts on your tracked stocks
RQD INSIDER CLUB WAITLIST$49/YR PLANNED
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WMG // CANDLESTICK & AUTO-TRENDLINE WORKSTATION6M: +10.17%β–² ASCENDING CHANNEL
2026-11-03O $30.47H $30.97L $30.47C $30.97VOL 2.13M
RES: $32.67SUP: $28.09SMA50: $28.87SMA200: $28.57
$36.18$33.02$29.86$26.69$23.53RES $32.67SUP $28.09$30.972026-05-042026-06-182026-08-052026-09-212026-11-03
PRIMARY-SOURCE FORENSICS, SECOND-ORDER LINKS & AI ANALYST DESK

WMG Dilution Monitor, Expectations Hurdle, Butterfly Connections & Policy Exposure

Share Count & Dilution Monitor

Multi-year comparable XBRL diluted share count not disclosed (ETF or recent listing).

Reverse-DCF Expectations Hurdle
32.7%/yr Implied 5Y Growth

vs. +4.4% actual YoY revenue growth (assuming 9.25% cost of equity & 16.5x terminal multiple).

Ellis Vennor Setup Ledger

No active Ellis Vennor swing setup published on WMG today. View full Setup Ledger β†’

πŸ¦‹ Documented & Second-Order Butterfly Connections Open Graph β†’

No direct multi-tier Butterfly edges indexed yet for WMG. Explore sector supply chains on /butterfly.

AI Analyst Theses, Washington Policy & Company Video
🎬 No recent verified company-specific video clip queued for WMG today (we never pad ticker pages with unrelated generic clips). Browse Macro Video Desk β†’
DETERMINISTIC MULTI-FACTOR EQUITY AUDIT β€’ SEC EDGAR XBRL Γ— RQD PEER BENCHMARK

πŸ“Š Quantitative Sector Peer Comparison, SEC Filing Delta & Investment FAQ (WMG)

Consumer Discretionary Rank #454 of 1009 βš”οΈ DKNG vs WMG Full Matrix β†’

1. Head-to-Head Consumer Discretionary Peer Comparison (WMG vs. DKNG, LLYVK, LLYVA, MSGK)

Industry: Services-Misc. Amusement & Recreation (51 Tracked Issuers)

Across 1009 tracked Consumer Discretionary securities in the Roarable RQD universe, Warner Music Group Corp. (WMG) ranks #454 by composite RQD confidence (54/100, grade D+) and #116 by equity capitalization ($16.02B). Within this direct 5-issuer industry benchmark cohort, MSGK leads on earnings valuation at 32.8x trailing P/E, while WMG leads on capital efficiency and profitability with 14.3% ROIC and 45.8% gross margin. MSGK currently holds the highest overall quantitative score in the immediate peer group at 67/100 (C+) compared with WMG at 54/100 (D+).

Ticker / Company Roarable Grade RQD Score Trailing P/E Gross Margin ROIC 1D Change Market Cap Head-to-Head
WMG ACTIVE
Warner Music Group Corp.
D+ 54/100 43.7x 45.8% 14.3% +1.14% $16.02B Benchmark Subject
DKNG
DraftKings Inc.
D- 41/100 β€” 41.3% -1.1% +4.30% $10.38B /dkng-vs-wmg β†’
LLYVK
Liberty Live Holdings Inc. Series C Liberty Live Group
D- 40/100 β€” 19.2% -5.4% +0.35% $9.60B /llyvk-vs-wmg β†’
LLYVA
Liberty Live Holdings Inc. Series A Liberty Live Group
D- 38/100 β€” 19.2% -5.6% +0.58% $9.26B /llyva-vs-wmg β†’
MSGK
MSG Knickerbockers Corp.
C+ 67/100 32.8x β€” 9.9% -0.88% $7.55B /msgk-vs-wmg β†’

2. Multi-Year SEC XBRL Revenue, Cash Flow & Balance-Sheet Trajectory (FY2023–FY2025)

SEC EDGAR 10-K β€’ FILED 2025-09-30 β€’ CIK 0001319161 β†—

In its most recent audited fiscal period (FY2025, filed 2025-09-30), Warner Music Group Corp. (WMG) reported GAAP revenue of $6.71B (+4.4% vs. FY2024 revenue of $6.43B , and +11.1% cumulative change since FY2023) , GAAP net income of $365.0M, operating cash flow of $678.0M, and free cash flow of $539.0M (-15.5% YoY). On the balance sheet, WMG closed FY2025 with $10.01B in total assets against $4.13B in total debt (Altman Z-Score: 1.61, Piotroski F-Score: 6/9).

Fiscal Period Filing Date Revenue Net Income Operating Cash Flow Free Cash Flow Total Assets Total Debt
FY2025 (FY) 2025-09-30 $6.71B $365.0M $678.0M $539.0M $10.01B $4.13B
FY2024 (FY) 2024-09-30 $6.43B $435.0M $754.0M $638.0M $9.15B $3.96B
FY2023 (FY) 2023-09-30 $6.04B $430.0M $687.0M $415.3M $8.77B $2.05B

3. WMG Data-Verified Investor FAQ (RQD Rating, Sector Peers, SEC Forensics & Technicals)

βœ“ SCHEMA.ORG FAQPAGE JSON-LD ENABLED

Is WMG stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

As of 2026-11-03, Warner Music Group Corp. (NASDAQ: WMG) is rated D+ (Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 54/100 at a spot price of $30.97 (+1.14% 1D, market cap $16.02B). Pillar breakdown: Fundamental Cash Engine 13/20, Institutional 13F & Options Flow 14/20, SEC Balance-Sheet Forensics 6/20, FRED Macro Regime Fit 9/20, and Executive Insider Alignment 12/20. Across 1009 tracked Consumer Discretionary issuers, WMG ranks #454 in composite RQD confidence.

How does WMG compare to DKNG and LLYVK in the Consumer Discretionary sector?

Within the Consumer Discretionary sector (Services-Misc. Amusement & Recreation), WMG carries a Roarable D+ (54/100 RQD), trailing P/E of 43.7x, gross margin of 45.8%, and ROIC of 14.3%. By comparison, DKNG (DraftKings Inc.) holds a D- grade (41/100 RQD, P/E N/A, ROIC -1.1%, cap $10.38B) and LLYVK (Liberty Live Holdings Inc. Series C Liberty Live Group) posts a D- grade (40/100 RQD, P/E N/A, ROIC -5.4%, cap $9.60B). Among the 5-stock peer group, MSGK leads on earnings multiple (32.8x) while WMG leads on capital efficiency (14.3% ROIC).

What are the biggest fundamental strengths and SEC risk factors for WMG?

Per WMG's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-09-30, CIK 0001319161), Warner Music Group Corp. generated $6.71B in revenue (+4.4% YoY), $365.0M in net income, and $539.0M in free cash flow against $10.01B in total assets and $4.13B in total debt. Key quantitative strengths: Established market leader in Consumer Discretionary with deep daily trading liquidity. Primary risk factors monitored: Sensitive to high interest rates and tighter Federal Reserve market liquidity. Institutional options positioning shows a 50% call / 50% put premium split.

Where is WMG trading relative to its 50-day, 200-day, and 52-week technical levels?

WMG last traded at $30.97 (+1.14% on volume of 2,065,195 shares), positioning the stock +7.27% above its 50-day simple moving average ($28.87) and +8.40% above its 200-day simple moving average ($28.57). Across its 52-week range of $23.34 to $35.42, WMG sits at the 63.2% percentile with a 14-day RSI of 58.6 (BULLISH MOMENTUM) and an implied next-earnings move of Β±5.9% ($29.14 to $32.80).

ROARABLE RATING BRIEF β€’ RQD 54/100 (D+) βœ“ SEC XBRL & RQD VERIFIED

WMG β€” Warner Music Group Corp.: What the Facts Mean to a Prospective Investor

Methodology: RQD v6.2 Deterministic 5-Pillar & SEC XBRL Audit
Updated: 2025-09-30

1. Roarable Rating Brief: What This Means to a Prospective Investor

Warner Music Group Corp. (WMG) earns a live Roarable RQD composite score of 54/100, corresponding to a D+ letter grade (Roarable Sell) at a spot price of $30.97 (+1.14% 1D, market capitalization $16.02B).

  • Fundamental Cash Engine (13/20): Anchored by return on invested capital (ROIC) of 14.3%, gross margin of 45.8%, operating margin of 10.3%, and free cash flow yield of 3.38%.
  • Whale 13F & Options Flow (14/20) + Insider Conviction (12/20): Tracks institutional 13F accumulation, CBOE options call/put positioning, and SEC Form 4 / Congressional PTR filings.
  • Macro Regime Fit (9/20) + Forensic Balance Sheet (6/20): Incorporates a 0.95x equity beta, Altman Z-Score of 1.61, Piotroski F-Score of 6/9, and Debt/Equity of 5.36x.

2. Business Model, Unit Margins & SEC Financial Trajectory

Warner Music Group Corp. (WMG) is a NASDAQ-listed issuer in the Consumer Discretionary sector, Services-Misc. Amusement & Recreation industry. The company reports gross margin of 45.8%, operating margin of 10.3%, and net margin of 5.4%.

In its latest audited SEC EDGAR 10-K filing for FY2025 (filed 2025-09-30), Warner Music Group Corp. (WMG) reported $6.71B in annual revenue (up from $6.43B in FY2024, +4.4% YoY) and $365.0M in GAAP net income. Over the multi-year SEC filing window from FY2023 ($6.04B revenue, $430.0M net income) through FY2025, WMG scaled operating cash flow to $678.0M and free cash flow to $539.0M, backed by $10.01B in total assets against $4.13B in total debt.

3. Institutional Bull vs. Bear Thesis & Valuation Tradeoff

  • πŸ‚ Primary Bull Case (D+ β€’ RQD 54/100): Established market leader in Consumer Discretionary with deep daily trading liquidity. Free cash flow yield of 3.38% and institutional whale pillar of 14/20. With Fundamental Cash Engine at 13/20 and Institutional Whale Flow at 14/20, sustained execution supports upside toward the upper end of the $23.34 – $35.42 52-week range.
  • 🐻 Primary Bear Case & Valuation Risk: Sensitive to high interest rates and tighter Federal Reserve market liquidity. Investors must weigh 43.7x trailing P/E and 23.4x EV/EBITDA against 10.3% operating margins and a 0.95x macro beta.

4. 2nd-Order Butterfly Ripples & Key Questions to Watch

Upstream and downstream dependencies, sector correlations, and second-order bottlenecks are β€” Within the source data, the only sector-level context is the Consumer Discretionary classification and the beta of 0.95 from the RQD macro pillar, which the rating describes as sector-sensitive. The news item on peer and streaming-platform moves is the only indirect ripple signal available.

  • Key Question #1: Can WMG sustain or expand its 10.3% operating margin and 14.3% ROIC against Services-Misc. Amusement & Recreation peers over the next 4 quarters?
  • Key Question #2: Following FY2025 revenue of $6.71B and free cash flow of $539.0M, how will capital allocation balance growth reinvestment against $4.13B in total debt?
  • Key Question #3: How sensitive is WMG's 40.6x forward P/E multiple to Consumer Discretionary capital spending cycles and macro interest-rate shifts (Beta 0.95x)?

WMG Live News Feed, Press Releases & Catalyst Wire

Real-time company headlines, analyst actions, and sector developments for Warner Music Group Corp. (WMG) β€’ Click "Debate This Headline" to argue it in the Roar Pit below

πŸ’¬ Jump to WMG Debate Forum (3) ↓
πŸ”₯ THE ROAR PIT β€’ LIVE COMMUNITY DEBATE 3 Active Posts & Replies

WMG Bull vs. Bear Conversation Board β€” What's Your Call at $30.97?

πŸ‚ 67% BULLISH CONVICTION COMMUNITY TUG-OF-WAR ON WMG 🐻 33% BEARISH CONVICTION
1. Pick Your Side on WMG:
πŸ’‘ Tip: Back up your call with a price target or RQD metric to get upvoted to the top.
MA MacroHawk_NYC RQD DEBATE OPENER β€’ Cross-Asset Macro Desk πŸ‚ BULLISH 🎯 Target: $38.27 (+25.0%)
πŸ“Œ Pinned Debate

Institutional accumulation and a 14.3% ROIC support the cash-engine pillar, with a 3.38% FCF yield and a 2.4% dividend yield offering s

Don't sleep on WMG's setup in Consumer Discretionary. Institutional accumulation and a 14.3% ROIC support the cash-engine pillar, with a 3.38% FCF yield and a 2.4% dividend yield offering some return support.. Beta of 0.95 means it moves fast when momentum turns, and the 5-pillar RQD gauge (54/100) backs up the fundamental quality.

SectorRotator πŸ‚ BULL

@MultipleCompression Fair point on 43.7x trailing P/E, but you're ignoring the forward operating leverage in Services-Misc. Amusement & Recreation. If gross margin (45.8%) holds, EPS grows into the multiple faster than bears think.

MU MultipleCompression RQD DEBATE OPENER β€’ Valuation Discipline 🐻 BEARISH 🎯 Target: $25.11 (-18.0%)
Spot @ $30.62

Debt/Equity of 5.36, Altman Z of 1.61, and P/E TTM of 43.7 leave the stock with weak balance-sheet support and rich valuation.

Here is the bear case nobody on the bull side wants to address on WMG: Debt/Equity of 5.36, Altman Z of 1.61, and P/E TTM of 43.7 leave the stock with weak balance-sheet support and rich valuation.. At 43.7x trailing P/E, even a small guidance miss in Services-Misc. Amusement & Recreation triggers a 12-15% air pocket.

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