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Universal Music Group NV
AEX:UMG

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Universal Music Group NV
AEX:UMG
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Price: 17.815 EUR -8.08% Market Closed
Market Cap: €32.7B

P/E

21.3
Current
23%
Cheaper
vs 3-y average of 27.5

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
21.3
=
Market Cap
€36.4B
/
Net Income
€1.5B

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
21.3
=
Market Cap
€36.4B
/
Net Income
€1.5B

Valuation Scenarios

Universal Music Group NV is trading below its 3-year average

If P/E returns to its 3-Year Average (27.5), the stock would be worth €23.02 (29% upside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-67%
Maximum Upside
+71%
Average Upside
5%
Scenario P/E Value Implied Price Upside/Downside
Current Multiple 21.3 €17.82
0%
3-Year Average 27.5 €23.02
+29%
5-Year Average 36.5 €30.54
+71%
Industry Average 7 €5.88
-67%
Country Average 18.8 €15.7
-12%

Forward P/E
Today’s price vs future net income

Today's Market Cap Net Income Forward P/E
€36.4B
/
Jan 2026
€1.5B
=
21.3
Current
€36.4B
/
Dec 2026
€2B
=
18.7
Forward
€36.4B
/
Dec 2027
€2.2B
=
16.9
Forward
€36.4B
/
Dec 2028
€2.4B
=
15.4
Forward

Forward P/E shows whether today’s P/E still looks high or low once future net income are taken into account.

Market Distribution

In line with most companies in Netherlands
Percentile
55th
Based on 422 companies
55th percentile
21.3
Low
0 — 12.6
Typical Range
12.6 — 27.8
High
27.8 —
Distribution Statistics
Netherlands
Min 0
30th Percentile 12.6
Median 18.8
70th Percentile 27.8
Max 9 795.6

Universal Music Group NV
Glance View

Universal Music Group NV stands as a titan in the global music industry, orchestrating a harmonic convergence of artistry and commerce that spans generations. As the world's largest music company, Universal holds a diverse portfolio that encompasses everything from recorded music to music publishing and merchandising, cultivating an ecosystem that nurtures both established superstars and budding talents. Through labels like Capitol, Def Jam, and Republic Records, it delivers a mosaic of genres to audiences globally, ensuring its influence resonates across various cultural landscapes. Universal adeptly navigates the complexities of the digital age by embracing streaming platforms as a primary distribution channel, which allows it to remain at the forefront of how music is consumed today, leveraging technology and data analytics to optimize royalties and expand its global footprint. Financially, Universal Music Group thrives on multiple revenue streams. The company generates income not only from the sales and streaming of music but also through its publishing arm, which manages the rights to a vast library of songs, generating revenue from licensing deals across multiple media such as films, TV shows, and advertising. Merchandise sales and live events further complement its revenue model, creating synergistic opportunities that maximize the value of its artists and their work. With strategic partnerships and acquisitions, such as its stake in Spotify and its interest in emerging markets, Universal ensures a robust pipeline of innovation and growth. This multi-faceted approach enables Universal Music Group to endure as a central figure in shaping the future of the music industry, harmonizing creative passion with commercial acumen.

UMG Intrinsic Value
24.844 EUR
Undervaluation 28%
Intrinsic Value
Price €17.815
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