WallStSmart

Nebius Group N.V. (NBIS)vsWarner Music Group (WMG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Warner Music Group generates 712% more annual revenue ($7.13B vs $877.90M). NBIS leads profitability with a 93.1% profit margin vs 6.3%. WMG appears more attractively valued with a PEG of 0.52. WMG earns a higher WallStSmart Score of 70/100 (B).

NBIS

Buy

55

out of 100

Grade: C-

Growth: 8.0Profit: 5.0Value: 6.7Quality: 6.0
Piotroski: 5/9Altman Z: 1.10

WMG

Strong Buy

70

out of 100

Grade: B

Growth: 7.3Profit: 7.0Value: 7.3Quality: 2.0
Piotroski: 1/9Altman Z: 0.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NBISUndervalued (+38.7%)

Margin of Safety

+38.7%

Fair Value

$306.34

Current Price

$188.43

$117.91 discount

UndervaluedFair: $306.34Overvalued
WMGUndervalued (+41.8%)

Margin of Safety

+41.8%

Fair Value

$51.16

Current Price

$29.20

$21.96 discount

UndervaluedFair: $51.16Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NBIS4 strengths · Avg: 9.3/10
Profit MarginProfitability
93.1%10/10

Keeps 93 of every $100 in revenue as profit

Revenue GrowthGrowth
684.0%10/10

Revenue surging 684.0% year-over-year

Market CapQuality
$55.39B9/10

Large-cap with strong market position

PEG RatioValuation
0.638/10

Growing faster than its price suggests

WMG4 strengths · Avg: 9.0/10
Return on EquityProfitability
61.3%10/10

Every $100 of equity generates 61 in profit

EPS GrowthGrowth
393.1%10/10

Earnings expanding 393.1% YoY

PEG RatioValuation
0.528/10

Growing faster than its price suggests

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

NBIS4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Debt/EquityHealth
1.323/10

Elevated debt levels

P/E RatioValuation
84.6x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-214.90M2/10

Negative free cash flow — burning cash

WMG4 concerns · Avg: 3.0/10
P/E RatioValuation
33.7x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Price/BookValuation
20.6x2/10

Trading at 20.6x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : NBIS

The strongest argument for NBIS centers on Profit Margin, Revenue Growth, Market Cap. Profitability is solid with margins at 93.1% and operating margin at -32.1%. Revenue growth of 684.0% demonstrates continued momentum.

Bull Case : WMG

The strongest argument for WMG centers on Return on Equity, EPS Growth, PEG Ratio. Revenue growth of 16.7% demonstrates continued momentum. PEG of 0.52 suggests the stock is reasonably priced for its growth.

Bear Case : NBIS

The primary concerns for NBIS are EPS Growth, Debt/Equity, P/E Ratio. A P/E of 84.6x leaves little room for execution misses.

Bear Case : WMG

The primary concerns for WMG are P/E Ratio, Profit Margin, Piotroski F-Score. Debt-to-equity of 6.70 is elevated, increasing financial risk.

Key Dynamics to Monitor

NBIS carries more volatility with a beta of 1.40 — expect wider price swings.

NBIS is growing revenue faster at 684.0% — sustainability is the question.

WMG generates stronger free cash flow (107M), providing more financial flexibility.

Monitor INTERNET CONTENT & INFORMATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

WMG scores higher overall (70/100 vs 55/100) and 16.7% revenue growth. NBIS offers better value entry with a 38.7% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Nebius Group N.V.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Nebius Group N.V. (Ticker: NBIS) is an innovative technology firm that specializes in advanced digital solutions to enhance client engagement and operational efficiency across diverse sectors. By integrating cutting-edge cloud computing, artificial intelligence, and data analytics, Nebius enables businesses to adeptly manage the complexities of today's digital landscape. The company boasts a strong portfolio of intellectual property and strategic partnerships, positioning it favorably to capitalize on significant growth opportunities in the technology-driven marketplace. As such, Nebius presents a compelling investment opportunity for institutional investors seeking to gain exposure to pioneering solutions in the tech sector.

Visit Website →

Warner Music Group

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Warner Music Group Corp.

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