Universal Music Group: Reaffirm Buy Rating As Earnings Growth Profile Got Better

  • Universal Music Group is set to sustain high-single-digit growth, driven by robust demand in the music industry and competitive advantages. 1Q25 results showed 11.8% y/y revenue growth, with strong subscription trends and broad-based market performance, reinforcing my buy rating. The "Streaming 2.0" strategy aims to reshape streaming economics, potentially boosting UMGNF earnings through collaborative models and premium tier offerings.