08:45 AM EDT, 06/05/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our target price by $2 to $32 using forward TEV/EBITDA of 11.8x our FY 25 (Sep.) EBITDA estimate at $1.67B, below the peer average at 13.0x. We keep our EPS estimates in FY 24 at $1.10 and FY 25 at $1.45. Revenue rose 12% Y/Y in Q2 FY 24, with healthy growth in music publishing and higher streaming revenue. We think FY 24 to date shows improved growth following weaker FY 23 results, with a gap in recorded music releases. WMG is finding distribution via TikTok and other social media channels as critical. In April, WMG launched Warner Music South Asia to address a region with 400 million people across Bangladesh, Nepal, Pakistan, and Sri Lanka. WMG is highly leveraged with 87.9% total debt to total capital ratio. Access Industries is the controlling shareholder, with 72.3% economic interest and 98% voting power in the common shares. For total debt, the nearest maturity date is 2028. In February, WMG announced a plan to deliver $200 million of annualized run rate cost savings by end of FY 25.