Warner Music Group Shows the Music Industry Can Be Profitable Again
Warner Music Group (NASDAQ: WMG) is home to some of the most iconic record labels, including Atlantic Records, Warner Records, and Parlophone Records, featuring recording artists such as Ed Sheeran, Bruno Mars, and Cardi B.
The company made a bold decision this year to go forward with an initial public offering (IPO) in the midst of the COVID-19 pandemic. The IPO was successful, and the deal raised approximately $2 billion at $25 per share. Some investors have speculated that Warner's decision to IPO this year had something to do with its rival, Universal Music Group (UMG), selling 10% of its company to Tencent Music Entertainment.
In reality, this may have been the perfect time for Warner Music to go public. The company has seen strong growth with the rise of music streaming and has even been able to report a profit.
Source Fool.com
