Music is a daily part of our lives. With the rise of the internet, mobile phones, and music streaming services, billions of people around the world now have the opportunity to listen to millions of songs with the touch of a button. This trend has led the music industry to start growing again after declining in the early 2000s due to the prevalence of pirated content.
For companies that own the rights to these songs, like music labels, this has proven a huge opportunity. One example is Warner Music Group (NASDAQ: WMG) , which has popular artists like Ed Sheeran and the Red Hot Chilli Peppers under contract. The company is set to benefit from the rise of streaming music this decade.
However, the stock is down 37% year to date (YTD), likely due to the broad volatility we are experiencing at the moment. This price drop can provide a buying opportunity for long-term investors. Here's why.
For further details see:
This Beaten-Down Stock Could Be Music to Investors' Ears