Warner Music is the third-largest of the three major record companies, and it should be a primary beneficiary of the ongoing growth we expect throughout the music industry. Fears about AI-generated music have recently sparked concern that these recordings will take share from the human artists on which Warner relies, but we think these concerns are overstated. Unless consumers are willing to forgo human-created music, the power Warner has over “real” music gives it leverage to continue taking its historical share of revenue on subscription streaming platforms.