Streaming Firms Propel Music Stocks’ Rise as U.S. Markets Decline

Music shares recovered — and surpassed key U.S. indices— for a second consecutive week following President Trump’s tariff strategies that triggered market turmoil. 

The 20-company Billboard Global Music Index (BGMI) increased by 3.6% to 2,446.90, marking its second week of growth after an 8.2% drop during the week that ended on April 4. Fourteen out of the 20 stocks saw gains, with five achieving increases of over 5%. The largest firms were among the top gainers of the week, significantly influencing the index’s overall value, while the four biggest losers were the index’s least valuable stocks. 

The BGMI outstripped both the Nasdaq and S&P 500, which fell by 2.6% and 1.5%, respectively, although it did not match the FTSE 100’s 3.9% rise. South Korea’s KOSPI composite index rose by 2.1%, while China’s SSE Composite Index climbed by 1.2%. 

Streaming entities, viewed by analysts as well-positioned to endure the fallout from U.S. tariff actions, emerged as top performers during the week. Cloud Music was the standout, soaring 10.5% to 156.40 HKD ($20.15). Deezer came in as the third-best performer with a 6.7% increase. 

Spotify, the leading music corporation, climbed 5.6% to $574.25. UBS reduced its price target for Spotify on Tuesday from $690 to $680 while keeping its buy recommendation. Tencent Music Entertainment saw a modest increase of 0.4%, resulting in a 10.2% growth this year. 

Companies from various sectors, especially those based in South Korea, also had a positive performance. YG Entertainment surged 10.0% to 66,800 KRW ($47.10). SM Entertainment increased by 9.3% to 116,300 KRW ($81.99), and JYP Entertainment rose by 6.2% to 63,300 KRW ($44.63). HYBE improved by 2.0%, reaching 230,500 KRW ($162.51). 

Universal Music Group advanced by 3.2% to 23.96 euros ($27.25), transforming a deficit into a year-to-date gain of 0.2%. Warner Music Group experienced a minor rise of 0.3%, resulting in a 6.1% loss this year. 

Live entertainment organizations reported mixed outcomes. German promoter CTS Eventim gained 4.2% to 97.20 euros ($110.54), and MSG Entertainment increased by 1.2% to $30.69. Live Nation decreased by 1.8% to $127.22. Sphere Entertainment Co. saw a marked decline of 6.3%, falling to $25.38. The entity, which operates the Sphere venue in Las Vegas, has recorded a 40.2% downturn this year.

Radio firms continued their downward trend. iHeartMedia fell by 14.8%, leading to a year-to-date decline of 54%. Cumulus Media dropped by 19.4%, increasing its year-to-date deficit to 67.5%. 

Tariffs remained a prominent topic in the financial sector this week. Apple and other technology firms reliant on imports of smartphones, computers, and chips from China and various Asian nations received a break from the most significant tariffs. The announcement on April 11 caused Apple’s stock to rise by 2% on Monday (April 14), pushing its market capitalization back over $3 trillion. On Thursday, the Trump administration introduced new charges on ships from China docking at U.S. ports. However, some of those charges were quickly retracted, exempting vessels traveling between U.S. ports or from domestic ports to Caribbean islands or U.S. territories.

• Source: NEWHD MEDIA