Warner Music stock (NASDAQ: WMG) was on a downward trajectory after the company's calendar Q3 earnings release, slipping about 10%. However, it is now beginning to make a comeback. Will new streaming-monetization moves continue to drive its growth into the new year?

Unraveling Warner Music's Stock Journey and Future Prospects

Post-Earnings Dip and Rebound

Warner Music Group stock (NASDAQ: WMG) faced a nearly 10% dip following the earnings release. But now, it is showing signs of recovery. Revenue climbed modestly, while earnings missed estimates, and quarterly net income plummeted 69% year-on-year to $48 million. This intersection of events led many investors during the earnings call to focus more on the company's streaming-growth runway heading into 2025 rather than the core quarterly and fiscal-year financials.Streaming platforms and live players are in the spotlight, with Spotify (NYSE: SPOT) and Live Nation (NYSE: LYV) being key players. As music is crucial to on-demand services and concerts, the major labels like Warner Music, Universal Music, and Sony Music are looking to increase their share.

Streaming Services' Family Tiers

One of the changes being considered is dialing back streaming services' family tiers. This move, which is likely being discussed at other majors as well, is expected to have an impact in 2025. Recorded subscription revenue growth is slowing in the largest music market, and looking for greater contributions from multi-package offerings makes sense on multiple fronts.Warner Music Group is working on a superfan app, with an unknown release date. Adjacent "Deluxe" plans designed for diehard listeners are also part of the strategy. These two areas, often conflated but distinct, aim to attract different types of fans - K-pop fanatics with artist- or genre-specific offerings and audiophiles for higher-fidelity audio.

Emerging Music Sectors - India

Though monetization in India is challenging currently, it is attracting significant industry investments, including from Warner Music. Kyncl indicated that India will become an increasingly influential global force in the music business, and its paid-streaming base has grown 40% year-on-year. The company is banking on long-term subscriber and revenue growth in this emerging sector.

Monetization Objectives - Wholesale Pricing

Kyncl further noted an ongoing embrace of wholesale pricing. There are also "two to three new revenue streams sketched out," although nothing can be revealed publicly for now. These efforts are part of Warner Music's strategy to enhance its monetization and drive growth.