An Issue of Morality

Okay so I have a question for everyone. I've been thinking about this and I'm not sure which side of the debate I'm on.

The debate is this:

Is making a cd out of songs you buy on iTunes/Amazon and giving that cd to someone considered stealing, or if not stealing, just immoral in general?

I'm just not sure. Because on one hand, we purchased the blank cds and we purchased all the songs going onto a cd, and it'd be just as if we purchased an artist's actual album and got tired of it and gave it away... right?

But on the other hand I can see how it hurts the artist because that's money he/she could have made through a sale of their album/song, but it was given to his/her fan for free via said fan's friend.

We have people quite often ask us to make them a worship cd, hence my curiosity on the subject.

What do you think?