(IPG) Interpublic of Companies - Ratings and Ratios
Advertising, Marketing, Media, Communications, Consulting
IPG EPS (Earnings per Share)
IPG Revenue
Description: IPG Interpublic of Companies
The Interpublic Group of Companies, Inc. is a global advertising and marketing services provider, operating through three main segments: Media, Data & Engagement Solutions, Integrated Advertising & Creativity Led Solutions, and Specialized Communications & Experiential Solutions. The companys diverse portfolio of brands, including IPG Mediabrands, FCB, and Weber Shandwick, offer a range of services such as media planning, digital marketing, and public relations.
To evaluate IPGs performance, key performance indicators (KPIs) such as revenue growth, operating margin, and return on equity (RoE) are crucial. With a RoE of 13.22%, IPG demonstrates a reasonable return on shareholders equity. Additionally, the companys ability to maintain a stable operating margin in the face of industry competition is vital. Other important metrics include the companys debt-to-equity ratio and free cash flow, which can indicate its financial health and ability to invest in growth opportunities.
IPGs competitive position in the advertising industry can be assessed by analyzing its market share, client diversification, and the quality of its services. The companys global presence, with a diverse client base across various industries, can help mitigate risks associated with regional economic downturns. Furthermore, IPGs investment in digital marketing capabilities, such as data management and analytics, is essential for its long-term success in a rapidly evolving industry.
To further analyze IPGs stock, one can examine its dividend yield, payout ratio, and the consistency of its dividend payments. A stable dividend policy can indicate a companys financial stability and commitment to returning value to shareholders. Moreover, IPGs valuation multiples, such as the price-to-earnings (P/E) ratio of 18.46, can be compared to industry peers to determine if the stock is fairly valued.
IPG Stock Overview
| Market Cap in USD | 9,831m |
| Sub-Industry | Advertising |
| IPO / Inception | 1987-11-05 |
IPG Stock Ratings
| Growth Rating | -9.88% |
| Fundamental | 58.6% |
| Dividend Rating | 79.8% |
| Return 12m vs S&P 500 | -25.7% |
| Analyst Rating | 3.80 of 5 |
IPG Dividends
| Dividend Yield 12m | 6.17% |
| Yield on Cost 5y | 11.18% |
| Annual Growth 5y | 5.29% |
| Payout Consistency | 74.4% |
| Payout Ratio | 45.7% |
IPG Growth Ratios
| Growth Correlation 3m | 84.1% |
| Growth Correlation 12m | -83% |
| Growth Correlation 5y | 8.6% |
| CAGR 5y | 12.76% |
| CAGR/Max DD 5y | 0.32 |
| Sharpe Ratio 12m | -0.47 |
| Alpha | -27.67 |
| Beta | 0.815 |
| Volatility | 26.12% |
| Current Volume | 2410.2k |
| Average Volume 20d | 5128.8k |
| Stop Loss | 26 (-3.1%) |
| Signal | 0.84 |
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income (441.7m TTM) > 0 and > 6% of Revenue (6% = 620.7m TTM) |
| FCFTA 0.05 (>2.0%) and ΔFCFTA -0.54pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 5.75% (prev 4.94%; Δ 0.81pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.05 (>3.0%) and CFO 921.9m > Net Income 441.7m (YES >=105%, WARN >=100%) |
| Net Debt (1.40b) to EBITDA (1.38b) ratio: 1.01 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.07 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (370.1m) change vs 12m ago -2.27% (target <= -2.0% for YES) |
| Gross Margin 17.32% (prev 15.21%; Δ 2.11pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 60.78% (prev 64.12%; Δ -3.33pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.38 (EBITDA TTM 1.38b / Interest Expense TTM 209.8m) >= 6 (WARN >= 3) |
Altman Z'' 1.84
| (A) 0.03 = (Total Current Assets 9.30b - Total Current Liabilities 8.71b) / Total Assets 17.03b |
| (B) 0.25 = Retained Earnings (Balance) 4.29b / Total Assets 17.03b |
| (C) 0.07 = EBIT TTM 1.13b / Avg Total Assets 17.02b |
| (D) 0.33 = Book Value of Equity 4.33b / Total Liabilities 13.24b |
| Total Rating: 1.84 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 58.59
| 1. Piotroski 4.0pt = -1.0 |
| 2. FCF Yield 7.48% = 3.74 |
| 3. FCF Margin 8.12% = 2.03 |
| 4. Debt/Equity 0.80 = 2.19 |
| 5. Debt/Ebitda 2.15 = -0.29 |
| 6. ROIC - WACC 4.35% = 5.43 |
| 7. RoE 11.92% = 0.99 |
| 8. Rev. Trend -34.02% = -1.70 |
| 9. Rev. CAGR -1.41% = -0.23 |
| 10. EPS Trend -39.55% = -0.99 |
| 11. EPS CAGR -12.75% = -1.59 |
What is the price of IPG shares?
Over the past week, the price has changed by -1.54%, over one month by +5.63%, over three months by +11.95% and over the past year by -13.11%.
Is Interpublic of Companies a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of IPG is around 25.63 USD . This means that IPG is currently overvalued and has a potential downside of -4.51%.
Is IPG a buy, sell or hold?
- Strong Buy: 2
- Buy: 4
- Hold: 4
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the IPG price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 32.6 | 21.6% |
| Analysts Target Price | 32.6 | 21.6% |
| ValueRay Target Price | 28.2 | 5.2% |
Last update: 2025-08-30 04:45
IPG Fundamental Data Overview
CCE Cash And Equivalents = 1.56b USD (last quarter)
P/E Trailing = 22.7458
P/E Forward = 9.1996
P/S = 1.1112
P/B = 2.6332
P/EG = 0.9833
Beta = 1.041
Revenue TTM = 10.35b USD
EBIT TTM = 1.13b USD
EBITDA TTM = 1.38b USD
Long Term Debt = 2.92b USD (from longTermDebt, last quarter)
Short Term Debt = 37.6m USD (from shortTermDebt, last quarter)
Debt = 2.96b USD (Calculated: Short Term 37.6m + Long Term 2.92b)
Net Debt = 1.40b USD (from netDebt column, last quarter)
Enterprise Value = 11.23b USD (9.83b + Debt 2.96b - CCE 1.56b)
Interest Coverage Ratio = 5.38 (Ebit TTM 1.13b / Interest Expense TTM 209.8m)
FCF Yield = 7.48% (FCF TTM 839.7m / Enterprise Value 11.23b)
FCF Margin = 8.12% (FCF TTM 839.7m / Revenue TTM 10.35b)
Net Margin = 4.27% (Net Income TTM 441.7m / Revenue TTM 10.35b)
Gross Margin = 17.32% ((Revenue TTM 10.35b - Cost of Revenue TTM 8.55b) / Revenue TTM)
Tobins Q-Ratio = 2.59 (Enterprise Value 11.23b / Book Value Of Equity 4.33b)
Interest Expense / Debt = 1.71% (Interest Expense 50.5m / Debt 2.96b)
Taxrate = 31.83% (from yearly Income Tax Expense: 333.9m / 1.05b)
NOPAT = 769.2m (EBIT 1.13b * (1 - 31.83%))
Current Ratio = 1.07 (Total Current Assets 9.30b / Total Current Liabilities 8.71b)
Debt / Equity = 0.80 (Debt 2.96b / last Quarter total Stockholder Equity 3.71b)
Debt / EBITDA = 2.15 (Net Debt 1.40b / EBITDA 1.38b)
Debt / FCF = 3.52 (Debt 2.96b / FCF TTM 839.7m)
Total Stockholder Equity = 3.70b (last 4 quarters mean)
RoA = 2.59% (Net Income 441.7m, Total Assets 17.03b )
RoE = 11.92% (Net Income TTM 441.7m / Total Stockholder Equity 3.70b)
RoCE = 17.03% (Ebit 1.13b / (Equity 3.70b + L.T.Debt 2.92b))
RoIC = 11.55% (NOPAT 769.2m / Invested Capital 6.66b)
WACC = 7.20% (E(9.83b)/V(12.79b) * Re(9.02%)) + (D(2.96b)/V(12.79b) * Rd(1.71%) * (1-Tc(0.32)))
Shares Correlation 5-Years: -100.0 | Cagr: -1.92%
Discount Rate = 9.02% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 75.54% ; FCFE base≈876.2m ; Y1≈917.5m ; Y5≈1.07b
Fair Price DCF = 42.85 (DCF Value 15.70b / Shares Outstanding 366.3m; 5y FCF grow 5.06% → 3.0% )
Revenue Correlation: -34.02 | Revenue CAGR: -1.41%
Rev Growth-of-Growth: -5.55
EPS Correlation: -39.55 | EPS CAGR: -12.75%
EPS Growth-of-Growth: -76.11
Additional Sources for IPG Stock
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