WPP Stock Analysis: WPP | NYSE
Advertising Agencies | NYSE, USA | Market Cap: 4.359m USD | 12M Return: 1.8% | US92937A1025 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 7.18M
Warnings
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
WPP plc is a London-headquartered creative transformation company that delivers communications, experience, commerce, and technology services to clients worldwide, operating across three segments: Global Integrated Agencies, Public Relations, and Specialist Agencies. Its service offering spans the full marketing value chain, including brand strategy and identity, creative ideation and production, media planning and buying, commerce media, influencer and social media management, data analytics, public affairs, crisis communications, and strategic advisory. The company is classified within the GICS Communication Services sector under the Advertising sub-industry and is one of the major global advertising holding companies, competing alongside peers such as Omnicom, Publicis Groupe, Interpublic, and Dentsu. WPP was founded in 1985, is domiciled in the United Kingdom, and trades on the NYSE as an American Depositary Receipt (ADR) representing its London-listed ordinary shares.
- Digital ad spend growth accelerates revenue mix shift
- AI integration pressures agency headcount and margins
- Publicis and Accenture competition threatens creative market share
| Net Income: -215.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -2.15 > 1.0 |
| NWC/Revenue: -12.29% < 20% (prev -12.58%; Δ 0.30% < -1%) |
| CFO/TA 0.03 > 3% & CFO 724.0m > Net Income -215.0m |
| Net Debt (6.03b) to EBITDA (639.0m): 9.44 < 3 |
| Current Ratio: 0.89 > 1.5 & < 3 |
| Outstanding Shares: last quarter (215.0m) vs 12m ago -80.31% < -2% |
| Gross Margin: 15.84% > 18% (prev 16.63%; Δ -0.79% > 0.5%) |
| Asset Turnover: 54.65% > 50% (prev 57.79%; Δ -3.13% > 0%) |
| Interest Coverage Ratio: 0.83 > 6 (EBIT TTM 292.0m / Interest Expense TTM 352.0m) |
| A: -0.07 (Total Current Assets 13.2b - Total Current Liabilities 14.8b) / Total Assets 24.1b |
| B: 0.09 (Retained Earnings 2.05b / Total Assets 24.1b) |
| C: 0.01 (EBIT TTM 292.0m / Avg Total Assets 24.8b) |
| D: 0.12 (Book Value of Equity 2.54b / Total Liabilities 21.3b) |
| Altman-Z'' = 0.03 = B |
| DSRI: 0.73 (Receivables 7.28b/10.8b, Revenue 13.6b/14.7b) |
| GMI: 1.05 (GM 16.63% / 15.84%) |
| AQI: 0.98 (AQ_t 0.37 / AQ_t-1 0.37) |
| SGI: 0.92 (Revenue 13.6b / 14.7b) |
| TATA: -0.04 (NI -215.0m - CFO 724.0m) / TA 24.1b) |
| Beneish M = -3.27 (Cap -4..+1) = AA |
As of August 07, 2026, the stock is trading at USD 25.95 with a total of 2,749,717 shares traded. Over the past week, the price has changed by +26.83%, over one month by +49.48%, over three months by +43.98% and over the past year by +1.75%.
Current recommended Stop Loss: 24.80 (which is 4.4% or 1.4 ATR below the current price).
WPP has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold WPP.
- StrongBuy: 0
- Buy: 1
- Hold: 0
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 18.5 | -28.6% |
Market Cap GBP = 3.24b (4.36b USD * 0.7434 USD.GBP)
P/E Forward = 4.8008
P/S = 0.3217
P/B = 1.284
P/EG = 4.229
Revenue TTM = 13.6b GBP
EBIT TTM = 292.0m GBP
EBITDA TTM = 639.0m GBP
Long Term Debt = 4.11b GBP (from longTermDebt, last quarter)
Short Term Debt = 1.04b GBP (from shortTermDebt, last quarter)
Debt = 8.73b GBP (from shortLongTermDebtTotal, last quarter) + Leases 1.90b
Net Debt = 6.03b GBP (calculated: Debt 8.73b - CCE 2.69b)
Enterprise Value = 9.27b GBP (3.24b + Debt 8.73b - CCE 2.69b)
Interest Coverage Ratio = 0.83 (Ebit TTM 292.0m / Interest Expense TTM 352.0m)
EV/FCF = 14.65x (Enterprise Value 9.27b / FCF TTM 633.0m)
FCF Yield = 6.82% (FCF TTM 633.0m / Enterprise Value 9.27b)
FCF Margin = 4.67% (FCF TTM 633.0m / Revenue TTM 13.6b)
Net Margin = -1.59% (Net Income TTM -215.0m / Revenue TTM 13.6b)
Gross Margin = 15.84% ((Revenue TTM 13.6b - Cost of Revenue TTM 11.4b) / Revenue TTM)
Gross Margin QoQ = 19.01% (prev 12.56%)
Tobins Q-Ratio = 0.39 (Enterprise Value 9.27b / Total Assets 24.1b)
Interest Expense / Debt = 4.03% (Interest Expense 352.0m / Debt 8.73b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 230.7m (EBIT 292.0m * (1 - 21.00%))
Current Ratio = 0.89 (Total Current Assets 13.2b / Total Current Liabilities 14.8b)
Debt / Equity = 3.44 (Debt 8.73b / totalStockholderEquity, last quarter 2.54b)
Debt / EBITDA = 9.44 (Net Debt 6.03b / EBITDA 639.0m)
Debt / FCF = 9.53 (Net Debt 6.03b / FCF TTM 633.0m)
Total Stockholder Equity = 3.17b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.87% (Net Income -215.0m / Total Assets 24.1b)
RoE = -6.78% (Net Income TTM -215.0m / Total Stockholder Equity 3.17b)
RoCE = 4.01% (EBIT 292.0m / Capital Employed (Equity 3.17b + L.T.Debt 4.11b))
RoIC = 2.40% (NOPAT 230.7m / Invested Capital 9.61b)
WACC = 4.34% (E(3.24b)/V(12.0b) * Re(7.44%) + D(8.73b)/V(12.0b) * Rd(4.03%) * (1-Tc(0.21)))
Discount Rate = 7.44% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -34.00 | Cagr: 0.17%
[DCF] Terminal Value 73.10% ; FCFF base≈867.4m ; Y1≈760.7m ; Y5≈614.6m
[DCF] Fair Price = 17.76 (EV 9.86b - Net Debt 6.03b = Equity 3.83b / Shares 215.7m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.0 | # QB: 0
Revenue Correlation: -89.85 | Revenue CAGR: -4.46% | SUE: N/A | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.00 | Chg30d=N/A | Revisions=N/A | Analysts=0
EPS next Quarter (2026-09-30): EPS=0.00 | Chg30d=N/A | Revisions=N/A | Analysts=0
EPS current Year (2026-12-31): EPS=3.22 | Chg30d=-0.30% | Revisions=+0% | GrowthEPS=-24.6% | GrowthRev=-5.7%
EPS next Year (2027-12-31): EPS=3.32 | Chg30d=-0.02% | Revisions=+0% | GrowthEPS=+3.0% | GrowthRev=-0.5%
[Analyst] Revisions Ratio: +0% (up=2, down=2)