WPP:LSE-WPP plc (GBX)

COMMON STOCK | Advertising Agencies | LSE

Last Closing Price

GBX 977.20

Change

0.00 (0.00)%

Market Cap

GBX 11.73B

Volume

4.08M

Average Target Price

GBX 1,028.07 (+5.21%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

WPP plc, a creative transformation company, provides communications, experience, commerce, and technology services in North America, the United Kingdom, Western Continental Europe, the Asia Pacific, Latin America, Africa, the Middle East, and Central and Eastern Europe. The company operates through three segments: Global Integrated Agencies, Public Relations, and Specialist Agencies. It engages in the planning and creation of marketing and branding campaigns; design and production of advertisements across all media; and provision of media buying services, including strategy and business development, media investment, data and technology, and content. The company also advises to clients who are seeking to communicate with a range of stakeholders from consumers to governments and the business and financial communities. WPP plc was founded in 1985 and is based in London, the United Kingdom.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-06-20 )

Largest Industry Peers for Advertising Agencies

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
SFOR:LSE S4 Capital plc

N/A

GBX3.27B N/A 80.29
ASCL:LSE Ascential plc

N/A

GBX1.63B 151.68 19.92
YOU:LSE YouGov plc

N/A

GBX1.31B 163.89 41.04
TRMR:LSE Tremor International Ltd

N/A

GBX0.90B 44.90 21.15
NFC:LSE Next Fifteen Communications Gr..

N/A

GBX0.81B 194.00 24.53
FOUR:LSE 4imprint Group plc

N/A

GBX0.78B 357.69 84.26
OOUT:LSE Ocean Outdoor Limited

N/A

GBX0.43B N/A 16.37
PEBB:LSE The Pebble Group Plc

N/A

GBX0.26B 65.63 28.88
SAA:LSE M&C Saatchi plc

N/A

GBX0.18B 3.83 10.28
CLL:LSE Cello Health plc

N/A

GBX0.18B 36.10 13.95

ETFs Containing WPP

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Advertising Agencies)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 22.15% 43% F 80% B-
Dividend Return 0.02% 100% A+ 22% F
Total Return 22.17% 43% F 80% B-
Trailing 12 Months  
Capital Gain 48.02% 37% F 79% C+
Dividend Return 1.54% 100% A+ 44% F
Total Return 49.55% 37% F 79% C+
Trailing 5 Years  
Capital Gain -37.32% 50% F 16% F
Dividend Return 15.83% 80% B- 63% D
Total Return -21.49% 57% F 19% F
Average Annual (5 Year Horizon)  
Capital Gain -15.40% 26% F 6% F
Dividend Return 5.03% 83% B 87% B+
Total Return -10.37% 32% F 8% F
Risk Return Profile  
Volatility (Standard Deviation) 28.24% 89% B+ 43% F
Risk Adjusted Return -36.71% 21% F 8% F
Market Capitalization 11.73B 100% A+ 97% A+
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Advertising Agencies)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 11.56 69% D+ 63% D
Price/Book Ratio 2.42 57% F 38% F
Price / Cash Flow Ratio 5.71 74% C 51% F
EV/EBITDA 5.61 95% A 79% C+
Management Effectiveness  
Return on Equity -43.00% 15% F 13% F
Return on Invested Capital -15.52% 13% F 17% F
Return on Assets -3.77% 26% F 27% F
Debt to Equity Ratio 102.62% 8% F 15% F
Technical Ratios  
Short Ratio N/A N/A N/A N/A N/A
Short Percent N/A N/A N/A N/A N/A
Beta 1.34 43% F 17% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (GBX)

Quarterly Financials (GBX)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector