Hotchkis & Wiley Capital Management LLC Has $108.70 Million Holdings in Stagwell Inc. $STGW

Key Points

• Hotchkis & Wiley Capital Management LLC has reduced its stake in Stagwell Inc. by 4.3%, now holding 17,966,620 shares valued at approximately $108.7 million.
• Stagwell received mixed ratings from analysts, with three analysts rating it a "buy" and two a "hold", while the average price target is set at $8.17.
• In insider trading, directors Eli Samaha and Charlene Barshefsky purchased significant shares, indicating insider confidence in the company's prospects.

Hotchkis & Wiley Capital Management LLC lowered its holdings in Stagwell Inc. (NASDAQ:STGW - Free Report) by 4.3% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 17,966,620 shares of the company's stock after selling 812,100 shares during the period. Hotchkis & Wiley Capital Management LLC owned approximately 6.74% of Stagwell worth $108,698,000 as of its most recent SEC filing.

Several other large investors also recently made changes to their positions in STGW. EntryPoint Capital LLC acquired a new stake in Stagwell during the 1st quarter valued at $184,000. American Century Companies Inc. boosted its stake in Stagwell by 9.5% during the 1st quarter. American Century Companies Inc. now owns 175,739 shares of the company's stock valued at $1,063,000 after acquiring an additional 15,219 shares during the last quarter. Russell Investments Group Ltd. boosted its stake in Stagwell by 63.9% during the 1st quarter. Russell Investments Group Ltd. now owns 473,926 shares of the company's stock valued at $2,867,000 after acquiring an additional 184,769 shares during the last quarter. Nuveen LLC bought a new position in Stagwell during the 1st quarter valued at $1,817,000. Finally, National Bank of Canada FI boosted its stake in Stagwell by 22.3% during the 1st quarter. National Bank of Canada FI now owns 365,971 shares of the company's stock valued at $2,214,000 after acquiring an additional 66,847 shares during the last quarter. Institutional investors and hedge funds own 35.61% of the company's stock.

Insider Buying and Selling

In other Stagwell news, Director Eli Samaha bought 240,000 shares of the company's stock in a transaction that occurred on Thursday, June 5th. The shares were acquired at an average cost of $4.43 per share, for a total transaction of $1,063,200.00. Following the acquisition, the director directly owned 8,014,322 shares of the company's stock, valued at $35,503,446.46. This trade represents a 3.09% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this link. Also, Director Charlene Barshefsky purchased 24,350 shares of the business's stock in a transaction dated Wednesday, June 4th. The shares were purchased at an average price of $4.30 per share, for a total transaction of $104,705.00. Following the acquisition, the director directly owned 185,316 shares of the company's stock, valued at $796,858.80. This trade represents a 15.13% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders purchased a total of 690,107 shares of company stock worth $2,985,887 over the last quarter. Insiders own 3.80% of the company's stock.

Stagwell Price Performance

Shares of NASDAQ STGW traded down $0.01 during midday trading on Wednesday, reaching $5.59. The company's stock had a trading volume of 787,714 shares, compared to its average volume of 1,038,995. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 1.90. The company has a 50 day moving average price of $5.07 and a 200 day moving average price of $5.38. Stagwell Inc. has a one year low of $4.03 and a one year high of $8.18. The company has a market cap of $1.45 billion, a price-to-earnings ratio of 11.94 and a beta of 1.41.

Stagwell (NASDAQ:STGW - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported $0.17 EPS for the quarter, missing analysts' consensus estimates of $0.19 by ($0.02). Stagwell had a positive return on equity of 14.54% and a negative net margin of 0.06%.The business had revenue of $706.82 million during the quarter, compared to the consensus estimate of $696.03 million. During the same quarter in the previous year, the firm earned $0.14 earnings per share. The firm's revenue for the quarter was up 5.3% compared to the same quarter last year. Stagwell has set its FY 2025 guidance at 0.750-0.880 EPS. On average, equities research analysts expect that Stagwell Inc. will post 0.59 EPS for the current year.

Wall Street Analyst Weigh In

STGW has been the topic of a number of research analyst reports. Rosenblatt Securities reiterated a "buy" rating and set a $10.00 price objective on shares of Stagwell in a research note on Monday, July 28th. Wall Street Zen downgraded shares of Stagwell from a "buy" rating to a "hold" rating in a research note on Friday, August 22nd. Benchmark downgraded shares of Stagwell from a "strong-buy" rating to a "hold" rating in a research report on Friday, May 9th. Morgan Stanley dropped their price objective on shares of Stagwell from $8.00 to $7.00 and set an "equal weight" rating on the stock in a report on Friday, August 1st. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $6.36 price objective on shares of Stagwell in a report on Tuesday, July 22nd. Three research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $8.17.

Stagwell Company Profile

Stagwell Inc provides digital transformation, performance media and data, consumer insights and strategy, and creativity and communications services. The company operates through three segments: Integrated Agencies Network, Brand Performance Network, and Communications Network. It designs and builds digital platforms and experiences that support the delivery of content, commerce, service, and sales; creates websites, mobile applications, back-end systems, content and data management systems, and other digital environments; designs and implements technology and data strategies; and develops software and related technology products, including artificial intelligence (AI)-enabled communications, research, and media technology, cookie-less data platforms for advance targeting and activation, software tools for e-commerce applications, specialty media solutions in the augmented reality space, and text messaging applications for consumer engagement.