Stagwell Inc. (NASDAQ:STGW) Receives Consensus Recommendation of "Moderate Buy" from Brokerages

Key Points

• Stagwell Inc. (NASDAQ:STGW) receives a consensus rating of “Moderate Buy” from six analysts, with three recommending a hold and three a buy.
• The average 12-month target price for Stagwell shares is $8.17, with notable target prices ranging from $6.36 to $10.00.
• Stagwell reported a loss of $0.02 per share in its latest quarterly earnings, while revenue increased by 5.3% year-over-year, totaling $706.82 million.

Shares of Stagwell Inc. (NASDAQ:STGW - Get Free Report) have earned an average rating of "Moderate Buy" from the six brokerages that are presently covering the company, Marketbeat.com reports. Three investment analysts have rated the stock with a hold recommendation and three have issued a buy recommendation on the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $8.1720.

A number of equities analysts recently weighed in on the company. Wall Street Zen lowered Stagwell from a "buy" rating to a "hold" rating in a research report on Friday, August 22nd. Needham & Company LLC reissued a "buy" rating and set a $6.36 price target on shares of Stagwell in a report on Tuesday, July 22nd. Zacks Research upgraded Stagwell from a "strong sell" rating to a "hold" rating in a report on Monday, September 1st. Morgan Stanley cut their price target on Stagwell from $8.00 to $7.00 and set an "equal weight" rating for the company in a report on Friday, August 1st. Finally, Rosenblatt Securities reaffirmed a "buy" rating and set a $10.00 price objective on shares of Stagwell in a research report on Monday, July 28th.

Institutional Trading of Stagwell

Several institutional investors have recently modified their holdings of the stock. Osaic Holdings Inc. purchased a new stake in shares of Stagwell in the 2nd quarter valued at approximately $287,000. Squarepoint Ops LLC acquired a new stake in Stagwell during the 2nd quarter worth $507,000. Tower Research Capital LLC TRC lifted its stake in shares of Stagwell by 311.8% in the second quarter. Tower Research Capital LLC TRC now owns 10,790 shares of the company's stock valued at $49,000 after purchasing an additional 8,170 shares during the period. Man Group plc increased its holdings in Stagwell by 100.7% during the 2nd quarter. Man Group plc now owns 73,306 shares of the company's stock valued at $330,000 after acquiring an additional 36,779 shares in the last quarter. Finally, Bank of America Corp DE grew its holdings in Stagwell by 44.3% in the second quarter. Bank of America Corp DE now owns 481,056 shares of the company's stock valued at $2,165,000 after purchasing an additional 147,730 shares during the period. Institutional investors and hedge funds own 35.61% of the company's stock.

Stagwell Stock Down 4.0%

Stagwell stock traded down $0.21 during trading on Friday, reaching $5.09. The stock had a trading volume of 2,887,093 shares, compared to its average volume of 1,042,211. The business has a 50 day moving average price of $5.41 and a 200 day moving average price of $5.26. The stock has a market cap of $1.32 billion, a PE ratio of 10.83 and a beta of 1.47. Stagwell has a 52-week low of $4.03 and a 52-week high of $8.18. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 1.90.

Stagwell (NASDAQ:STGW - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The company reported $0.17 earnings per share 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 company had revenue of $706.82 million for the quarter, compared to analyst estimates of $696.03 million. During the same period last year, the company earned $0.14 earnings per share. The business'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, analysts predict that Stagwell will post 0.59 EPS for the current year.

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.