Stagwell (NASDAQ:STGW) Releases FY 2025 Earnings Guidance

Key Points

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Stagwell (NASDAQ:STGW - Get Free Report) updated its FY 2025 earnings guidance on Thursday. The company provided earnings per share guidance of 0.750-0.880 for the period, compared to the consensus earnings per share estimate of 0.776. The company issued revenue guidance of $3.1 billion-$3.1 billion, compared to the consensus revenue estimate of $2.9 billion.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the company. Rosenblatt Securities restated a "buy" rating and set a $10.00 price objective on shares of Stagwell in a report on Monday, July 28th. Wall Street Zen upgraded shares of Stagwell from a "hold" rating to a "buy" rating in a report on Saturday. Wells Fargo & Company dropped their price objective on shares of Stagwell from $9.00 to $8.00 and set an "overweight" rating on the stock in a research note on Monday, May 12th. Benchmark downgraded shares of Stagwell from a "strong-buy" rating to a "hold" rating in a research report on Friday, May 9th. Finally, Morgan Stanley lowered their target price on shares of Stagwell from $8.00 to $7.00 and set an "equal weight" rating on the stock in a report on Friday. Two analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $8.17.

Stagwell Stock Performance

Shares of Stagwell stock traded down $0.15 during mid-day trading on Friday, hitting $5.58. 2,910,574 shares of the stock were exchanged, compared to its average volume of 1,444,325. Stagwell has a 12 month low of $4.03 and a 12 month high of $8.18. The company has a 50-day simple moving average of $4.72 and a 200 day simple moving average of $5.49. The company has a market capitalization of $1.49 billion, a P/E ratio of 12.19 and a beta of 1.41. The company has a debt-to-equity ratio of 1.88, a quick ratio of 0.91 and a current ratio of 0.91.

Stagwell (NASDAQ:STGW - Get Free Report) last issued its quarterly 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). The business had revenue of $706.82 million for the quarter, compared to the consensus estimate of $696.03 million. Stagwell had a positive return on equity of 14.56% and a negative net margin of 0.06%. The business's revenue was up 5.3% compared to the same quarter last year. During the same quarter last year, the business posted $0.14 earnings per share. Sell-side analysts anticipate that Stagwell will post 0.59 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Mark Jeffery Penn acquired 10,000 shares of the firm's stock in a transaction that occurred on Wednesday, May 21st. The stock was bought at an average price of $4.87 per share, with a total value of $48,700.00. Following the acquisition, the chief executive officer owned 9,014,055 shares in the company, valued at $43,898,447.85. The trade was a 0.11% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Charlene Barshefsky acquired 24,350 shares of the company's stock in a transaction on Wednesday, June 4th. The shares were acquired at an average cost of $4.30 per share, for a total transaction of $104,705.00. Following the completion of the acquisition, the director owned 185,316 shares of the company's stock, valued at approximately $796,858.80. The trade was a 15.13% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders bought 702,193 shares of company stock valued at $3,044,496 over the last ninety days. 5.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Stagwell

Several large investors have recently modified their holdings of the business. Jane Street Group LLC boosted its holdings in Stagwell by 36.0% in the 1st quarter. Jane Street Group LLC now owns 123,000 shares of the company's stock worth $744,000 after buying an additional 32,546 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Stagwell by 6.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 52,193 shares of the company's stock worth $316,000 after acquiring an additional 3,249 shares in the last quarter. Dynamic Technology Lab Private Ltd bought a new position in shares of Stagwell in the first quarter worth $137,000. Finally, AQR Capital Management LLC purchased a new position in shares of Stagwell in the first quarter valued at $74,000. Hedge funds and other institutional investors own 35.61% of the company's stock.

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.