WPP (LON:WPP) Stock Price Down 5% on Analyst Downgrade

Key Points

• Citigroup downgrade: WPP shares fell about 5% after Citigroup cut its price target from GBX 310 to GBX 275 while keeping a neutral rating, with the stock trading as low as GBX 240.85.
• Insider activity: Philip Jansen bought 50,000 shares at GBX 255 (~£127,500) on Feb 26, while Cindy Rose sold 41,571 shares at GBX 256 on Mar 10; insiders now own 2.03% of the company.
• Weak recent results and metrics: WPP reported GBX (20) EPS last quarter, has negative net margin and ROE, a 50-day moving average (GBX 254.29) below the 200-day (GBX 301.58), and a market cap of about £2.62 billion.

Shares of WPP plc (LON:WPP - Get Free Report) were down 5% during trading on Thursday after Citigroup lowered their price target on the stock from GBX 310 to GBX 275. Citigroup currently has a neutral rating on the stock. WPP traded as low as GBX 240.85 and last traded at GBX 243.10. Approximately 10,821,021 shares traded hands during mid-day trading, a decline of 59% from the average daily volume of 26,508,605 shares. The stock had previously closed at GBX 256.

Insider Buying and Selling

In other WPP news, insider Philip Jansen bought 50,000 shares of the business's stock in a transaction that occurred on Thursday, February 26th. The stock was bought at an average cost of GBX 255 per share, for a total transaction of £127,500. Also, insider Cindy Rose sold 41,571 shares of the business's stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of GBX 256, for a total transaction of £106,421.76. Insiders own 2.03% of the company's stock.

WPP Price Performance

The firm's 50-day moving average is GBX 254.29 and its 200-day moving average is GBX 301.58. The company has a debt-to-equity ratio of 334.84, a current ratio of 0.89 and a quick ratio of 0.89. The company has a market capitalization of £2.62 billion, a P/E ratio of -12.16, a price-to-earnings-growth ratio of 13.47 and a beta of 0.60.

WPP (LON:WPP - Get Free Report) last issued its quarterly earnings results on Thursday, February 26th. The company reported GBX (20) earnings per share for the quarter. WPP had a negative net margin of 1.59% and a negative return on equity of 7.54%. Analysts predict that WPP plc will post 81.6125654 EPS for the current fiscal year.

WPP Company Profile

WPP is the creative transformation company, using the power of creativity to build better futures for our people, planet, clients and communities. We are a world leader in marketing services, with deep AI, data and technology capabilities, global presence and unrivalled creative talent.

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