6 Analysts Assess Stagwell: What You Need To Know

Analysts' ratings for Stagwell STGW over the last quarter vary from bullish to bearish, as provided by 6 analysts.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $8.0, a high estimate of $10.00, and a low estimate of $6.50. This current average has increased by 3.23% from the previous average price target of $7.75.

Exploring Analyst Ratings: An In-Depth Overview

A clear picture of Stagwell's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Stagwell. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Stagwell compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Stagwell's stock. This examination reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Stagwell's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Stagwell analyst ratings.

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Get to Know Stagwell Better

Stagwell Inc is the challenger holding company built to transform marketing. It delivers scaled creative performance for the world's ambitious brands, connecting culture-moving creativity with a technology to harmonize the art and science of marketing. The company's segments include Integrated Agencies Network; Brand Performance Network; Communications Network and other. It generates maximum revenue from the Integrated Agencies Network segment. Geographically, it derives a majority of its revenue from the United States.

Stagwell's Financial Performance

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Decline in Revenue: Over the 3 months period, Stagwell faced challenges, resulting in a decline of approximately -7.52% in revenue growth as of 31 December, 2023. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Communication Services sector.

Net Margin: Stagwell's net margin is impressive, surpassing industry averages. With a net margin of 0.57%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Stagwell's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.09% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Stagwell's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.1%, the company showcases efficient use of assets and strong financial health.

Debt Management: Stagwell's debt-to-equity ratio is notably higher than the industry average. With a ratio of 4.19, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Analyst Ratings: What Are They?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.