WPP (NYSE:WPP) Releases Earnings Results, Misses Expectations By $3.52 EPS

WPP (NYSE:WPP) posted its quarterly earnings results on Thursday. The business services provider reported ($0.80) earnings per share for the quarter, missing the consensus estimate of $2.72 by ($3.52), FiscalAI reports. The business had revenue of $4.54 billion during the quarter, compared to analyst estimates of $3.62 billion.

WPP Trading Up 0.6%

Shares of NYSE:WPP traded up $0.12 during trading on Thursday, reaching $18.85. The company had a trading volume of 914,732 shares, compared to its average volume of 603,237. WPP has a fifty-two week low of $17.25 and a fifty-two week high of $41.87. The stock’s fifty day moving average price is $20.79 and its 200 day moving average price is $22.31.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in WPP. Caitong International Asset Management Co. Ltd acquired a new position in shares of WPP in the third quarter worth $28,000. Global Retirement Partners LLC lifted its stake in shares of WPP by 1,279.5% in the 4th quarter. Global Retirement Partners LLC now owns 1,821 shares of the business services provider’s stock valued at $41,000 after purchasing an additional 1,689 shares in the last quarter. Osaic Holdings Inc. increased its position in shares of WPP by 105.8% in the second quarter. Osaic Holdings Inc. now owns 1,395 shares of the business services provider’s stock worth $49,000 after acquiring an additional 717 shares in the last quarter. Russell Investments Group Ltd. raised its position in WPP by 99.4% in the second quarter. Russell Investments Group Ltd. now owns 2,353 shares of the business services provider’s stock valued at $82,000 after purchasing an additional 1,173 shares during the period. Finally, Quadrant Capital Group LLC purchased a new stake in shares of WPP during the 3rd quarter valued at about $131,000. 4.34% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research analysts recently weighed in on the company. Weiss Ratings restated a “sell (d+)” rating on shares of WPP in a research note on Wednesday, January 21st. Citigroup initiated coverage on WPP in a research report on Monday, January 12th. They issued a “neutral” rating on the stock. Wall Street Zen downgraded WPP from a “hold” rating to a “sell” rating in a research report on Sunday, February 8th. Finally, Zacks Research raised WPP from a “strong sell” rating to a “hold” rating in a report on Monday, December 29th. One investment analyst has rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, WPP currently has an average rating of “Reduce”.

WPP News Summary

Here are the key news stories impacting WPP this week:

• Positive Sentiment: WPP and Adobe expanded their partnership to form a client transformation practice and integrate agentic AI into marketing workflows — a strategic move that supports revenue growth opportunities from AI services. WPP, Adobe Expand Partnership
• Positive Sentiment: Some investors view WPP as a deep-value, contrarian turnaround opportunity — a Seeking Alpha piece argues the stock is undervalued and could produce large returns if restructuring and cost cuts work. (Speculative thesis for long-term investors.) WPP Is A Contrarian Play
• Positive Sentiment: Personnel hires such as Kartik Vishwanathan returning to WPP Media (VP – Investments) help execution capacity on media investment and client delivery. Kartik Vishwanathan Hired
• Neutral Sentiment: Q4 results were mixed: revenue of $4.54B beat analysts’ ~$3.62B estimate, but EPS missed materially (reported -$0.80 vs. $2.72 expected) — suggesting accounting charges/one-offs or restructuring costs. Management provided a slide deck and earnings call transcript for details. Slide Deck Earnings Call Transcript
• Negative Sentiment: Management unveiled a major restructuring — merging agencies into a single integrated company with four operating units and a stronger AI/data focus — and the board slashed the final dividend to 7.5p from 24.4p, signalling material near-term pain for shareholders. WPP Overhauls Structure
• Negative Sentiment: Market reaction included a share drop (reported ~4.5% in GBP) after the overhaul was announced, and short interest rose sharply (about +41% month-over-month), increasing downside pressure and signalling bearish sentiment from some traders.
• Negative Sentiment: Analyst coverage is cautious: the consensus rating is around “Reduce”, reflecting doubts about near-term revenue/margin recovery and slow AI adoption by parts of the client base. Average Rating Reduce

About WPP

WPP plc (NYSE: WPP) is a British multinational advertising and public relations company headquartered in London, England. Recognized as one of the world’s largest communications services groups, WPP provides a wide array of marketing, advertising, media investment management and data consultancy services. Through its integrated network of agencies—among them Ogilvy, Grey, GroupM and Wavemaker—the company delivers creative content, brand strategy, digital transformation and media planning solutions to clients across virtually every industry.

Established in 1971 by Martin Sorrell as Wire and Plastic Products, the firm underwent a strategic transformation in the 1980s, focusing on acquisitions that expanded its capabilities into advertising and communications.