Stagwell (NASDAQ:STGW) Updates FY24 Earnings Guidance

Stagwell (NASDAQ:STGW) issued an update on its FY24 earnings guidance on Wednesday morning. The company provided earnings per share guidance of $0.75-$0.88 for the period, compared to the consensus earnings per share estimate of $0.78. Stagwell also updated its FY 2024 guidance to 0.750-0.880 EPS.

Stagwell Stock Performance

NASDAQ:STGW opened at $6.90 on Friday. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 1.39. Stagwell has a 12-month low of $3.83 and a 12-month high of $8.59. The stock has a 50-day moving average price of $5.83 and a 200 day moving average price of $5.79.

Stagwell (NASDAQ:STGW) last released its earnings results on Tuesday, February 27th. The company reported $0.12 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.25 by ($0.13). Stagwell had a positive return on equity of 7.35% and a negative net margin of 0.16%. The business had revenue of $654.90 million for the quarter, compared to analysts’ expectations of $683.12 million. During the same quarter in the prior year, the business posted $0.22 EPS. The business’s revenue for the quarter was down 7.5% compared to the same quarter last year. On average, sell-side analysts expect that Stagwell will post 0.75 earnings per share for the current fiscal year.

Analyst Ratings Changes

STGW has been the subject of a number of research reports. Benchmark increased their price target on Stagwell from $6.50 to $9.00 and gave the company a buy rating in a research note on Thursday. TheStreet raised Stagwell from a d+ rating to a c- rating in a research note on Wednesday, March 6th. Needham & Company LLC reaffirmed a buy rating and issued a $7.50 price objective on shares of Stagwell in a research note on Thursday. Finally, B. Riley raised their price objective on Stagwell from $9.00 to $10.00 and gave the company a buy rating in a research note on Thursday. Three investment analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of Moderate Buy and a consensus price target of $8.06.

Insider Activity at Stagwell

In other news, Director Wade Oosterman bought 5,000 shares of the stock in a transaction on Wednesday, February 28th. The stock was acquired at an average cost of $5.04 per share, for a total transaction of $25,200.00. Following the acquisition, the director now owns 128,204 shares of the company’s stock, valued at $646,148.16. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In related news, Director Wade Oosterman purchased 5,000 shares of Stagwell stock in a transaction dated Wednesday, February 28th. The stock was purchased at an average cost of $5.04 per share, with a total value of $25,200.00. Following the transaction, the director now owns 128,204 shares in the company, valued at approximately $646,148.16. The purchase was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO Mark Jeffery Penn purchased 10,000 shares of Stagwell stock in a transaction dated Wednesday, February 28th. The stock was bought at an average cost of $5.20 per share, with a total value of $52,000.00. Following the completion of the transaction, the chief executive officer now owns 2,480,469 shares in the company, valued at approximately $12,898,438.80. The disclosure for this purchase can be found here. 4.90% of the stock is owned by company insiders.

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.