Interpublic Group of Cos., Inc. (IPG) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

QuinStreet, Inc.

IBEX Ltd.

Omnicom Group, Inc.

Interpublic Group of Cos., Inc.

Thryv Holdings, Inc.

Advantage Solutions, Inc. (California)

Veritone, Inc.

National CineMedia, Inc.

Boston Omaha Corp.

Clear Channel Outdoor Holdings, Inc.

Focus Universal, Inc.

Why is Interpublic Group of Cos., Inc. ?

High Management Efficiency with a high ROCE of 28.78%

Company has a low Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 7.70% of over the last 5 years

Flat results in Jun 25

ROCE(HY) Lowest at 11.7%

With ROCE of 28.65%, it has a very expensive valuation with a 2.01 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -19.39%, its profits have fallen by -30.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -19.39% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Interpublic Group of Cos., Inc. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Interpublic Group of Cos., Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Interpublic Group of Cos., Inc.

-19.39%

-0.62

31.14%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.24%

EBIT Growth (5y)

7.70%

EBIT to Interest (avg)

6.94

Debt to EBITDA (avg)

0.84

Net Debt to Equity (avg)

0.37

Sales to Capital Employed (avg)

1.53

Tax Ratio

34.93%

Dividend Payout Ratio

72.31%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

28.78%

ROE (avg)

27.48%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.38

EV to EBIT

7.00

EV to EBITDA

5.93

EV to Capital Employed

2.01

EV to Sales

0.94

PEG Ratio

Dividend Yield

5.96%

ROCE (Latest)

28.65%

ROE (Latest)

21.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 75.15%

RAW MATERIAL COST(Y)

Fallen by -28.21% (YoY

-2What is not working for the Company

ROCE(HY)

Lowest at 11.7%

Here's what is working for Interpublic Group of Cos., Inc.

Dividend Payout Ratio

Highest at 75.15%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -28.21% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales