Stagwell (NASDAQ:STGW) Shares Down 11.6% – What’s Next?

Stagwell Inc. (NASDAQ:STGW) was down 11.6% during mid-day trading on Tuesday . The stock traded as low as $5.46 and last traded at $5.3650. Approximately 1,464,843 shares were traded during mid-day trading, a decline of 33% from the average daily volume of 2,173,084 shares. The stock had previously closed at $6.07.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on STGW shares. Zacks Research lowered shares of Stagwell from a “strong-buy” rating to a “hold” rating in a research note on Friday. Seaport Research Partners upgraded Stagwell to a “strong-buy” rating in a research report on Friday, November 14th. Needham & Company LLC boosted their price target on Stagwell from $6.36 to $7.25 and gave the stock a “buy” rating in a research report on Friday, November 7th. Weiss Ratings reissued a “sell (d+)” rating on shares of Stagwell in a research note on Monday, December 29th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $9.00 target price on shares of Stagwell in a research note on Monday, December 1st. Three equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $8.15.

Stagwell Trading Down 10.5%

The company has a market cap of $1.37 billion, a PE ratio of 90.50 and a beta of 1.68. The company’s 50 day simple moving average is $5.58 and its two-hundred day simple moving average is $5.40. The company has a debt-to-equity ratio of 1.98, a current ratio of 0.89 and a quick ratio of 0.89.

Stagwell (NASDAQ:STGW) last issued its quarterly earnings data on Thursday, November 6th. The company reported $0.24 earnings per share for the quarter, beating analysts’ consensus estimates of $0.23 by $0.01. The business had revenue of $743.00 million during the quarter, compared to analysts’ expectations of $743.11 million. Stagwell had a return on equity of 15.31% and a net margin of 0.68%.The company’s revenue was up 4.5% on a year-over-year basis. During the same period in the previous year, the firm posted $0.22 earnings per share. Stagwell has set its FY 2025 guidance at 0.750-0.880 EPS. As a group, sell-side analysts anticipate that Stagwell Inc. will post 0.59 EPS for the current fiscal year.

Hedge Funds Weigh In On Stagwell

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. GenTrust LLC purchased a new position in Stagwell during the 4th quarter worth approximately $156,000. New York State Teachers Retirement System acquired a new stake in shares of Stagwell in the 4th quarter worth $52,000. Arizona State Retirement System increased its position in Stagwell by 17.0% during the 4th quarter. Arizona State Retirement System now owns 32,401 shares of the company’s stock worth $158,000 after purchasing an additional 4,702 shares during the period. CWM LLC grew its holdings in Stagwell by 804.0% during the fourth quarter. CWM LLC now owns 21,561 shares of the company’s stock worth $105,000 after acquiring an additional 19,176 shares during the period. Finally, State of Alaska Department of Revenue boosted its position in shares of Stagwell by 294.5% during the 4th quarter. State of Alaska Department of Revenue now owns 33,060 shares of the company’s stock worth $160,000 after purchasing an additional 24,679 shares in the last quarter. 35.61% of the stock is owned by institutional investors and hedge funds.

About Stagwell

Stagwell Inc is a modern marketing and communications network that partners with global organizations to drive brand growth through data-driven insights and creative solutions. The company operates a diversified portfolio of specialized agencies and technology platforms, offering services that span digital marketing, advertising, public relations, consumer and market research, social media strategy, and commerce consulting. By integrating research, creative, media, and technology under a unified network, Stagwell aims to deliver end-to-end marketing solutions tailored to the evolving needs of clients in sectors such as technology, healthcare, consumer goods, and financial services.

Founded in 2015 by long-time political strategist and pollster Mark Penn, Stagwell has expanded organically and through strategic acquisitions to build capabilities across the marketing value chain.