Stagwell (NASDAQ:STGW) Updates FY 2026 Earnings Guidance

Stagwell (NASDAQ:STGW) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of 1.030-1.170 for the period, compared to the consensus earnings per share estimate of 1.010. The company issued revenue guidance of $3.0 billion-$3.1 billion, compared to the consensus revenue estimate of $3.2 billion.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on the stock. Wells Fargo & Company raised their price objective on shares of Stagwell from $8.00 to $10.00 and gave the company an “overweight” rating in a research report on Friday. Wall Street Zen cut shares of Stagwell from a “strong-buy” rating to a “buy” rating in a research note on Saturday, May 2nd. Rosenblatt Securities reissued a “buy” rating and issued a $9.00 price target on shares of Stagwell in a report on Tuesday, May 5th. Zacks Research raised Stagwell from a “strong sell” rating to a “hold” rating in a report on Friday, June 5th. Finally, Needham & Company LLC increased their price objective on Stagwell from $8.00 to $10.00 and gave the company a “buy” rating in a research report on Thursday. Five analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $9.00.

Stagwell Trading Down 3.0%

Shares of NASDAQ:STGW traded down $0.26 during trading on Friday, hitting $8.23. 887,860 shares of the company’s stock were exchanged, compared to its average volume of 1,661,262. Stagwell has a 1-year low of $4.28 and a 1-year high of $8.50. The firm has a 50-day moving average price of $7.15 and a two-hundred day moving average price of $6.40. The company has a current ratio of 0.83, a quick ratio of 0.83 and a debt-to-equity ratio of 1.99. The firm has a market cap of $2.04 billion, a P/E ratio of 117.64 and a beta of 1.26.

Stagwell (NASDAQ:STGW) last announced its quarterly earnings data on Thursday, July 30th. The company reported $0.25 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.08. Stagwell had a net margin of 0.64% and a return on equity of 24.12%. The business had revenue of $786.31 million for the quarter, compared to analyst estimates of $754.56 million. During the same period in the prior year, the business posted $0.17 earnings per share. Stagwell’s revenue was up 11.2% compared to the same quarter last year. Stagwell has set its FY 2026 guidance at 1.030-1.170 EPS. Equities analysts predict that Stagwell will post 0.86 earnings per share for the current year.

Insider Buying and Selling at Stagwell

In related news, CEO Mark Jeffery Penn bought 20,000 shares of the business’s stock in a transaction on Wednesday, May 13th. The shares were purchased at an average price of $5.88 per share, with a total value of $117,600.00. Following the completion of the purchase, the chief executive officer owned 23,034,990 shares of the company’s stock, valued at $135,445,741.20. This represents a 0.09% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Bradley J. Gross sold 2,163,790 shares of the firm’s stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $6.04, for a total value of $13,069,291.60. Following the transaction, the director owned 8,789 shares in the company, valued at approximately $53,085.56. This trade represents a 99.60% decrease in their position. The disclosure for this sale is available in the SEC filing. 11.20% of the stock is owned by company insiders.

Key Stagwell News

Here are the key news stories impacting Stagwell this week:

• Positive Sentiment: Analysts raised their price targets. Wells Fargo lifted its target from $8 to $10 and assigned an “overweight” rating, implying approximately 21% upside from the referenced share price. Needham also raised its target to $10 and upgraded the stock to “buy.” Benzinga analyst rating update
• Positive Sentiment: Adjusted earnings and revenue exceeded expectations. Stagwell reported second-quarter adjusted EPS of $0.25, compared with the $0.17 analyst consensus and $0.17 a year earlier. Revenue increased 11% year over year to $786.3 million, surpassing the $754.6 million consensus estimate. Stagwell Q2 earnings and revenues surpass estimates
• Positive Sentiment: Operating momentum remained strong. Adjusted EBITDA rose 15% to $109 million, digital transformation net revenue grew organically 18%, and quarterly net new business reached a record $171 million, with $540 million over the last twelve months. Stagwell reports second-quarter results
• Positive Sentiment: Full-year adjusted EPS guidance was raised to $1.03-$1.17, above the $1.01 consensus estimate, reinforcing the improved earnings outlook.
• Neutral Sentiment: Investor attention is likely to remain focused on Stagwell’s earnings presentation and conference call for details on client demand, margins and the sustainability of new-business wins. Stagwell 2026 Q2 earnings presentation
• Negative Sentiment: Revenue guidance was softer than expected. Stagwell projected full-year 2026 revenue of $3.0-$3.1 billion, below the $3.2 billion consensus estimate.
• Negative Sentiment: The company posted a second-quarter GAAP net loss of $8 million, or $0.03 per share, compared with a $5 million loss a year earlier. This contrasts with the strong adjusted EPS result and highlights continuing earnings-quality concerns.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in shares of Stagwell by 6.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 52,193 shares of the company’s stock valued at $316,000 after buying an additional 3,249 shares during the period. Osaic Holdings Inc. raised its holdings in Stagwell by 2.6% in the 4th quarter. Osaic Holdings Inc. now owns 195,288 shares of the company’s stock valued at $955,000 after acquiring an additional 4,990 shares in the last quarter. Virtu Financial LLC lifted its position in shares of Stagwell by 49.8% during the 3rd quarter. Virtu Financial LLC now owns 15,062 shares of the company’s stock valued at $85,000 after acquiring an additional 5,008 shares during the period. Legal & General Group Plc grew its holdings in shares of Stagwell by 5.2% during the 2nd quarter. Legal & General Group Plc now owns 101,049 shares of the company’s stock worth $455,000 after purchasing an additional 5,017 shares in the last quarter. Finally, Kestra Advisory Services LLC bought a new position in shares of Stagwell in the fourth quarter worth $26,000. Institutional investors and hedge funds own 35.61% of the company’s stock.

Stagwell Company Profile

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.