Stagwell (NASDAQ:STGW) Shares Down 4.4% – Should You Sell?

Stagwell Inc. (NASDAQ:STGW)’s stock price dropped 4.4% on Monday . The stock traded as low as $5.94 and last traded at $5.9050. Approximately 625,745 shares were traded during trading, a decline of 70% from the average daily volume of 2,081,003 shares. The stock had previously closed at $6.18.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the stock. B. Riley Financial dropped their target price on shares of Stagwell from $9.00 to $7.00 and set a “buy” rating on the stock in a research note on Friday, March 6th. Craig Hallum set a $8.00 price objective on Stagwell and gave the stock a “buy” rating in a research note on Wednesday, March 11th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Stagwell in a research report on Monday, December 29th. Wall Street Zen downgraded Stagwell from a “buy” rating to a “hold” rating in a research report on Saturday, March 7th. Finally, Rosenblatt Securities restated a “buy” rating and issued a $9.00 price objective on shares of Stagwell in a report on Wednesday, March 11th. Five analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $7.96.

Stagwell Price Performance

The firm has a 50-day simple moving average of $5.48 and a 200-day simple moving average of $5.34. The firm has a market cap of $1.51 billion, a P/E ratio of 74.56 and a beta of 1.71. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 1.98.

Stagwell (NASDAQ:STGW) last released its quarterly earnings results on Tuesday, March 10th. The company reported $0.30 EPS for the quarter, topping the consensus estimate of $0.29 by $0.01. Stagwell had a return on equity of 22.63% and a net margin of 1.00%.The firm had revenue of $807.44 million during the quarter, compared to analyst estimates of $813.48 million. During the same period in the previous year, the company posted $0.24 EPS. The business’s revenue for the quarter was up 2.4% compared to the same quarter last year. Stagwell has set its FY 2026 guidance at 0.980-1.120 EPS. As a group, analysts forecast that Stagwell Inc. will post 0.59 EPS for the current year.

Institutional Trading of Stagwell

A number of hedge funds have recently modified their holdings of STGW. Diversify Wealth Management LLC acquired a new stake in Stagwell during the second quarter valued at $7,875,000. Boston Partners lifted its holdings in Stagwell by 40.9% in the 2nd quarter. Boston Partners now owns 3,273,852 shares of the company’s stock valued at $15,515,000 after purchasing an additional 950,913 shares in the last quarter. JPMorgan Chase & Co. boosted its position in Stagwell by 54.1% during the fourth quarter. JPMorgan Chase & Co. now owns 2,676,532 shares of the company’s stock worth $13,088,000 after acquiring an additional 939,888 shares during the last quarter. Hotchkis & Wiley Capital Management LLC increased its holdings in shares of Stagwell by 4.6% in the third quarter. Hotchkis & Wiley Capital Management LLC now owns 21,034,577 shares of the company’s stock valued at $118,425,000 after purchasing an additional 920,431 shares during the last quarter. Finally, Dimensional Fund Advisors LP boosted its position in shares of Stagwell by 26.8% during the 4th quarter. Dimensional Fund Advisors LP now owns 4,111,549 shares of the company’s stock valued at $20,107,000 after acquiring an additional 869,562 shares during the last quarter. Hedge funds and other institutional investors 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.