WPP (NYSE:WPP) Reaches New 1-Year High Following Dividend Announcement

Wpp Plc (NYSE:WPP) hit a new 52-week high during mid-day trading on Friday after the company announced a dividend. The stock traded as high as $27.78 and last traded at $27.5950, with a volume of 761129 shares trading hands. The stock had previously closed at $25.95.

The newly announced dividend which will be paid on Monday, November 2nd. Investors of record on Friday, October 9th will be paid a dividend of $0.5052 per share. The ex-dividend date is Friday, October 9th. This represents a yield of 390.0%.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on WPP shares. Rothschild & Co Redburn began coverage on shares of WPP in a report on Thursday, May 28th. They issued a “buy” rating on the stock. Weiss Ratings reaffirmed a “sell (d)” rating on shares of WPP in a report on Tuesday, June 16th. The Goldman Sachs Group began coverage on WPP in a report on Wednesday, June 3rd. They issued a “sell” rating on the stock. Citigroup restated a “neutral” rating on shares of WPP in a research report on Thursday, April 30th. Finally, Berenberg Bank initiated coverage on WPP in a research note on Tuesday, June 9th. They set a “buy” rating for the company. Two investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, WPP presently has an average rating of “Hold”.

WPP Stock Performance

The company has a debt-to-equity ratio of 1.48, a quick ratio of 0.89 and a current ratio of 0.89. The firm has a 50 day simple moving average of $18.52 and a two-hundred day simple moving average of $18.13.

Key Stories Impacting WPP

Here are the key news stories impacting WPP this week:

• Positive Sentiment: WPP reported that revenue less pass-through costs declined 4.7% on a like-for-like basis in the first half, better than the “mid- to high-single-digit” decline previously expected. Improving media-buying performance provided evidence that the turnaround is starting to stabilize the business. WPP revenue decline eases as turnaround gains traction
• Positive Sentiment: Quarterly revenue of $4.22 billion exceeded the $3.23 billion consensus estimate, reinforcing the positive reaction to the results. However, earnings per share of $0.50 missed expectations of $0.81, limiting the strength of the fundamental improvement. WPP earnings results
• Positive Sentiment: The company announced a dividend of $0.5052 per share, payable November 2 to shareholders listed on October 9. The reported 390% yield appears inconsistent with a normal dividend calculation and may reflect a data error, so investors should verify the payout details.
• Neutral Sentiment: Bhushan Bagkar was appointed vice president of strategy at WPP Media. The leadership change may support the media business but is unlikely to be a major near-term stock catalyst. Bhushan Bagkar appointment
• Negative Sentiment: UBS maintained its “sell” rating, arguing that it is too early to declare the turnaround successful. Although UBS raised its price target to 250 pence from 210 pence, the new target remains well below the cited market price, highlighting valuation and execution risks after the rally. UBS keeps sell rating on WPP

Hedge Funds Weigh In On WPP

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Caitong International Asset Management Co. Ltd bought a new position in WPP in the 3rd quarter valued at about $28,000. Global Retirement Partners LLC raised its position in shares of WPP by 1,279.5% during the 4th quarter. Global Retirement Partners LLC now owns 1,821 shares of the business services provider’s stock worth $41,000 after buying an additional 1,689 shares in the last quarter. Farther Finance Advisors LLC lifted its stake in shares of WPP by 184.5% in the 4th quarter. Farther Finance Advisors LLC now owns 1,889 shares of the business services provider’s stock worth $42,000 after acquiring an additional 1,225 shares during the period. Osaic Holdings Inc. lifted its stake in shares of WPP by 105.8% in the 2nd quarter. Osaic Holdings Inc. now owns 1,395 shares of the business services provider’s stock worth $49,000 after acquiring an additional 717 shares during the period. Finally, Rockefeller Capital Management L.P. boosted its holdings in shares of WPP by 455.9% in the fourth quarter. Rockefeller Capital Management L.P. now owns 2,318 shares of the business services provider’s stock valued at $52,000 after acquiring an additional 1,901 shares in the last quarter. Institutional investors own 4.34% of the company’s stock.

WPP Company Profile

WPP plc (NYSE: WPP) is a British multinational advertising and public relations company headquartered in London, England. Recognized as one of the world’s largest communications services groups, WPP provides a wide array of marketing, advertising, media investment management and data consultancy services. Through its integrated network of agencies—among them Ogilvy, Grey, GroupM and Wavemaker—the company delivers creative content, brand strategy, digital transformation and media planning solutions to clients across virtually every industry.

Established in 1971 by Martin Sorrell as Wire and Plastic Products, the firm underwent a strategic transformation in the 1980s, focusing on acquisitions that expanded its capabilities into advertising and communications.