Stagwell (NASDAQ:STGW) Releases Quarterly Earnings Results, Beats Expectations By $0.01 EPS

Stagwell (NASDAQ:STGW) released its quarterly earnings data on Thursday. The company reported $0.24 EPS for the quarter, beating the consensus estimate of $0.23 by $0.01, Briefing.com reports. Stagwell had a positive return on equity of 14.54% and a negative net margin of 0.06%.The company had revenue of $743.00 million for the quarter, compared to analysts’ expectations of $743.11 million. During the same period last year, the firm posted $0.22 earnings per share. Stagwell’s revenue was up 4.5% compared to the same quarter last year. Stagwell updated its FY 2025 guidance to 0.750-0.880 EPS.

Stagwell Stock Performance

Shares of NASDAQ STGW traded up $0.81 during trading on Thursday, hitting $5.62. The company had a trading volume of 72,286,709 shares, compared to its average volume of 1,388,870. The stock has a 50 day simple moving average of $5.27 and a 200 day simple moving average of $5.13. The company has a debt-to-equity ratio of 1.90, a quick ratio of 0.86 and a current ratio of 0.86. Stagwell has a 12 month low of $4.03 and a 12 month high of $8.18. The firm has a market capitalization of $1.45 billion, a P/E ratio of 10.11 and a beta of 1.51.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on STGW shares. Morgan Stanley dropped their target price on Stagwell from $8.00 to $7.00 and set an “equal weight” rating on the stock in a research report on Friday, August 1st. Weiss Ratings reissued a “sell (e+)” rating on shares of Stagwell in a research report on Wednesday, October 8th. Zacks Research raised Stagwell from a “strong sell” rating to a “hold” rating in a research report on Monday, September 1st. Needham & Company LLC reissued a “buy” rating and issued a $6.36 target price on shares of Stagwell in a research report on Tuesday, July 22nd. Finally, Wall Street Zen cut Stagwell from a “buy” rating to a “hold” rating in a research report on Friday, August 22nd. Three analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $7.97.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in STGW. Bank of America Corp DE raised its stake in shares of Stagwell by 44.3% in the second quarter. Bank of America Corp DE now owns 481,056 shares of the company’s stock worth $2,165,000 after buying an additional 147,730 shares during the period. Cerity Partners LLC raised its stake in shares of Stagwell by 76.8% in the second quarter. Cerity Partners LLC now owns 148,841 shares of the company’s stock worth $670,000 after buying an additional 64,675 shares during the period. Osaic Holdings Inc. bought a new position in shares of Stagwell in the second quarter worth about $287,000. Qube Research & Technologies Ltd bought a new stake in Stagwell during the 2nd quarter valued at approximately $244,000. Finally, Rhumbline Advisers raised its stake in Stagwell by 36.7% during the 2nd quarter. Rhumbline Advisers now owns 182,307 shares of the company’s stock valued at $820,000 after purchasing an additional 48,928 shares during the period. Institutional investors own 35.61% of the company’s stock.

Stagwell Company Profile

Stagwell Inc provides digital transformation, performance media and data, consumer insights and strategy, and creativity and communications services. The company operates through three segments: Integrated Agencies Network, Brand Performance Network, and Communications Network. It designs and builds digital platforms and experiences that support the delivery of content, commerce, service, and sales; creates websites, mobile applications, back-end systems, content and data management systems, and other digital environments; designs and implements technology and data strategies; and develops software and related technology products, including artificial intelligence (AI)-enabled communications, research, and media technology, cookie-less data platforms for advance targeting and activation, software tools for e-commerce applications, specialty media solutions in the augmented reality space, and text messaging applications for consumer engagement.