WPP PLC-SPONSORED ADR (WPP) Stock Fundamental Analysis

NYSE:WPP • US92937A1025

18.46 USD
+0.13 (+0.71%)
Last: Feb 12, 2026, 03:30 PM
Fundamental Rating

4

WPP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 92 industry peers in the Media industry. WPP has a medium profitability rating, but doesn't score so well on its financial health evaluation. WPP has a bad growth rate and is valued cheaply.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year WPP was profitable.
  • WPP had a positive operating cash flow in the past year.
  • WPP had positive earnings in 4 of the past 5 years.
  • In the past 5 years WPP always reported a positive cash flow from operatings.
WPP Yearly Net Income VS EBIT VS OCF VS FCFWPP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B -2B

1.2 Ratios

  • WPP's Return On Assets of 1.63% is fine compared to the rest of the industry. WPP outperforms 70.65% of its industry peers.
  • With an excellent Return On Equity value of 12.04%, WPP belongs to the best of the industry, outperforming 81.52% of the companies in the same industry.
  • WPP has a better Return On Invested Capital (6.69%) than 80.43% of its industry peers.
  • WPP had an Average Return On Invested Capital over the past 3 years of 5.83%. This is in line with the industry average of 7.07%.
  • The 3 year average ROIC (5.83%) for WPP is below the current ROIC(6.69%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 1.63%
ROE 12.04%
ROIC 6.69%
ROA(3y)1.64%
ROA(5y)-0.2%
ROE(3y)12.47%
ROE(5y)-1.53%
ROIC(3y)5.83%
ROIC(5y)N/A
WPP Yearly ROA, ROE, ROICWPP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -20 -40 -60

1.3 Margins

  • WPP's Profit Margin of 2.69% is fine compared to the rest of the industry. WPP outperforms 71.74% of its industry peers.
  • In the last couple of years the Profit Margin of WPP has declined.
  • WPP has a Operating Margin of 7.92%. This is in the better half of the industry: WPP outperforms 63.04% of its industry peers.
  • WPP's Operating Margin has declined in the last couple of years.
  • Looking at the Gross Margin, with a value of 15.86%, WPP is doing worse than 73.91% of the companies in the same industry.
  • WPP's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 7.92%
PM (TTM) 2.69%
GM 15.86%
OM growth 3Y-2.17%
OM growth 5Y-1.7%
PM growth 3Y-9.63%
PM growth 5Y-10.43%
GM growth 3Y-1.15%
GM growth 5Y-1.79%
WPP Yearly Profit, Operating, Gross MarginsWPP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 -20

2

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so WPP is still creating some value.
  • Compared to 1 year ago, WPP has more shares outstanding
  • WPP has less shares outstanding than it did 5 years ago.
  • WPP has a better debt/assets ratio than last year.
WPP Yearly Shares OutstandingWPP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M
WPP Yearly Total Debt VS Total AssetsWPP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

  • Based on the Altman-Z score of 0.91, we must say that WPP is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 0.91, WPP is in line with its industry, outperforming 54.35% of the companies in the same industry.
  • WPP has a debt to FCF ratio of 9.72. This is a negative value and a sign of low solvency as WPP would need 9.72 years to pay back of all of its debts.
  • The Debt to FCF ratio of WPP (9.72) is better than 66.30% of its industry peers.
  • A Debt/Equity ratio of 1.85 is on the high side and indicates that WPP has dependencies on debt financing.
  • WPP has a Debt to Equity ratio of 1.85. This is in the lower half of the industry: WPP underperforms 61.96% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.85
Debt/FCF 9.72
Altman-Z 0.91
ROIC/WACC1.17
WACC5.73%
WPP Yearly LT Debt VS Equity VS FCFWPP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 0.86 indicates that WPP may have some problems paying its short term obligations.
  • With a Current ratio value of 0.86, WPP is not doing good in the industry: 65.22% of the companies in the same industry are doing better.
  • A Quick Ratio of 0.86 indicates that WPP may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.86, WPP is not doing good in the industry: 64.13% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.86
Quick Ratio 0.86
WPP Yearly Current Assets VS Current LiabilitesWPP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B 25B

3

3. Growth

3.1 Past

  • The earnings per share for WPP have decreased strongly by -15.50% in the last year.
  • The Earnings Per Share has been decreasing by -0.97% on average over the past years.
  • Looking at the last year, WPP shows a decrease in Revenue. The Revenue has decreased by -4.54% in the last year.
  • Measured over the past years, WPP shows a small growth in Revenue. The Revenue has been growing by 2.18% on average per year.
EPS 1Y (TTM)-15.5%
EPS 3Y4%
EPS 5Y-0.97%
EPS Q2Q%-35.28%
Revenue 1Y (TTM)-4.54%
Revenue growth 3Y4.82%
Revenue growth 5Y2.18%
Sales Q2Q%-7.8%

3.2 Future

  • WPP is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.60% yearly.
  • The Revenue is expected to grow by 2.31% on average over the next years.
EPS Next Y-27.4%
EPS Next 2Y-16.62%
EPS Next 3Y-9.08%
EPS Next 5Y-0.6%
Revenue Next Year-6.05%
Revenue Next 2Y-4.3%
Revenue Next 3Y-2.28%
Revenue Next 5Y2.31%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
WPP Yearly Revenue VS EstimatesWPP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B
WPP Yearly EPS VS EstimatesWPP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2 4 6

8

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 3.44, the valuation of WPP can be described as very cheap.
  • WPP's Price/Earnings ratio is rather cheap when compared to the industry. WPP is cheaper than 98.91% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 28.18, WPP is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 4.34, the valuation of WPP can be described as very cheap.
  • 89.13% of the companies in the same industry are more expensive than WPP, based on the Price/Forward Earnings ratio.
  • WPP is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.01, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 3.44
Fwd PE 4.34
WPP Price Earnings VS Forward Price EarningsWPP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, WPP is valued cheaply inside the industry as 91.30% of the companies are valued more expensively.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of WPP indicates a rather cheap valuation: WPP is cheaper than 89.13% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.19
EV/EBITDA 4.99
WPP Per share dataWPP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20 40 60 80

4.3 Compensation for Growth

  • WPP has a very decent profitability rating, which may justify a higher PE ratio.
  • A cheap valuation may be justified as WPP's earnings are expected to decrease with -9.08% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-16.62%
EPS Next 3Y-9.08%

5

5. Dividend

5.1 Amount

  • WPP has a Yearly Dividend Yield of 9.20%, which is a nice return.
  • Compared to an average industry Dividend Yield of 1.24, WPP pays a better dividend. On top of this WPP pays more dividend than 98.91% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.80, WPP pays a better dividend.
Industry RankSector Rank
Dividend Yield 9.2%

5.2 History

  • The dividend of WPP decreases each year by -7.91%.
  • WPP has paid a dividend for at least 10 years, which is a reliable track record.
  • WPP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-7.91%
Div Incr Years3
Div Non Decr Years3
WPP Yearly Dividends per shareWPP Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3

5.3 Sustainability

  • 111.55% of the earnings are spent on dividend by WPP. This is not a sustainable payout ratio.
  • WPP's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP111.55%
EPS Next 2Y-16.62%
EPS Next 3Y-9.08%
WPP Yearly Income VS Free CF VS DividendWPP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B -2B
WPP Dividend Payout.WPP Dividend Payout, showing the Payout Ratio.WPP Dividend Payout.PayoutRetained Earnings

WPP PLC-SPONSORED ADR

NYSE:WPP (2/12/2026, 3:30:42 PM)

18.46

+0.13 (+0.71%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)10-30
Earnings (Next)02-26
Inst Owners82.77%
Inst Owner Change1%
Ins Owners0.03%
Ins Owner Change0%
Market Cap3.98B
Revenue(TTM)14.18B
Net Income(TTM)381.00M
Analysts48.57
Price Target25.24 (36.73%)
Short Float %0.86%
Short Ratio3.42
Dividend
Industry RankSector Rank
Dividend Yield 9.2%
Yearly Dividend2.72
Dividend Growth(5Y)-7.91%
DP111.55%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.62%
PT rev (3m)-18.57%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.18%
EPS NY rev (3m)-2.84%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.44%
Valuation
Industry RankSector Rank
PE 3.44
Fwd PE 4.34
P/S 0.21
P/FCF 4.19
P/OCF 3.19
P/B 0.92
P/tB N/A
EV/EBITDA 4.99
EPS(TTM)5.36
EY29.04%
EPS(NY)4.25
Fwd EY23.05%
FCF(TTM)4.41
FCFY23.87%
OCF(TTM)5.78
OCFY31.32%
SpS89.89
BVpS20.06
TBVpS-31.13
PEG (NY)N/A
PEG (5Y)N/A
Graham Number49.19
Profitability
Industry RankSector Rank
ROA 1.63%
ROE 12.04%
ROCE 11.66%
ROIC 6.69%
ROICexc 7.82%
ROICexgc 168.96%
OM 7.92%
PM (TTM) 2.69%
GM 15.86%
FCFM 4.9%
ROA(3y)1.64%
ROA(5y)-0.2%
ROE(3y)12.47%
ROE(5y)-1.53%
ROIC(3y)5.83%
ROIC(5y)N/A
ROICexc(3y)7.61%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.2%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y3.97%
ROICexc growth 5Y-10.52%
OM growth 3Y-2.17%
OM growth 5Y-1.7%
PM growth 3Y-9.63%
PM growth 5Y-10.43%
GM growth 3Y-1.15%
GM growth 5Y-1.79%
F-Score6
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 1.85
Debt/FCF 9.72
Debt/EBITDA 3.69
Cap/Depr 46.47%
Cap/Sales 1.53%
Interest Coverage 2.79
Cash Conversion 57.36%
Profit Quality 182.42%
Current Ratio 0.86
Quick Ratio 0.86
Altman-Z 0.91
F-Score6
WACC5.73%
ROIC/WACC1.17
Cap/Depr(3y)36.59%
Cap/Depr(5y)41.42%
Cap/Sales(3y)1.54%
Cap/Sales(5y)1.83%
Profit Quality(3y)403.67%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.5%
EPS 3Y4%
EPS 5Y-0.97%
EPS Q2Q%-35.28%
EPS Next Y-27.4%
EPS Next 2Y-16.62%
EPS Next 3Y-9.08%
EPS Next 5Y-0.6%
Revenue 1Y (TTM)-4.54%
Revenue growth 3Y4.82%
Revenue growth 5Y2.18%
Sales Q2Q%-7.8%
Revenue Next Year-6.05%
Revenue Next 2Y-4.3%
Revenue Next 3Y-2.28%
Revenue Next 5Y2.31%
EBIT growth 1Y73.33%
EBIT growth 3Y2.54%
EBIT growth 5Y0.45%
EBIT Next Year5.15%
EBIT Next 3Y1.73%
EBIT Next 5Y6%
FCF growth 1Y-36.73%
FCF growth 3Y-12.34%
FCF growth 5Y-4.25%
OCF growth 1Y-30.31%
OCF growth 3Y-11.52%
OCF growth 5Y-5.32%

WPP PLC-SPONSORED ADR / WPP FAQ

Can you provide the ChartMill fundamental rating for WPP PLC-SPONSORED ADR?

ChartMill assigns a fundamental rating of 4 / 10 to WPP.


What is the valuation status for WPP stock?

ChartMill assigns a valuation rating of 8 / 10 to WPP PLC-SPONSORED ADR (WPP). This can be considered as Undervalued.


What is the profitability of WPP stock?

WPP PLC-SPONSORED ADR (WPP) has a profitability rating of 6 / 10.


What are the PE and PB ratios of WPP PLC-SPONSORED ADR (WPP) stock?

The Price/Earnings (PE) ratio for WPP PLC-SPONSORED ADR (WPP) is 3.44 and the Price/Book (PB) ratio is 0.92.


Can you provide the expected EPS growth for WPP stock?

The Earnings per Share (EPS) of WPP PLC-SPONSORED ADR (WPP) is expected to decline by -27.4% in the next year.