WPP PLC-SPONSORED ADR (WPP) Stock Fundamental Analysis

NYSE:WPP • US92937A1025

18.84 USD
+0.05 (+0.27%)
At close: Feb 20, 2026
18.84 USD
0 (0%)
After Hours: 2/20/2026, 8:10:42 PM
Fundamental Rating

4

Overall WPP gets a fundamental rating of 4 out of 10. We evaluated WPP against 91 industry peers in the Media industry. While WPP is still in line with the averages on profitability rating, there are concerns on its financial health. WPP is valued quite cheap, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • WPP had positive earnings in the past year.
  • WPP had a positive operating cash flow in the past year.
  • Of the past 5 years WPP 4 years were profitable.
  • 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

  • With a decent Return On Assets value of 1.63%, WPP is doing good in the industry, outperforming 72.53% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 12.04%, WPP belongs to the top of the industry, outperforming 81.32% of the companies in the same industry.
  • WPP has a better Return On Invested Capital (6.69%) than 80.22% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for WPP is in line with the industry average of 7.02%.
  • 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

  • Looking at the Profit Margin, with a value of 2.69%, WPP is in the better half of the industry, outperforming 73.63% of the companies in the same industry.
  • 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 61.54% of its industry peers.
  • In the last couple of years the Operating Margin of WPP has declined.
  • With a Gross Margin value of 15.86%, WPP is not doing good in the industry: 75.82% of the companies in the same industry are doing better.
  • 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.
  • The number of shares outstanding for WPP has been increased compared to 1 year ago.
  • The number of shares outstanding for WPP has been reduced compared to 5 years ago.
  • The debt/assets ratio for WPP has been reduced compared to a year ago.
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

  • WPP has an Altman-Z score of 0.92. This is a bad value and indicates that WPP is not financially healthy and even has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 0.92, WPP is in line with its industry, outperforming 53.85% of the companies in the same industry.
  • The Debt to FCF ratio of WPP is 9.72, which is on the high side as it means it would take WPP, 9.72 years of fcf income to pay off all of its debts.
  • WPP's Debt to FCF ratio of 9.72 is fine compared to the rest of the industry. WPP outperforms 67.03% 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 worse Debt to Equity ratio (1.85) than 63.74% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.85
Debt/FCF 9.72
Altman-Z 0.92
ROIC/WACC1.16
WACC5.76%
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.
  • Looking at the Current ratio, with a value of 0.86, WPP is doing worse than 68.13% of the companies in the same industry.
  • A Quick Ratio of 0.86 indicates that WPP may have some problems paying its short term obligations.
  • WPP has a worse Quick ratio (0.86) than 65.93% of its industry peers.
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

2

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.
  • WPP shows a decrease in Revenue. In the last year, the revenue decreased by -4.54%.
  • The Revenue has been growing slightly by 2.18% on average over the past years.
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

  • Based on estimates for the next years, WPP will show a decrease in Earnings Per Share. The EPS will decrease by -0.96% on average per year.
  • Based on estimates for the next years, WPP will show a small growth in Revenue. The Revenue will grow by 2.31% on average per year.
EPS Next Y-27.4%
EPS Next 2Y-16.62%
EPS Next 3Y-9.08%
EPS Next 5Y-0.96%
Revenue Next Year-7.66%
Revenue Next 2Y-5.26%
Revenue Next 3Y-3.02%
Revenue Next 5Y2.31%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
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

  • The Price/Earnings ratio is 3.56, which indicates a rather cheap valuation of WPP.
  • WPP's Price/Earnings ratio is rather cheap when compared to the industry. WPP is cheaper than 97.80% of the companies in the same industry.
  • WPP is valuated cheaply when we compare the Price/Earnings ratio to 26.99, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 4.49, which indicates a rather cheap valuation of WPP.
  • 89.01% of the companies in the same industry are more expensive than WPP, based on the Price/Forward Earnings ratio.
  • WPP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.02.
Industry RankSector Rank
PE 3.56
Fwd PE 4.49
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

  • 89.01% of the companies in the same industry are more expensive than WPP, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of WPP indicates a rather cheap valuation: WPP is cheaper than 85.71% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.34
EV/EBITDA 5.07
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.
  • WPP's Dividend Yield is rather good when compared to the industry average which is at 1.12. WPP pays more dividend than 98.90% of the companies in the same industry.
  • WPP's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
Industry RankSector Rank
Dividend Yield 9.2%

5.2 History

  • The dividend of WPP decreases each year by -7.91%.
  • WPP has been paying a dividend for at least 10 years, so it has 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 (2/20/2026, 8:10:42 PM)

After market: 18.84 0 (0%)

18.84

+0.05 (+0.27%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)10-30
Earnings (Next)02-26
Inst Owners82.77%
Inst Owner Change4.9%
Ins Owners0.03%
Ins Owner Change0%
Market Cap4.06B
Revenue(TTM)14.18B
Net Income(TTM)381.00M
Analysts51.3
Price Target25.24 (33.97%)
Short Float %1.05%
Short Ratio4.12
Dividend
Industry RankSector Rank
Dividend Yield 9.2%
Yearly Dividend2.7
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)-1.07%
PT rev (3m)-4.79%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.84%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.71%
Revenue NY rev (3m)-2.14%
Valuation
Industry RankSector Rank
PE 3.56
Fwd PE 4.49
P/S 0.21
P/FCF 4.34
P/OCF 3.31
P/B 0.95
P/tB N/A
EV/EBITDA 5.07
EPS(TTM)5.29
EY28.08%
EPS(NY)4.19
Fwd EY22.25%
FCF(TTM)4.34
FCFY23.05%
OCF(TTM)5.7
OCFY30.25%
SpS88.59
BVpS19.77
TBVpS-30.68
PEG (NY)N/A
PEG (5Y)N/A
Graham Number48.51
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 0.92
F-Score6
WACC5.76%
ROIC/WACC1.16
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-0.96%
Revenue 1Y (TTM)-4.54%
Revenue growth 3Y4.82%
Revenue growth 5Y2.18%
Sales Q2Q%-7.8%
Revenue Next Year-7.66%
Revenue Next 2Y-5.26%
Revenue Next 3Y-3.02%
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 3.56 and the Price/Book (PB) ratio is 0.95.


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.