Wpp Share Discussion Threads

[boozey] 03/9/2020 11:55

Ygor, I agree it will be interesting to make comparisons. I am invested in both but SFOR has out performed WPP by a country mile. You have to back Sorrell over WPP given history. Expecting a major bluechip addition to the client set atSFOR next week given recent hints.

Sorrell is on record as wanting to match WPP for market cap during his tenure. So that means SFOR has to more than double from where it is now at 370p.

[ygor705] 03/9/2020 11:39

S4s numbers are out next Wednesday ....... it will be interesting to make comparisons

[ygor705] 03/9/2020 11:27

I have been looking at the chart for S4 Capital this morning and wondering why it is looking so much stronger than that of WPP. On fundamentals we should be looking at least as strong but it is just not happening at the moment. Will our CEO be outfoxed by a 75 year old?

[nortic 007] 28/8/2020 05:59

WPP Shares Climb as It Says the Worst of the Crisis Is Likely OverSource: Dow Jones NewsBy Alexandra Bruell WPP PLC shares jumped Thursday after the ad holding company reinstated its dividend and said the impact of the coronavirus crisis in the second quarter wasn't as bad as it had feared.WPP, which owns GroupM and VMLY&R, reported global revenue of GBP2.3 billion ($3 billion) in the second quarter. Like-for-like revenue, which strips out the effects of acquisitions and disposals, fell 15% in the quarter. Like-for-like revenue was down just under 10% in the U.S., compared with declines of over 23% in the U.K. and India."We had a resilient performance in a challenging environment," WPP Chief Executive Officer Mark Read said on an earnings call. "The second quarter was slightly better than we had expected, and significantly better than some of the worst-case scenarios we had looked at back in March."WPP restarted its dividend program with an interim payment of 10 pence a share. The company had suspended dividend payments and withdrew its financial guidance for the year in March, citing the uncertainty caused by the pandemic.WPP said it is cautiously optimistic that the worst of the crisis is over."Assuming there is no second wave nor major lockdowns, the second quarter is expected to be the toughest period of the year, although we remain cautious on the speed of recovery," Mr. Read said in a statement.Shares in WPP were up 6% at $43.75 in morning U.S. trade.For the entire first half, profit before tax was down 44% at GBP276 million. Diluted earnings per share were down 45% at 15.4 pence. Goodwill impairments and other write-downs for the first half totaled GBP2.74 billion, driven by impairments at agencies Wunderman Thompson and VMLY&R, as Covid-19 led to higher discount rates used to value future cash flows, a lower profit base in 2020 and a lower industry growth rate, the company said.WPP won a significant amount of business in the first half, including work from Intel Corp., HSBC Holdings PLC and Unilever in China, Mr. Read said.GroupM underperformed other parts of WPP's business as many large advertisers reduced their media spending in the quarter. Compared with public-relations firms, for example, the ad-buying group's revenue is highly dependent on how much clients spend on media.Before the pandemic, WPP had embarked on a three-year turnaround plan after taking large account losses and concluding that the business had become unwieldy. The company merged a number of agencies and completed the sale of 60% of data unit Kantar last year.Write to Alexandra Bruell at [e-mail] (END) Dow Jones NewswiresAugust 27, 2020 12:07 ET (16:07 GMT)Copyright (c) 2020 Dow Jones & Company, Inc.

[nortic 007] 27/8/2020 20:13

https://www.ft.com/content/644dc746-b0fa-42c5-898a-66c510af710c

[nortic 007] 27/8/2020 20:06

Good point DD45 ...... thank you

[discodave45] 27/8/2020 20:01

Think 'reasonable' is about right. Even excluding impairments profit would only be 25% of last year.

[nortic 007] 27/8/2020 19:34

Great post

[geardown107] 27/8/2020 18:17

Great post, informative and perhaps at odds with the complete city.

[ygor705] 27/8/2020 18:14

I think that the numbers here are reasonable given that advertising budgets are always the first thing that get cut when the going gets tough. The dividend restoration will also be favourably received by the market as a sign of confidence in the future. WPP was perhaps fortunate that Covid hit when it was in the early stages of a large Corporate restructuring/reorganisation. It means that the competition probably hasn't had the time to take advantage of any weaknesses that might have opened up in the WPP product offering. Other advertising companies with less fat on their backs may not have fared so well!

[discodave45] 27/8/2020 15:47

Yep plus debt reduction

[nortic 007] 27/8/2020 15:29

I really wasn't expecting this today and especially in a week market....long may it continue!!

[gabsterx] 27/8/2020 11:35

Dividend restored but has been cut by 56% due to the profits having been slaughtered, hopefully they will grow it back gradually to previous levels.

[paulisi] 27/8/2020 09:32

I saw it as positive for the following reasons:Cost saving on trackRevenues down, but better than expectedDividend issued

[nortic 007] 27/8/2020 09:00

Couldn't agree more.I've loaded up here so happy days...... hopefully!!!

[discodave45] 27/8/2020 08:47

Better than expected........a new world post C19 generating advertising/marketing growth IMO.

[nortic 007] 27/8/2020 07:14

Pleasantly surprised they're up in a market where stocks are easily bashed !!

[ygor705] 25/8/2020 10:30

Interims out on Thursday. It will be interesting to see if WPP are happier about life than Martin Sorrell appears to be!

[thewheeliedealer] 21/7/2020 21:23

Hi all,

My mate Peter @Conkers3 and myself did a ‘Twin Petes Investing’ Podcast a few days ago and part of our discussion covers WPP and the prospects for the Marketing sector. Peter C3 actually interviewed Sir Martin Sorrell at a recent Investor Show. We also chatted about loads of other Stocks and as always a fair bit of general Portfolio Management educational stuff. Anyway, if you use Apple, Audioboom, Overcast or Spotify you can find it under the 'Conkers Corner' Channel (you want TPI Podcast 27) and you can find it on Soundcloud at the link below.

I hope you enjoy it and find it useful,

Cheers, WD
@wheeliedealer

[thewheeliedealer] 21/7/2020 21:23

Hi all,

My mate Peter @Conkers3 and myself did a ‘Twin Petes Investing’ Podcast a few days ago and part of our discussion covers WPP and the prospects for the Marketing sector. Peter C3 actually interviewed Sir Martin Sorrell at a recent Investor Show. We also chatted about loads of other Stocks and as always a fair bit of general Portfolio Management educational stuff. Anyway, if you use Apple, Audioboom, Overcast or Spotify you can find it under the 'Conkers Corner' Channel (you want TPI Podcast 27) and you can find it on Soundcloud at the link below.

I hope you enjoy it and find it useful,

Cheers, WD
@wheeliedealer

[gabsterx] 08/7/2020 16:02

Seems like a downgrade to 'sell' by credit suisse adding more doom and gloom to the ad industry. Very undervalued IMO even when factoring in negative gorwth.

[justin1117] 08/7/2020 14:39

Was thinking the same