Back to top

Analyst Blog

Global marketing communications agency JWT, a fully-owned operating company of WPP plc (WPPGY - Analyst Report), recently agreed to acquire Lemon Sky - a leading creative digital marketing company in Poland - for an undisclosed amount.

Lemon Sky provides digital advertising and campaign services for diverse brands. JWT Poland offers integrated communications services ranging from strategic consulting, brand activation concepts to creative execution across all media forms. Post acquisition, Lemon Sky will join JWT Warsaw to strengthen the company's digital platform.

This acquisition is in line with WPP’s inorganic growth strategy and is likely to augment its revenues in the long term. In 2012, WPP digital revenues (including associates) were over $5 billion, representing 33% of the Group's total revenues of $16.5 billion. WPP expects revenue from digital operations in the range of 40%–50% in the coming five years.

WPP has a strong presence in Poland and across the Central and Eastern European markets with a workforce of over 6,000 and revenues of approximately $700 million annually. Lemon Sky is likely to be another valuable addition to WPP's portfolio.

In 2013, WPP completed 62 acquisitions worldwide across all spectrum of its business. The attractive acquisitions coupled with continued focus on growth are likely to improve WPP’s leading position in the market in the long run.  

Dublin, Ireland-based WPP, together with its subsidiaries, provides advertising and communication services worldwide. The company operates through a number of established global, multinational and national advertising and marketing services companies.

WPP currently carries a Zacks Rank #3 (Hold). Other stocks that look promising and are worth a look in the industry include Millennial Media Inc (MM - Snapshot Report), holding a Zacks Rank #1 (Strong Buy), and Marin Software Inc. (MRIN - Snapshot Report) and Publicis Groupe SA  (PUBGY), both holding a Zacks Rank #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
UTD THERAPE… UTHR 117.83 +28.51%
TRIQUINT SE… TQNT 20.67 +6.52%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%
STRATTEC SE… STRT 80.24 +3.00%