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Interpublic Group (IPG) Stock Sinks As Market Gains: What You Should Know
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Interpublic Group (IPG - Free Report) closed at $39.63 in the latest trading session, marking a -0.58% move from the prior day. This move lagged the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Heading into today, shares of the marketing and advertising company had gained 9.93% over the past month, outpacing the Business Services sector's gain of 2.4% and the S&P 500's gain of 3.98% in that time.
Investors will be hoping for strength from Interpublic Group as it approaches its next earnings release. In that report, analysts expect Interpublic Group to post earnings of $0.61 per share. This would mark a year-over-year decline of 3.17%. Our most recent consensus estimate is calling for quarterly revenue of $2.28 billion, down 3.95% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.96 per share and revenue of $9.38 billion. These totals would mark changes of +7.64% and -0.7%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Interpublic Group. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.81% higher. Interpublic Group currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Interpublic Group is currently trading at a Forward P/E ratio of 13.49. Its industry sports an average Forward P/E of 12.39, so we one might conclude that Interpublic Group is trading at a premium comparatively.
It is also worth noting that IPG currently has a PEG ratio of 1.68. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Advertising and Marketing stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Advertising and Marketing industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Interpublic Group (IPG) Stock Sinks As Market Gains: What You Should Know
Interpublic Group (IPG - Free Report) closed at $39.63 in the latest trading session, marking a -0.58% move from the prior day. This move lagged the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Heading into today, shares of the marketing and advertising company had gained 9.93% over the past month, outpacing the Business Services sector's gain of 2.4% and the S&P 500's gain of 3.98% in that time.
Investors will be hoping for strength from Interpublic Group as it approaches its next earnings release. In that report, analysts expect Interpublic Group to post earnings of $0.61 per share. This would mark a year-over-year decline of 3.17%. Our most recent consensus estimate is calling for quarterly revenue of $2.28 billion, down 3.95% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.96 per share and revenue of $9.38 billion. These totals would mark changes of +7.64% and -0.7%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Interpublic Group. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.81% higher. Interpublic Group currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Interpublic Group is currently trading at a Forward P/E ratio of 13.49. Its industry sports an average Forward P/E of 12.39, so we one might conclude that Interpublic Group is trading at a premium comparatively.
It is also worth noting that IPG currently has a PEG ratio of 1.68. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Advertising and Marketing stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Advertising and Marketing industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.