Analyst Adrien Hilaire of Bank of America Securities reiterated a Sell rating on WPP, reducing the price target to p250.00.
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Adrien Hilaire has given his Sell rating due to a combination of factors affecting WPP’s financial outlook. The company’s third-quarter results for 2025 were underwhelming, highlighting significant challenges. Hilaire has reduced the 2026 earnings per share forecast by 25%, driven by a weaker like-for-like growth expectation and the necessity for WPP to regain balance sheet flexibility to support investments that could foster positive growth.
WPP’s guidance for the fourth quarter suggests further deceleration, contrasting with the performance of its peers. The company is experiencing delayed spending from key sectors such as consumer packaged goods, automotive, and technology. Additionally, WPP’s current leverage is a concern, as it limits the company’s ability to engage in strategic mergers and acquisitions. The lack of substantial assets to monetize further complicates efforts to strengthen the balance sheet, prompting the consideration of an equity raise.
According to TipRanks, Hilaire is a 3-star analyst with an average return of 6.6% and a 55.91% success rate. Hilaire covers the Communication Services sector, focusing on stocks such as WPP, Omnicom Group, and WPP.
In another report released today, Barclays also maintained a Sell rating on the stock with a £3.25 price target.