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M&C Saatchi plc (GB:SAA)
:SAA
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M&C Saatchi plc (SAA) AI Stock Analysis

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GB:SAA

M&C Saatchi plc

(LSE:SAA)

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Neutral 57 (OpenAI - 4o)
Rating:57Neutral
Price Target:
137.00p
▲(0.74% Upside)
The overall stock score of 57 reflects strong financial performance improvements, particularly in profitability and cash flow, but is weighed down by bearish technical indicators and a relatively high valuation. The lack of earnings call and corporate events data limits further insights.

M&C Saatchi plc (SAA) vs. iShares MSCI United Kingdom ETF (EWC)

M&C Saatchi plc Business Overview & Revenue Model

Company DescriptionM&C Saatchi plc is a multinational advertising agency based in London, known for its innovative and creative marketing solutions. The company operates primarily in the advertising and marketing sector, offering a wide range of services including brand strategy, digital marketing, media planning and buying, public relations, and customer engagement. With a strong presence in various global markets, M&C Saatchi addresses the diverse needs of its clients across different industries, helping them build and enhance their brand identities.
How the Company Makes MoneyM&C Saatchi generates revenue primarily through its advertising and marketing services. The company operates on a fee-based model, where clients pay for the creative services rendered, media placements, and campaign management. Additionally, M&C Saatchi earns income from digital marketing services, including social media management and online advertising. Key revenue streams include project-based fees, retainer contracts with long-term clients, and performance-based incentives tied to campaign success. Significant partnerships with media platforms and technology providers also contribute to the agency's earnings by allowing them to offer integrated solutions to clients, enhancing their competitive edge in the market.

M&C Saatchi plc Financial Statement Overview

Summary
M&C Saatchi plc shows strong improvements in profitability and cash flow generation, despite revenue challenges. The company's leverage is improving, though the equity position remains a concern. Overall, the financial health is on an upward trajectory, with potential risks in maintaining revenue growth.
Income Statement
76
Positive
M&C Saatchi plc demonstrated a strong improvement in profitability with a rising net profit margin from negative in 2023 to 3.72% in 2024. The gross profit margin also improved significantly. However, revenue declined by 12.89% from 2023 to 2024, indicating challenges in top-line growth. EBIT and EBITDA margins have improved, reflecting better operational efficiency.
Balance Sheet
68
Positive
The company's debt-to-equity ratio improved as stockholders' equity increased, showing better financial leverage management. The equity ratio is relatively low, which could indicate higher risk. Return on Equity (ROE) improved to 36.79% in 2024, showing enhanced shareholder value creation.
Cash Flow
72
Positive
There was a significant turnaround in free cash flow from negative to positive in 2024, showing improved cash generation. The operating cash flow to net income ratio is favorable, suggesting robust cash conversion. The free cash flow growth rate is impressive, reflecting effective management of capital expenditures and cash flows.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue355.27M395.42M420.05M462.53M394.57M323.25M
Gross Profit61.52M231.41M51.44M271.14M249.34M41.40M
EBITDA22.96M30.90M15.65M20.21M36.91M9.44M
Net Income9.74M14.73M-3.53M90.00K12.76M-9.92M
Balance Sheet
Total Assets223.27M235.76M247.29M291.07M317.01M270.90M
Cash, Cash Equivalents and Short-Term Investments24.20M25.86M24.33M41.49M69.42M76.30M
Total Debt55.69M55.69M65.39M66.80M91.40M89.70M
Total Liabilities183.74M195.65M217.76M252.88M284.15M226.54M
Stockholders Equity39.46M40.02M29.00M38.01M32.48M44.90M
Cash Flow
Free Cash Flow9.74M16.28M-5.41M16.89M16.32M29.97M
Operating Cash Flow11.37M19.21M-3.56M22.47M18.95M33.66M
Investing Cash Flow3.12M829.00K-1.78M-4.27M-1.38M-6.53M
Financing Cash Flow-16.37M-18.21M-5.37M-38.67M-24.91M-17.75M

M&C Saatchi plc Technical Analysis

Technical Analysis Sentiment
Negative
Last Price136.00
Price Trends
50DMA
150.58
Negative
100DMA
168.76
Negative
200DMA
169.20
Negative
Market Momentum
MACD
-6.08
Positive
RSI
35.31
Neutral
STOCH
17.57
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SAA, the sentiment is Negative. The current price of 136 is below the 20-day moving average (MA) of 137.85, below the 50-day MA of 150.58, and below the 200-day MA of 169.20, indicating a bearish trend. The MACD of -6.08 indicates Positive momentum. The RSI at 35.31 is Neutral, neither overbought nor oversold. The STOCH value of 17.57 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SAA.

M&C Saatchi plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
£389.57M24.529.53%3.98%-5.98%-74.21%
£3.90B10.2211.44%8.80%-4.54%86.79%
$48.67B4.58-11.27%4.14%2.83%-41.78%
£316.45M23.437.16%3.35%15.99%
£160.60M20.9718.23%1.12%-21.19%-29.54%
£60.86M-5.71-32.35%4.29%-13.72%-361.92%
£154.31M-0.47-45.75%4.06%-14.27%-15466.67%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SAA
M&C Saatchi plc
132.50
-67.01
-33.59%
GB:CAU
Centaur Media
42.00
20.32
93.73%
GB:NFG
Next Fifteen Communications
386.00
-4.22
-1.08%
GB:YOU
Yougov plc
268.50
-182.30
-40.44%
GB:WPP
WPP
365.00
-421.08
-53.57%
GB:SFOR
S4 Capital Plc
24.65
-11.80
-32.37%

M&C Saatchi plc Corporate Events

Business Operations and StrategyM&A Transactions
M&C Saatchi Expands Sports Portfolio with Acquisition of Women’s Sports Group
Positive
Oct 7, 2025

M&C Saatchi plc has announced the acquisition of The Women’s Sports Group Limited, a specialist advisory and media rights consultancy in women’s sports. This acquisition, funded by available cash, aligns with M&C Saatchi’s strategy to invest in high-margin growth areas, enhancing its capabilities in the sport and entertainment sector. The acquisition is expected to bolster M&C Saatchi’s position in the dynamic sports industry, complementing recent global wins and partnerships, and further strengthening its Passions & PR specialism.

The most recent analyst rating on (GB:SAA) stock is a Buy with a £220.00 price target. To see the full list of analyst forecasts on M&C Saatchi plc stock, see the GB:SAA Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
M&C Saatchi Navigates Challenges with Strategic Restructuring and Growth Initiatives
Neutral
Sep 18, 2025

M&C Saatchi reported a challenging first half of 2025, with a 5.1% decline in like-for-like net revenue, primarily due to macroeconomic uncertainties and a significant downturn in its Australian operations. The company has implemented strategic restructuring in Australia and is targeting annual cost savings of £12 million to maintain profitability. Despite these challenges, M&C Saatchi continues to see growth in regions like the Middle East and Europe and has secured new client wins. The company remains focused on its transformation program and strategic investments to drive future growth and shareholder value.

The most recent analyst rating on (GB:SAA) stock is a Hold with a £200.00 price target. To see the full list of analyst forecasts on M&C Saatchi plc stock, see the GB:SAA Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
M&C Saatchi to Announce Half Year Results on 18 September 2025
Neutral
Sep 3, 2025

M&C Saatchi PLC has announced that it will release its Half Year Results for the period ending 30 June 2025 on 18 September 2025. The announcement will include an in-person presentation by the CEO and CFO for analysts and investors, indicating the company’s commitment to transparency and stakeholder engagement. This event is expected to provide insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and stakeholder confidence.

The most recent analyst rating on (GB:SAA) stock is a Hold with a £200.00 price target. To see the full list of analyst forecasts on M&C Saatchi plc stock, see the GB:SAA Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 23, 2025