olivLaw · European equity research
WPP plc WPP.L
United Kingdom · London Stock Exchange · Vertical: Listed companies from United Kingdom
WPP plc is a global marketing and communications services group that had a difficult 2025, with weak growth and a significant goodwill impairment. The Elevate28 strategy aims to stabilise performance, cut structural costs and strengthen the balance sheet, a process that could depend on a return to growth in its core businesses.
At the close of 05 Nov 2026, WPP plc (WPP.L) stock was 4.19 GBP (−0.05% on the day), with market capitalisation 4.5 bn GBP, dividend yield 5.82%, beta 0.65, 52-week range 2.25–4.19 GBP.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 64.0
- strong (55–70)
- Bollinger (20, 2)
- 3.78 – 4.21
- in the upper half of the band · %B 0.94 · band width 11.0%
- SMA 50 / 200
- 3.87 / 3.07
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.08 / 0.06
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | +10.2% | −0.6% | +10.8 pp | — |
| 3 months | +6.1% | −4.2% | +10.2 pp | — |
| 6 months | +50.6% | +4.3% | +46.2 pp | — |
| Year to date | +24.1% | +7.5% | +16.6 pp | — |
| 1 year | +55.8% | +9.9% | +45.9 pp | +5.8% |
| 3 years | −42.1% | +49.8% | −92.0 pp | +26.3% |
| 5 years | −60.9% | +42.8% | −103.8 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | 14.4 bn | 14.8 bn | 14.7 bn | 13.6 bn |
| Revenue YoY | unavailable | +2.9% | −0.7% | −8.1% |
| Net income | 683.0 m | 110.0 m | 542.0 m | -215.0 m |
| Net income YoY | unavailable | −83.9% | +392.7% | −139.7% |
| Diluted EPS | 0.61 | 0.10 | 0.49 | -0.20 |
| Diluted EPS YoY | unavailable | −83.5% | +389.1% | −140.5% |
| net % | 4.7% | 0.7% | 3.7% | -1.6% |
| Free cash flow | 492.0 m | 1.1 bn | 1.2 bn | 633.0 m |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 2.7 bn GBP
- Financial debt
- 4.9 bn GBP
- Net debt
- 2.2 bn GBP
- Equity
- 2.8 bn GBP
- Total assets
- unavailable GBP
- Debt / equity
- 1.78x
- Current ratio
- 0.89x
- ROE
- -6.6%
- ROA
- unavailable
- FCF margin
- 4.7%
Financial statements (source on every figure)
Revenue and net income (GBP)
Margins
Income statement · GBP
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Revenue | 14.4 bn | 14.8 bn | 14.7 bn | 13.6 bn | esef· 24 Mar 2026verified |
| Cost of revenue | 11.9 bn | 12.3 bn | 12.3 bn | 11.4 bn | esef· 24 Mar 2026verified |
| Gross profit | 2.5 bn | 2.5 bn | 2.5 bn | 2.1 bn | esef· 24 Mar 2026verified |
| Operating income | 1.4 bn | 531.0 m | 1.3 bn | 382.0 m | esef· 24 Mar 2026verified |
| Interest expense | 359.0 m | 389.0 m | 417.0 m | 352.0 m | esef· 24 Mar 2026verified |
| Pre-tax income | 1.2 bn | 346.0 m | 1.0 bn | 131.0 m | esef· 24 Mar 2026verified |
| Income tax | 385.0 m | 149.0 m | 402.0 m | 303.0 m | esef· 24 Mar 2026verified |
| Net income | 683.0 m | 110.0 m | 542.0 m | -215.0 m | esef· 24 Mar 2026verified |
| Diluted EPS | 0.61 | 0.10 | 0.49 | -0.20 | esef· 24 Mar 2026verified |
| Dividend per share | — | 0.24 | 0.24 | 0.24 | esef· 24 Mar 2026verified |
Balance sheet · GBP
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Cash | — | 2.2 bn | 2.6 bn | 2.7 bn | esef· 24 Mar 2026verified |
| Receivables | — | 8.5 bn | 7.7 bn | 7.3 bn | esef· 24 Mar 2026verified |
| Current assets | — | 13.9 bn | 13.7 bn | 13.2 bn | esef· 24 Mar 2026verified |
| Property, plant & equipment, net | — | 828.0 m | 909.0 m | 724.0 m | esef· 24 Mar 2026verified |
| Goodwill | — | 8.4 bn | 7.6 bn | 6.9 bn | esef· 24 Mar 2026verified |
| Intangibles (excl. goodwill) | — | 850.0 m | 737.0 m | 734.0 m | esef· 24 Mar 2026verified |
| Short-term debt | — | 946.0 m | 584.0 m | 822.0 m | esef· 24 Mar 2026verified |
| Long-term debt | — | 3.8 bn | 3.7 bn | 4.1 bn | esef· 24 Mar 2026verified |
| Current liabilities | — | 16.3 bn | 15.5 bn | 14.8 bn | esef· 24 Mar 2026verified |
| Equity | 4.2 bn | 3.8 bn | 3.7 bn | 2.8 bn | esef· 24 Mar 2026verified |
| Shares outstanding at year end | 1.1 bn | 1.1 bn | 1.1 bn | 1.1 bn | esef· 24 Mar 2026derived |
Cash flow · GBP
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Operating cash flow | 701.0 m | 1.2 bn | 1.4 bn | 724.0 m | esef· 24 Mar 2026verified |
| Capex | 209.0 m | 177.0 m | 189.0 m | 91.0 m | esef· 24 Mar 2026verified |
| Free cash flow | 492.0 m ≈ | 1.1 bn ≈ | 1.2 bn ≈ | 633.0 m ≈ | esef· 24 Mar 2026derived |
| Investing cash flow | -409.0 m | -380.0 m | 278.0 m | -347.0 m | esef· 24 Mar 2026verified |
| Financing cash flow | -1.9 bn | -904.0 m | -989.0 m | -319.0 m | esef· 24 Mar 2026verified |
| Share repurchases | 862.0 m | 54.0 m | 82.0 m | 97.0 m | esef· 24 Mar 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- score weight coverage: 50.0% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 4.5 bn GBP
Key indicators
Coverage and freshness
Score by group
50% · Insufficient data
Estimated value range
unavailable — no valuation assumptions for the reporting currency
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
Assumptions (illustrative, editorial)
- Risk-free rate
- 6.5%
- Equity risk premium
- 6.0%
- Beta (default)
- 1.00
- Cost of equity
- 12.5%
- Terminal growth
- 3.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 50.0% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 6.1% | 25 (vs peers) | 21% |
| Net margin · Quality | -1.6% | 26 (vs peers) | 13% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | -2.1% | 0 (on a fixed band) | 17% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 1.1x | 0 (on a fixed band) | 13% |
| Current ratio · Balance sheet | 0.9x | 7 (on a fixed band) | 8% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 14.1% | 100 (on a fixed band) | 17% |
| Shareholder yield (distributions) · Returns | 2.2% | 31 (on a fixed band) | 13% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet3/100 · 2/3 factors with a value
- Growth· partial0/100 · 1/2 factors with a value
- Quality25/100 · 2/3 factors with a value
- Returns· partial31/100 · 1/2 factors with a value
- Valuation· partial100/100 · 1/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
WPP PLC (WPP.L). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 13.6 bn GBP in 2025; YoY growth -8.1%; net margin -1.6%; ROE -7.1%.
The estimated value range is 5.20–8.23 GBP per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 6.38 GBP, the price of 4.19 GBP leaves a potential of 52.3% (value / price − 1) and a margin of safety of 34.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (score weight coverage: 50.0% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF yield: 14.1%
- The price is below the estimated value range
What contradicts it
- ROIC: 6.1%
- Net margin: -1.6%
- Revenue CAGR 3Y: -2.1%
- Interest coverage: 1.1x
- Current ratio: 0.9x
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, P/E (TTM), EV/EBITDA, Payout ratio (FCF).
Versus the vertical median
Listed companies from United Kingdom · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| BATS.LBritish American Tobacco P.L.C. | 104.3 bn | 13.5 | 16.5% | 30.3% | −1.0% | +7% / +88% |
| ABF.LAssociated British Foods PLC | 14.7 bn | 14.3 | 9.2% | 5.3% | −3.1% | −5% / −15% |
| 0EV1.LCarnival PLC | 5.5 bn | 4.1 | 46.7% | 13.4% | +6.4% | unavailable / unavailable |
| BAB.LBabcock International Group PLC | 5.1 bn | 24.7 | 34.7% | 4.1% | +7.2% | −10% / +158% |
| AUTO.LAutotrader Group PLC | 4.8 bn | 16.4 | 60.2% | 47.1% | +3.9% | −13% / −23% |
| WPP.LWpp PLC | 4.5 bn | — | -7.1% | -1.6% | −8.1% | +38% / −41% |
| BBY.LBalfour Beatty PLC | 4.2 bn | 16.3 | 23.2% | 2.8% | +15.2% | +20% / +160% |
| ABDN.LAberdeen Group PLC | 4.1 bn | 10.8 | 8.0% | 28.9% | −2.1% | +11% / +41% |
| BKG.LThe Berkeley Group Holdings PLC | 3.6 bn | 11.3 | 8.8% | 13.4% | −4.2% | −0% / −22% |
| BME.LB&M European Value Retail PLC | 2.9 bn | 17.4 | 21.2% | 2.8% | +3.7% | +68% / −51% |
| AJB.LAj Bell PLC | 2.4 bn | 22.8 | 49.9% | 33.1% | +18.0% | +8% / +128% |
| ASHM.LAshmore Group PLC | 1.4 bn | 13.9 | 13.1% | 71.6% | −0.1% | +28% / +18% |
| BCG.LBaltic Classifieds Group PLC | 1.2 bn | 23.2 | 15.8% | 57.6% | +6.9% | −99% / −99% |
| APN.LApplied Nutrition PLC | 763.6 m | 36.2 | 41.2% | 19.7% | +24.2% | +71% / unavailable |
| BAG.LA.G. Barr P.L.C. | 671.9 m | 14.4 | 14.4% | 10.8% | +4.0% | −7% / +26% |
| ASC.LAsos PLC | 494.5 m | — | -81.3% | -12.0% | −14.7% | +71% / +8% |
| ALFA.LAlfa Financial Software Holdings PLC | 486.8 m | 16.3 | 61.5% | 23.8% | +15.3% | −28% / +10% |
| AML.LAston Martin Lagonda Global Holdings PLC | 344.3 m | — | -93.4% | -39.2% | −20.6% | −45% / −85% |
| APTD.LAptitude Software Group PLC | 111.3 m | 28.5 | 7.2% | 6.2% | −7.3% | −30% / −23% |
| AMGO.LAmigo Holdings PLC | 9.9 m | — | — | — | −81.9% | +325% / +844% |
| ASBE.LAssociated British Engineering PLC | 605.3 k | — | -19.1% | — | unavailable | unavailable / unavailable |
| AMIF.LAmicorp Fs (uk) PLC | 221.6 k | 0.1 | 27.5% | 9.1% | +8.1% | unavailable / unavailable |
| AAF.LAirtel Africa PLC | — | — | 24.1% | 10.6% | +29.5% | −7% / +164% |
| AAL.LAnglo American PLC | — | — | -19.3% | -20.2% | +4.5% | +30% / +76% |
| ACG.LAcg Metals Limited | — | — | -80.3% | -32.0% | +134.8% | +60% / +63% |
1- and 3-year price returns: for WPP.L from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (GBP)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
WPP plc is a global marketing and communications services group that had a difficult 2025, with weak growth and a significant goodwill impairment. The Elevate28 strategy aims to stabilise performance, cut structural costs and strengthen the balance sheet, a process that could depend on a return to growth in its core businesses 1.
SWOT
Strengths
- The group has a global client base, a wide agency network and a balance sheet that rating agencies view as investment grade 1.
- The WPP Open platform and data and AI capabilities form a proprietary technology asset, extended by the InfoSum acquisition 1.
- The group issued bonds that attracted strong investor demand, signalling confidence in its credit profile 1.
Weaknesses
Opportunities
- Cost savings under Elevate28 could fund growth investment, if the structural reduction is delivered as planned 1.
- Management sees a significant opportunity to expand the scope of work with existing clients 1.
- Integrating data and media could create new services for clients who require measurement and personalisation 1.
Threats
Risks
- Client losseshigh
Losing important clients in 2025 continues to affect revenue, and recovery depends on the success of new mandates 1.
- Goodwill impairmenthigh
Impairment testing depends on cash flow estimates, operating margins and discount rates; changes in these assumptions could trigger further charges 1.
- Higher leveragemedium
Rising leverage could limit the group's ability to maintain its investment-grade rating if profits stay below expectations 1.
- Restructuring costsmedium
Higher expected cash restructuring charges in 2026 could reduce cash flow and financial flexibility 1.
- Elevate28 executionmedium
If cost reduction and reinvestment do not proceed as planned, a return to growth could be delayed 1.
Investment thesis
What would need to be true (bull case)
- If the group stabilises performance and wins back clients, the Elevate28 plan could rebuild margins and growth over the medium term 1.
- The WPP Open platform and data capabilities could support new mandates and a stronger media position if adoption continues 1.
- The investment-grade balance sheet and access to bond markets provide a stable financial base for strategic investment 1.
What would break the thesis
- If client losses continue and organic growth stays negative, margins and cash flow could keep declining 1.
- Further goodwill impairments could signal that assumptions for Ogilvy or AKQA were too optimistic 1.
- Rising leverage and restructuring costs could limit the group's ability to invest and to sustain its dividend 1.
What to watch
- Delivery of the 2026 revenue and operating margin guidance2026
- Progress of the Elevate28 programme and cost savings2026
- Development of new mandates and client lossesQ1 2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
WPP plc, a Jersey-incorporated company listed in London, is a marketing, advertising and communications services group made up of hundreds of subsidiaries operating across many markets. Its 2025 annual report describes around 650 consolidated components, with central functions at group, network and regional level 1. The group emphasises WPP Open, AI and data, where 2025 investment was in line with plan 1.
During 2025 revenue and profitability fell below management's expectations, and the group lost important clients, which weighs on 2026 revenue 1. Management guided cautiously and pointed to a healthy new business pipeline 1.
Segments
WPP Media
WPP Media is the group's media division, which management is repositioning through a new global operating model, the integration of InfoSum and the launch of Open Intelligence 1.
Ogilvy and AKQA
The Ogilvy and AKQA cash generating units were the main sources of goodwill impairment in 2025, reflecting their performance difficulties 1.
WPP Open
WPP Open is the core technology platform of the strategy, used by close to 90% of client-facing staff, with new partnerships with large technology companies 1.
Market context
The market in which WPP operates is shaped by the macroeconomic and geopolitical uncertainty of 2025, which the report says remains into 2026 1. Clients are trimming budgets or reorganising agencies, and competition for new mandates is intense 1.
Demand for data, AI, integrated media and privacy-first collaboration tools is growing and creates opportunities for groups able to deliver them at scale 1.
Trends
- Artificial intelligence and automationmixed
AI investment could lower production costs and open new services, but it could also erode fees for traditional creative work if clients press for lower prices 1.
- Data and privacytailwind
A shift to privacy-first data collaboration could support a stronger position in media and personalised marketing, if the group turns its investment into new clients 1.
- Macroeconomic uncertaintyheadwind
Economic and geopolitical uncertainty from 2025 persists, which could lead clients to delay advertising budgets and reduce contract scope 1.
- Portfolio simplificationmixed
Simplifying the portfolio and reducing the group's perimeter could improve financial flexibility, but it also involves asset disposals with uncertain effects on revenue 1.
Competitive position
Competition in marketing services is intense, and the report notes WPP ranked first in J. P. Morgan's Q4 2025 new business league table, alongside five other peers shown in the ranking 1. Large rivals pursue the same global clients and the same media and creative mandates 1.
Differentiation depends on delivering technology, data and integrated services at scale; groups that lag here could lose share if they fail to restore growth 1.
- Omnicom GroupOMC
Advertising and marketing group competing for global client mandates, as referenced in the context of the source texts.
- Publicis Groupe
European communications group competing with WPP for new clients and media and creative mandates.
- Dentsu
Japanese advertising services group present in similar markets, where competition for global mandates is intense.
- Havas
European communications and marketing group competing for the same international clients.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202524 Mar 2026
- Annual report 202415 Apr 2025
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / WPP plc · 31 Dec 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.