Interpublic Group of Companies (NYSE:IPG) Stock Price Up 4.9% – Should You Buy?

The Interpublic Group of Companies, Inc. (NYSE:IPG)’s share price rose 4.9% during trading on Monday . The stock traded as high as $29.39 and last traded at $29.55. Approximately 1,295,411 shares were traded during trading, a decline of 77% from the average daily volume of 5,593,542 shares. The stock had previously closed at $28.18.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. JPMorgan Chase & Co. raised Interpublic Group of Companies from a “neutral” rating to an “overweight” rating and boosted their target price for the company from $32.00 to $39.00 in a research note on Monday, January 27th. Barclays upgraded Interpublic Group of Companies from an “equal weight” rating to an “overweight” rating and boosted their price objective for the company from $32.00 to $36.00 in a research report on Friday, January 24th. UBS Group raised shares of Interpublic Group of Companies from a “sell” rating to a “neutral” rating and cut their price target for the company from $29.00 to $27.00 in a research note on Thursday, February 13th. Argus cut shares of Interpublic Group of Companies from a “buy” rating to a “hold” rating in a report on Tuesday, February 18th. Finally, BNP Paribas upgraded shares of Interpublic Group of Companies from an “underperform” rating to an “outperform” rating and set a $38.00 price objective on the stock in a report on Friday, January 10th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating and four have issued a buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $33.50.

Interpublic Group of Companies Stock Performance

The company has a market capitalization of $10.20 billion, a price-to-earnings ratio of 14.95 and a beta of 1.14. The stock’s 50 day moving average price is $27.74 and its 200 day moving average price is $29.41. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.77.

Interpublic Group of Companies (NYSE:IPG) last released its earnings results on Wednesday, February 12th. The business services provider reported $1.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.15 by ($0.04). Interpublic Group of Companies had a return on equity of 27.10% and a net margin of 6.45%. Analysts expect that The Interpublic Group of Companies, Inc. will post 2.66 earnings per share for the current year.

Interpublic Group of Companies Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Monday, March 3rd will be paid a $0.33 dividend. The ex-dividend date of this dividend is Monday, March 3rd. This represents a $1.32 annualized dividend and a dividend yield of 4.82%. Interpublic Group of Companies’s dividend payout ratio is presently 72.13%.

Interpublic Group of Companies announced that its board has initiated a stock buyback program on Wednesday, February 12th that permits the company to buyback $155.00 million in outstanding shares. This buyback authorization permits the business services provider to repurchase up to 1.6% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling at Interpublic Group of Companies

In other news, CFO Ellen Tobi Johnson sold 21,427 shares of the business’s stock in a transaction dated Monday, March 3rd. The shares were sold at an average price of $26.82, for a total transaction of $574,672.14. Following the transaction, the chief financial officer now directly owns 143,373 shares in the company, valued at $3,845,263.86. The trade was a 13.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 0.42% of the company’s stock.

Hedge Funds Weigh In On Interpublic Group of Companies

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Copley Financial Group Inc. grew its position in shares of Interpublic Group of Companies by 4.6% during the 4th quarter. Copley Financial Group Inc. now owns 16,058 shares of the business services provider’s stock worth $450,000 after purchasing an additional 712 shares in the last quarter. Universal Beteiligungs und Servicegesellschaft mbH bought a new position in shares of Interpublic Group of Companies during the fourth quarter valued at $11,637,000. Forum Financial Management LP raised its position in shares of Interpublic Group of Companies by 17.2% during the fourth quarter. Forum Financial Management LP now owns 7,612 shares of the business services provider’s stock worth $213,000 after acquiring an additional 1,115 shares during the last quarter. Toronto Dominion Bank lifted its holdings in Interpublic Group of Companies by 40.4% in the fourth quarter. Toronto Dominion Bank now owns 253,675 shares of the business services provider’s stock valued at $7,106,000 after buying an additional 73,054 shares during the period. Finally, Neo Ivy Capital Management acquired a new position in Interpublic Group of Companies in the fourth quarter valued at approximately $1,923,000. Institutional investors own 98.43% of the company’s stock.

Interpublic Group of Companies Company Profile

The Interpublic Group of Companies, Inc provides advertising and marketing services worldwide. It operates in three segments: Media, Data & Engagement Solutions, Integrated Advertising & Creativity Led Solutions, and Specialized Communications & Experiential Solutions. The Media, Data & Engagement Solutions segment provides media and communications services, digital services and products, advertising and marketing technology, e-commerce services, data management and analytics, strategic consulting, and digital brand experience under the IPG Mediabrands, UM, Initiative, Kinesso, Acxiom, Huge, MRM, and R/GA brand names.