Home/Stocks/Consumer Cyclicals

WPP PLC

WPP.L·Consumer Cyclicals·Market Cap £4.2b
Rank #265 of 280
Quantitative Model · 280 Stocks Analysed
£3.86
+14.34% YTD
52W: £2.19 - £4.13

Factor Analysis Summary

Editorial assessment generated from WPP PLC's live factor scores and sector positioning.

Based on Strategyland's proprietary 7-factor analysis, WPP PLC (WPP.L) currently holds an overall rank of #265 out of 280 FTSE 100 constituents, reflecting its weighted composite score across liquidity, valuation, profitability, solvency, asset efficiency, market trading, and technical dimensions.

Key strengths include valuation, where it demonstrates compelling valuation metrics, trading at a discount to peer averages on key multiples; market trading, where it demonstrates strong market trading characteristics with favourable volume trends and institutional participation; and technical (RSI 51.8), where it demonstrates positive technical momentum with price action supporting a constructive trend.

Areas requiring attention include profitability (ROE -7.1%, net margin -1.5%), where compressed margins and weak returns on equity weigh on the earnings profile, as well as solvency (debt/equity 2.5), where higher debt levels or weaker coverage ratios raise solvency concerns.

Within the Consumer Cyclicals sector, WPP PLC sits at composite rank #265, trailing the Consumer Cyclicals peer average (rank 44). It ranks behind all 6 tracked Consumer Cyclicals peers in our model.

The composite profile is weighed down by 3 below-average factor scores, with profitability (rank 268/280) representing the most significant drag on its #265 overall standing.

Strongest Factors

  • Valuation — Rank 43/280 (top quartile)
  • Market Trading — Rank 50/280 (top quartile)
  • Technical — Rank 51/280 (top quartile)

Weakest Factors

  • Profitability — Rank 268/280 (below average)
  • Solvency — Rank 264/280 (below average)

Score Analysis

WPP PLC is ranked #265 out of 280 UK stocks. Lower factor scores indicate better performance in that category.

Factor Breakdown

149/280
Average Score
Liquidity
Weak214/280
Valuation
Excellent43/280
Profitability
Weak268/280
Solvency
Weak264/280
Asset Efficiency
Fair150/280
Mkt Trading
Excellent50/280
Technical
Excellent51/280

1. Liquidity

Score: 214/280

How liquid is WPP and can it meet its short-term obligations?

2/6
liquidity criteria met
✓
Quick Ratio0.88x
Range: 0.7 - 1.2Rank 85/280
✗
Current Ratio0.89x
Range: 1.2 - 1.8Rank 179/280
✗
TTM Operating Cash Flow0.08x
Range: 0.8 - 1.2Rank 208/280
–
Liquidity Coverage RatioN/A
Range: N/A
✗
Intangible Asset Ratio0.03x
Range: 3 - 15Rank 112/280
✓
Cash-to-Debt Ratio0.39x
Range: 0.3 - 0.8Rank 107/280

Key Liquidity Metrics

Quick Ratio
0.88x
Sector: 0.7 - 1.2
Current Ratio
0.89x
Sector: 1.2 - 1.8

Overall Liquidity Rank

Rank within universe#214/280
Best (1)Worst (280)

2. Valuation

Score: 43/280

Is WPP undervalued compared to its peers and fair value metrics?

0/7
valuation criteria met
✗
FY27e P/E6.6x
Range: 12x - 30xRank 12/280
✗
FY26e P/E6.9x
Range: 12x - 30xRank 12/280
✗
FY27e Net Div Yld (%)4.27%
Range: 1.0 - 4.0Rank 89/280
–
Div Payout RatioN/A
Range: 25 - 50Rank 25/280
✗
Current EV/EBITDA4.7x
Range: 7.0x - 11.0xRank 47/280
–
Current P/TBVN/A
Range: 1.5x - 4.5x
✗
Current P/B1.43x
Range: 1.5x - 4.5xRank 134/280

Key Valuation Metrics

TTM P/E
Price-to-Earnings
N/A
FY26e P/E
Forward estimate
6.9x
FY27e P/E
Forward estimate
6.6x
Current P/B
Price-to-Book
1.43x
Current P/TBV
Tangible Book Value
N/A
Current EV/EBITDA
Enterprise Value
4.7x
FY26e EV/EBITDA
Forward estimate
5.9x
FY27e EV/EBITDA
Forward estimate
5.9x

Dividend

WPP pays a dividend yield of 6.36%.

Current Yield
6.36%
FY27e Net Div Yield
4.27%
FY26e Gross DPS
0.147
FY27e Gross DPS
0.165

Dividend Per Share Forecast

3. Profitability

Score: 268/280

How profitable is WPP relative to its peers?

0/7
profitability criteria met
✗
TTM Profit Margin-1.5%
Range: 3 - 8Rank 260/280
✗
T12 FCF Margin0.8%
Range: 3 - 10Rank 78/280
✗
FY27e RoE15.0%
Range: 5 - 12Rank 121/280
✗
FY26 EPS Growth-14.9%
Range: 0 - 5Rank 213/280
✗
FY27e EPS Growth-11.0%
Range: 5 - 12Rank 211/280
–
NIMN/A
Range: N/A
–
Expense RatioN/A
Range: 85 - 92
TTM Profit Margin
-1.5%
Current RoCE
-7.1%
FY27e RoE
15.0%
T12 FCF Margin
0.8%

EPS Growth

4. Solvency

Score: 264/280

How strong is WPP's balance sheet and financial position?

1/6
solvency criteria met
✗
Debt/Eqt2.46x
Range: 0.5x - 1.2xRank 242/280
–
Interest Coverage RatioRank 196
Range: 3x - 8xRank 196/280
✓
Net Leverage Ratio2.02x
Range: 1.5x - 3.5xRank 125/280
–
Altman Z-Score (Manufacturing)0.34
Range: <1.10 - >2.60Rank 235/280
–
Z-Score (Non Manufacturing)Rank 233
Range: <1.10 - >2.60Rank 233/280
–
CapAdeq Ratio Tier1N/A
Range: N/A

Key Solvency Metrics

Debt/Eqt
2.46x
Net Leverage Ratio
2.02x
Interest Coverage
Rank 196
T12 FCF Margin
0.8%

Altman Z-Score

0.34
Distress Zone
01.812.995+

5. Asset Efficiency

Score: 150/280

How efficiently does WPP deploy its assets and intellectual capital?

0/5
asset efficiency criteria met
–
Efficiency RatioN/A
Range: N/A
✗
TTM Asset Turnover Ratio0.56x
Range: 1.0x - 2.5xRank 113/280
✗
TTM CAPEX/Sales1.4%
Range: 3 - 8Rank 166/280
–
Working Capital TurnoverN/A
Range: 5x - 12x
–
R&D/Sales FY27eN/A
Range: 0.5 - 3.0Rank 34/280

Overall Asset Efficiency Rank

Rank within sector peers#150/280
Best (1)Worst (280)

6. Market Trading

Score: 50/280

How liquid and actively traded is WPP?

1/2
market trading criteria met
✗
Intraday Sentiment (%)78.0%
Range: 30 - 70Rank 53/280
–
10D-Avg v/s 3M-Avg Vol130%
Range: N/ARank 50/280
✓
Avg Directional Index 30D27.7
Range: 012 - 45Rank 52/280
–
Parabolic SAR392.20
Range: N/ARank 176/280
–
Stock Rating RankN/A
Range: N/A
Market Cap
£4,160,899,559
Enterprise Value
£9,168,101,676

Trading Volume

7. Technical

Score: 51/280

What do the technical indicators say about WPP?

0/5
technical criteria met
–
CMP v/s 52-WH-6.5%
£4.13£2.19
-6.5%CMP: £3.86
Range: N/ARank 88/280
–
CMP v/s 52-WL76.6%
£4.13£2.19
+76.6%CMP: £3.86
Range: N/ARank 257/280
–
RSI 14D51.8
051.8 - Bullish100
Range: N/ARank 50/280
–
MA50 - MA200Bullish
£3.00+0.80£3.79
Range: N/ARank 59/280
–
MACD Rank-1.13
Golden Cross
MACD: -1.13
Range: N/A

RSI (14 Day)

51.8
Bullish
0 (Oversold)50100 (Overbought)

Moving Averages

50 SMA£3.79
200 SMA£3.00
SignalGolden Cross (Bullish)
MACD-1.13

Risk Metrics

Beta
N/A
3-Yr Std Dev
0.5%
5-Yr Std Dev
0.5%

Peer Comparison

How does WPP compare to other Consumer Cyclicals stocks?

Overall Rank Comparison

Factor Score Comparison

StockRankLiquidityValuationProfitabilitySolvencyMkt TradingTechnical
WPP#265214432682645051
GAW.L#109267933618240
NXT.L#224026194105233
FOUR.L#31135202184248212
GFTU_u.L#564914521812515311
MOONM.L#70144178158161135116
CPG.L#72156203150129266215
Sponsored
Healthcare Discovery Monitor
Live
Healthcare Discovery Monitor
Healthcare Discovery Monitorby StrategyLand

Catch Healthcare Events Before the Market Moves

SEC filings, FDA approvals, clinical trials, and regulatory events - scored for significance across 4 global markets.

10+
Sources
4
Markets
12h
Cycle
50+
Keywords
USUKCNEU
Launch Monitor

Methodology Note

The analysis presented for WPP PLC is produced using Strategyland's proprietary 7-factor quantitative model, which evaluates each stock across Liquidity, Valuation, Profitability, Solvency, Asset Efficiency, Market Trading, and Technical dimensions. Individual factor scores and the composite rank reflect relative rankings within the FTSE 100 universe — a lower rank number indicates stronger performance in that category.

Underlying financial and market data is sourced from LSEG (London Stock Exchange Group) and processed through our scoring engine. Scores are recalculated as new data becomes available and should be interpreted as a systematic screening output, not a forecast of future share price performance.

This content is for informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any security. Past performance and factor rankings are not indicative of future results. Please read our Risk Disclaimer before making any investment decisions.

Note: The information provided is not intended as an offer or solicitation for the purchase or sale of any financial instruments but for investor relations purposes only. The aforementioned securities were offered to the public and currently trade on the secondary market at the exchange mentioned above. It is recommended that investors considering investing in any of these notes consult an approved MiFID Financial Advisor prior to investing.