Publicis Groupe
Market Cap
€9.7b
Last Updated
2020/02/23 20:36 UTC
Data Sources
Company Financials +
Executive Summary
Publicis Groupe S.A. provides marketing, communication, and digital transformation services worldwide.
Rewards
Risk Analysis
Snowflake Analysis
6 star dividend payer and undervalued.
Similar Companies
Share Price & News
How has Publicis Groupe's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PUB has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.5%
PUB
0.3%
FR Media
-0.5%
FR Market
1 Year Return
-14.6%
PUB
-13.8%
FR Media
15.2%
FR Market
Return vs Industry: PUB matched the French Media industry which returned -13.8% over the past year.
Return vs Market: PUB underperformed the French Market which returned 15.2% over the past year.
Shareholder returns
| PUB | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.5% | 0.3% | -0.5% |
| 30 Day | -0.4% | -3.3% | 0.6% |
| 90 Day | 5.2% | -3.5% | 2.8% |
| 1 Year | -10.6%-14.6% | -9.9%-13.8% | 19.2%15.2% |
| 3 Year | -27.2%-34.7% | -18.2%-26.6% | 43.8%30.2% |
| 5 Year | -34.5%-43.6% | -25.7%-37.5% | 52.3%30.8% |
Price Volatility Vs. Market
How volatile is Publicis Groupe's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Should Publicis Groupe S.A.'s (EPA:PUB) Recent Earnings Decline Worry You?1 month ago | Simply Wall St
Does Publicis Groupe (EPA:PUB) Have A Healthy Balance Sheet?1 month ago | Simply Wall St
Here's What Publicis Groupe S.A.'s (EPA:PUB) P/E Ratio Is Telling UsValuation
Is Publicis Groupe undervalued compared to its fair value and its price relative to the market?
43.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PUB (€41.12) is trading below our estimate of fair value (€73.1)
Significantly Below Fair Value: PUB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PUB is good value based on its PE Ratio (11.5x) compared to the Media industry average (16.5x).
PE vs Market: PUB is good value based on its PE Ratio (11.5x) compared to the French market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: PUB is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: PUB is good value based on its PB Ratio (1.3x) compared to the FR Media industry average (1.4x).
Next Steps
Future Growth
How is Publicis Groupe forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
9.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PUB's forecast earnings growth (9.1% per year) is above the savings rate (-0.1%).
Earnings vs Market: PUB's earnings (9.1% per year) are forecast to grow slower than the French market (12.9% per year).
High Growth Earnings: PUB's earnings are forecast to grow, but not significantly.
Revenue vs Market: PUB's revenue (0.7% per year) is forecast to grow slower than the French market (4.6% per year).
High Growth Revenue: PUB's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PUB's Return on Equity is forecast to be low in 3 years time (14.1%).
Next Steps
Past Performance
How has Publicis Groupe performed over the past 5 years?
6.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PUB has a large one-off loss of €366.0M impacting its December 31 2019 financial results.
Growing Profit Margin: PUB's current net profit margins (7.6%) are lower than last year (10.2%).
Past Earnings Growth Analysis
Earnings Trend: PUB's earnings have grown by 6% per year over the past 5 years.
Accelerating Growth: PUB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PUB had negative earnings growth (-8.5%) over the past year, making it difficult to compare to the Media industry average (4%).
Return on Equity
High ROE: PUB's Return on Equity (11.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Publicis Groupe's financial position?
Financial Position Analysis
Short Term Liabilities: PUB's short term assets (€15.8B) do not cover its short term liabilities (€17.9B).
Long Term Liabilities: PUB's short term assets (€15.8B) exceed its long term liabilities (€7.3B).
Debt to Equity History and Analysis
Debt Level: PUB's debt to equity ratio (79.7%) is considered high.
Reducing Debt: PUB's debt to equity ratio has increased from 34.9% to 79.7% over the past 5 years.
Debt Coverage: PUB's debt is well covered by operating cash flow (39.8%).
Interest Coverage: PUB's interest payments on its debt are well covered by EBIT (100.7x coverage).
Balance Sheet
Inventory Level: PUB has a low level of unsold assets or inventory.
Debt Coverage by Assets: PUB's debt is covered by short term assets (assets are 2.7x debt).
Next Steps
Dividend
What is Publicis Groupe's current dividend yield, its reliability and sustainability?
5.59%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PUB's dividend (5.59%) is higher than the bottom 25% of dividend payers in the French market (1.54%).
High Dividend: PUB's dividend (5.59%) is in the top 25% of dividend payers in the French market (4.58%)
Stability and Growth of Payments
Stable Dividend: PUB's dividends per share have been stable in the past 10 years.
Growing Dividend: PUB's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (64.1%), PUB's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PUB's dividends in 3 years are forecast to be well covered by earnings (47.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Arthur Sadoun (48yo)
2.7yrs
Tenure
€4,122,211
Compensation
Mr. Arthur Sadoun has been Chairman of Management Board and Chief Executive Officer of Publicis Groupe S.A. since June 1, 2017. Mr. Sadoun was Chief Executive Officer of Publicis Communication since 2015. ...
CEO Compensation Analysis
Compensation vs Market: Arthur's total compensation ($USD4.48M) is above average for companies of similar size in the French market ($USD3.32M).
Compensation vs Earnings: Arthur's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Management Board & CEO | 2.7yrs | €4.12m | 0.023% €2.2m | |
| Group CFO | 19.4yrs | €2.66m | 0.040% €3.9m | |
| COO & CEO of Publicis Media | 1.1yrs | €3.98m | 0.0071% €694.7k | |
| Secretary General & Member of Management Board | 5.4yrs | €2.24m | 0.0029% €282.6k | |
| President | 2.8yrs | no data | no data | |
| Vice President of Investor Relations & Strategic Financial Planning | 0.9yrs | no data | no data | |
| Group General Counsel | 2.8yrs | no data | no data | |
| VP & Director of Communication | 0.7yrs | no data | no data | |
| Chief Talent Officer | 2.4yrs | no data | no data | |
| Chief Growth Officer | 6.6yrs | no data | no data |
2.7yrs
Average Tenure
50yo
Average Age
Experienced Management: PUB's management team is considered experienced (2.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & Chief Executive Officer of Publicis Worldwide USA | 6.2yrs | no data | no data | |
| Member of the Supervisory Board | 9.7yrs | €40.00k | 0.00021% €20.5k | |
| Chairman of Supervisory Board | 2.7yrs | €2.85m | 1.97% €192.0m | |
| Member of Supervisory Board | 3.8yrs | €60.00k | 0.00021% €20.5k | |
| Vice Chairman of Supervisory Board | 2.7yrs | €55.00k | 7.05% €686.7m | |
| Chairman of Leo Burnett North America | 0yrs | no data | no data | |
| Chairman of Publicis Media | 0yrs | no data | no data | |
| Chairman of Leo Burnett | 0yrs | no data | no data | |
| Chairman of Saatchi & Saatchi Duke | 7.8yrs | no data | no data | |
| Member of the Supervisory Board | 6.8yrs | €80.00k | 0.00059% €57.5k |
6.2yrs
Average Tenure
65.5yo
Average Age
Experienced Board: PUB's board of directors are considered experienced (6.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.
Top Shareholders
Company Information
Publicis Groupe S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Publicis Groupe S.A.
- Ticker: PUB
- Exchange: ENXTPA
- Founded: 1926
- Industry: Advertising
- Sector: Media
- Market Cap: €9.744b
- Shares outstanding: 236.96m
- Website: https://www.publicisgroupe.com
Number of Employees
Location
- Publicis Groupe S.A.
- 133, Avenue des Champs-Élysées
- Paris
- Ile-de-France
- 75008
- France
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PGPE.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1980 |
| PUB | ENXTPA (Euronext Paris) | Yes | Ordinary Shares | FR | EUR | Jan 1980 |
| PU4 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1980 |
| 0FQI | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Jan 1980 |
| PUBP | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Jan 1980 |
| PUB | SWX (SIX Swiss Exchange) | Yes | Ordinary Shares | CH | CHF | Jan 1980 |
| PUB | WBAG (Wiener Boerse AG) | Yes | Ordinary Shares | AT | EUR | Jan 1980 |
| PUB N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Jan 1980 |
| PUBG.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Sep 2000 |
Biography
Publicis Groupe S.A. provides marketing, communication, and digital transformation services worldwide. The company offers advertising; interactive communications and digital marketing; direct marketing and customer relationship management, sales, promotion and point-of-sale marketing; and public relation, corporate and financial communications, and events communication services. It also provides media consulting/media planning and media buying services. In addition, the company operates Publicis Sapient, a technological, digital, and consulting platform for the automotive, consumer products, energy and raw materials, retail, financial services, healthcare, media-telecoms, and travel and hospitality industries. Further, it provides healthcare communication services under the Digitas Health and Publicis Health Media brands for the healthcare and well-being sectors. The company serves clients in the non-food consumer products, finance, automobile, TMT, healthcare, food and beverage, leisure/energy/luxury, retail, and other sectors. Publicis Groupe S.A. was founded in 1926 and is headquartered in Paris, France.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 20:36 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.