The Interpublic Group of Companies, Inc.

LSE:0JCK Stock Report

Market Cap: US$11.9b

Interpublic Group of Companies Valuation

Is 0JCK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0JCK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0JCK ($31.37) is trading below our estimate of fair value ($95.51)

Significantly Below Fair Value: 0JCK is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0JCK?

Other financial metrics that can be useful for relative valuation.

0JCK key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA8.4x
PEG Ratio8.9x

Price to Earnings Ratio vs Peers

How does 0JCK's PE Ratio compare to its peers?

The above table shows the PE ratio for 0JCK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average42.8x
WPP WPP
78.9x27.2%UK£8.7b
INF Informa
25.9x12.2%UK£10.9b
FOUR 4imprint Group
20.8x7.1%UK£1.8b
YOU YouGov
45.4x39.4%UK£1.0b
0JCK Interpublic Group of Companies
11x1.2%US$11.9b

Price-To-Earnings vs Peers: 0JCK is good value based on its Price-To-Earnings Ratio (11x) compared to the peer average (42.8x).


Price to Earnings Ratio vs Industry

How does 0JCK's PE Ratio compare vs other companies in the European Media Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a21.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a21.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 0JCK is good value based on its Price-To-Earnings Ratio (11x) compared to the European Media industry average (15.3x).


Price to Earnings Ratio vs Fair Ratio

What is 0JCK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0JCK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11x
Fair PE Ratio22.6x

Price-To-Earnings vs Fair Ratio: 0JCK is good value based on its Price-To-Earnings Ratio (11x) compared to the estimated Fair Price-To-Earnings Ratio (22.6x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0JCK forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$31.37
US$35.59
+13.4%
7.6%US$39.00US$31.00n/a13
Apr ’25US$32.71
US$35.83
+9.5%
6.9%US$40.00US$32.00n/a11
Mar ’25US$31.17
US$35.74
+14.7%
7.2%US$40.00US$32.00n/a11
Feb ’25US$32.88
US$35.92
+9.2%
7.4%US$40.00US$31.00n/a12
Jan ’25US$32.45
US$35.09
+8.1%
9.4%US$40.00US$30.00n/a11
Dec ’24US$31.26
US$34.33
+9.8%
10.9%US$40.00US$28.00n/a12
Nov ’24US$28.16
US$34.67
+23.1%
9.6%US$40.00US$30.00n/a12
Oct ’24US$28.60
US$38.09
+33.2%
9.0%US$43.00US$33.00n/a11
Sep ’24US$32.53
US$39.09
+20.2%
8.1%US$43.00US$33.00n/a11
Aug ’24US$33.70
US$39.09
+16.0%
8.1%US$43.00US$33.00n/a11
Jul ’24US$38.22
US$40.73
+6.6%
6.2%US$45.00US$36.00n/a11
Jun ’24US$37.88
US$40.36
+6.6%
5.7%US$45.00US$36.00n/a11
May ’24US$35.67
US$40.36
+13.2%
5.7%US$45.00US$36.00n/a11
Apr ’24US$37.09
US$39.58
+6.7%
10.0%US$45.00US$29.00US$32.7112
Mar ’24US$35.58
US$38.58
+8.4%
13.2%US$45.00US$28.00US$31.1712
Feb ’24US$36.51
US$35.75
-2.1%
10.0%US$39.00US$28.00US$32.8812
Jan ’24US$33.36
US$33.33
-0.08%
14.8%US$39.00US$22.00US$32.4512
Dec ’23US$34.44
US$33.17
-3.7%
14.8%US$39.00US$22.00US$31.2612
Nov ’23US$29.93
US$32.67
+9.1%
14.0%US$39.00US$22.00US$28.1612
Oct ’23US$26.20
US$33.55
+28.0%
15.6%US$43.00US$22.00US$28.6011
Sep ’23US$27.15
US$34.06
+25.5%
14.7%US$43.00US$22.00US$32.5311
Aug ’23US$29.90
US$33.87
+13.3%
15.3%US$43.00US$22.00US$33.7010
Jul ’23US$27.45
US$37.79
+37.7%
13.9%US$46.00US$30.00US$38.2211
Jun ’23US$31.57
US$40.10
+27.0%
10.2%US$46.00US$32.00US$37.8810
May ’23US$33.99
US$40.10
+18.0%
10.2%US$46.00US$32.00US$35.6710
Apr ’23US$37.00
US$40.30
+8.9%
10.2%US$46.00US$32.00US$37.0910

Analyst Forecast: Target price is less than 20% higher than the current share price.


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