The Bull Case For Stagwell (STGW) Could Change Following Gradial AI Partnership To Automate Campaign Execution

• In November 2025, Gradial announced a partnership with Stagwell to combine Stagwell’s global creative and AI expertise with Gradial’s agentic execution engine, aiming to streamline marketing workflows and scale personalized, compliant campaigns for large enterprises.
• By embedding autonomous AI agents directly into the content supply chain, this collaboration targets a chronic execution bottleneck in modern marketing, potentially reshaping how brands balance human creativity with high-volume, multi-market campaign delivery.
• We’ll now examine how this agentic automation push could influence Stagwell’s investment narrative, particularly its shift toward higher-margin, AI-enabled services.

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Stagwell Investment Narrative Recap

To own Stagwell, you need to believe its pivot toward higher margin, AI-enabled marketing services can offset its exposure to cyclical ad budgets and a concentrated tech client base. The Gradial partnership looks directionally supportive of that shift but does not, on its own, change the key near term catalyst of executing on AI products like The Machine, or the primary risk that AI and automation could compress agency fees if clients bring these capabilities in house.

The Gradial tie-up lines up with Stagwell’s earlier November 2025 partnership with Palantir, which connects Palantir Foundry with Stagwell’s Marketing Cloud to power an AI-driven marketing hub. Together, these moves highlight management’s push to build differentiated, data rich platforms that could help Stagwell win more complex, multi market briefs, a potential counterweight to its dependence on a small number of mega tech customers.

Yet even as Stagwell leans into AI, investors should be aware that...

Read the full narrative on Stagwell (it's free!)

Stagwell's narrative projects $3.4 billion revenue and $363.8 million earnings by 2028. This requires 6.4% yearly revenue growth and a $365.5 million earnings increase from -$1.7 million today.

Uncover how Stagwell's forecasts yield a $7.81 fair value, a 46% upside to its current price.

Exploring Other Perspectives

Three members of the Simply Wall St Community see fair value between US$7.81 and US$28.70, reflecting a wide spread in expectations. As you weigh those views, consider how much confidence you place in Stagwell’s AI driven efficiency push to offset the risk that automation could also pressure traditional agency pricing and margins over time.

Explore 3 other fair value estimates on Stagwell - why the stock might be worth just $7.81!

Build Your Own Stagwell Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Stagwell research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Stagwell research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Stagwell's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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