Interpublic Group of Companies (NYSE:IPG) Hits New 52-Week Low – Should You Sell?

The Interpublic Group of Companies, Inc. (NYSE:IPG) hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $25.97 and last traded at $26.12, with a volume of 2789532 shares. The stock had previously closed at $26.35.

Wall Street Analyst Weigh In

Several analysts recently commented on IPG shares. Argus cut Interpublic Group of Companies from a “buy” rating to a “hold” rating in a research report on Tuesday, February 18th. BNP Paribas raised shares of Interpublic Group of Companies from an “underperform” rating to an “outperform” rating and set a $38.00 target price on the stock in a research note on Friday, January 10th. JPMorgan Chase & Co. raised shares of Interpublic Group of Companies from a “neutral” rating to an “overweight” rating and upped their price target for the stock from $32.00 to $39.00 in a research note on Monday, January 27th. UBS Group upgraded Interpublic Group of Companies from a “sell” rating to a “neutral” rating and cut their target price for the stock from $29.00 to $27.00 in a research report on Thursday, February 13th. Finally, StockNews.com started coverage on Interpublic Group of Companies in a research report on Sunday. They set a “hold” rating on the stock. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat.com, Interpublic Group of Companies presently has an average rating of “Hold” and a consensus price target of $33.50.

Interpublic Group of Companies Stock Performance

The company has a market capitalization of $9.73 billion, a price-to-earnings ratio of 14.27 and a beta of 1.14. The company has a debt-to-equity ratio of 0.77, a quick ratio of 1.09 and a current ratio of 1.09. The firm’s 50 day simple moving average is $27.70 and its 200-day simple moving average is $29.39.

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

Interpublic Group of Companies Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 17th. Stockholders of record on Monday, March 3rd will be issued a dividend of $0.33 per share. The ex-dividend date of this dividend is Monday, March 3rd. This represents a $1.32 annualized dividend and a dividend yield of 5.06%. Interpublic Group of Companies’s dividend payout ratio is 72.13%.

Interpublic Group of Companies announced that its board has initiated a stock repurchase plan on Wednesday, February 12th that allows the company to repurchase $155.00 million in shares. This repurchase authorization allows the business services provider to reacquire up to 1.6% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Buying and Selling

In other Interpublic Group of Companies news, CFO Ellen Tobi Johnson sold 21,427 shares of the stock in a transaction that occurred on Monday, March 3rd. The stock was sold at an average price of $26.82, for a total transaction of $574,672.14. Following the transaction, the chief financial officer now owns 143,373 shares in the company, valued at $3,845,263.86. This trade represents a 13.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 0.42% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the company. Janney Montgomery Scott LLC increased its position in Interpublic Group of Companies by 12.4% during the third quarter. Janney Montgomery Scott LLC now owns 31,648 shares of the business services provider’s stock worth $1,001,000 after acquiring an additional 3,499 shares during the period. Assetmark Inc. grew its holdings in shares of Interpublic Group of Companies by 48.8% during the 3rd quarter. Assetmark Inc. now owns 41,258 shares of the business services provider’s stock worth $1,305,000 after purchasing an additional 13,537 shares in the last quarter. Los Angeles Capital Management LLC boosted its stake in Interpublic Group of Companies by 298.4% during the third quarter. Los Angeles Capital Management LLC now owns 35,194 shares of the business services provider’s stock worth $1,113,000 after buying an additional 26,360 shares in the last quarter. Ashton Thomas Securities LLC acquired a new position in shares of Interpublic Group of Companies in the 3rd quarter valued at $32,000. Finally, Apollon Wealth Management LLC bought a new position in shares of Interpublic Group of Companies during the 3rd quarter worth about $202,000. Institutional investors own 98.43% of the company’s stock.

About Interpublic Group of Companies

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.