Interpublic Group of Companies, Inc. (The) (IPG) Company Bio
Interpublic is one of the world's leading organizations of advertising agencies and marketing services companies. The company provides diversified services, including public relations, meeting and event production, sports and entertainment marketing, corporate and brand identity and strategic marketing consulting. The Interpublic Group of Companies, Inc. was founded in 1902 and is based in New York, New York.
IPG Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Interpublic Group Of Companies Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Interpublic Group Of Companies Inc ranked in the 80th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. The most interesting components of our discounted cash flow analysis for Interpublic Group Of Companies Inc ended up being:
In the past 5.58 years, Interpublic Group Of Companies Inc has a compound free cash flow growth rate of 0.22%; that's better than 72.98% of cash flow producing equities in the Consumer Cyclical sector, where it is classified.
Interpublic Group Of Companies Inc's weighted average cost of capital (WACC) is 6%; for context, that number is higher than only 8.44% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as IPG, try EXPR, PVH, MHO, PENN, and RSTRF.