STGW Communication Services

Stagwell Inc.

$10.76-0.09%

Price as of close on Nov 3, 2026 · Financials updated Sep 30, 2026

Basics

Sector: Communication Services
Industry: Advertising Agencies
Country: United States
Market cap: 2.6B USD
Enterprise value: 3.5B USD
Full-time employees: 10,951

Overall health

Drawback: less profitable than most peersless profitable than peers
Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings
Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.22 vs a peer median of 0.65), less short-term liquidity (current ratio 0.81 vs a peer median of 1.38) and more debt relative to equity (2.17× vs a peer median of 0.37×)higher risk: bigger price swings (beta 1.22 vs peers 0.65), less liquidity (current ratio 0.81 vs peers 1.38) and more debt vs equity (2.17× vs peers 0.37×)
About average: growth

Ranks #364 of 454 communication services companies (bottom 21%)

See how it ranks against its peers

Worth knowing

Profit growing, cash flow isn't. Profit +46% since 2022, operating cash flow −16%.
Stagwell's reported profit rose 46% since 2022, but the cash its operations generate changed −16%. When profit and cash diverge like this, it's worth understanding why (for example, customers paying more slowly or gains that aren't cash).Stagwell's reported profit rose 46% since 2022, but the cash its operations generate changed −16%. When profit and cash diverge like this, it's worth understanding why.
Cash flow well above reported profit. Free cash flow is 14.3× reported profit.
Free cash flow is 14.3× reported profit. Large non-cash charges, such as depreciation, amortization or stock-based pay, reduce reported profit without using cash.
More volatile share price. Beta 1.22: tends to move more than the market.
Stagwell's shares have swung more with the market than most peers' (beta 1.22, above the market's 1.0).

StockQuotient Score

34/ 100▼ 2 since Oct 27 close

Oct 5 36 → Nov 4 34 (-2)

Valuation

Is the price right?

39/100

Weak▼ 5 since Oct 27 close

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why it changed since the Oct 27, 2026 close: Score 44 → 39

Share price +21.6%-6
Company's reported figures updated+2
Peer companies moved-1

Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.

Why

Weaker than most peers on:

▼ Earnings yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield0.7%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score -0.77Sector median: 0.0294 · MAD: 0.0294

EBITDA yield8.0%

SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score -0.09Sector median: 0.0857 · MAD: 0.0649

Free cash flow yield9.6%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.37Sector median: 0.0740 · MAD: 0.0593

Other data (not scored)

Book yield25.4%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.4780 · MAD: 0.3375

Growth

Is it growing?

49/100

Moderate▼ 1 since Oct 27 close

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

12-month revenue up 2.7%

Why it changed since the Oct 27, 2026 close: Score 50 → 49

Peer companies moved-1

Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.

Why

Mixed versus peers:

▲ Revenue growth
▼ EPS growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth-11.2%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.64Sector median: 0.0878 · MAD: 0.3126

3-year revenue growth5.0%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score 0.29Sector median: 0.0303 · MAD: 0.0683

Revenue growth6.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.47Sector median: 0.0299 · MAD: 0.0720

Profitability

Does it earn well?

36/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ ROA
▼ Operating margin

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin4.6%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.46Sector median: 0.0818 · MAD: 0.0789

Return on assets0.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.72Sector median: 0.0272 · MAD: 0.0318

Return on invested capital5.5%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.07Sector median: 0.0598 · MAD: 0.0706

Other data (not scored)

Gross margin35.8%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.4656 · MAD: 0.1827

Return on equity2.6%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0529 · MAD: 0.1007

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Beta
▼ Debt / equity
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta1.22

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score -1.97Sector median: 0.6525 · MAD: 0.2880

Current ratio0.81×

SEC filings · latest balance sheetReported value33% base weight · Z-score -0.83Sector median: 1.3848 · MAD: 0.6948

Debt / equity2.17×

SEC filings · latest balance sheetReported value33% base weight · Z-score -5.39Sector median: 0.3697 · MAD: 0.3335

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Stagwell

Is Stagwell getting weaker?: Its latest SEC filing (Jul 31, 2026) showed no major changes. Its overall score is 34/100, down 2 since Oct 28, 2026.
How is Stagwell valued vs its peers?: Priced higher than most peers relative to what it earns. Valuation scores 39/100 against 512 communication services peers. Earnings yield 0.7% vs a peer median of 2.9% (weaker than 65% of peers).Earnings yield 0.7% vs peers 2.9% (weaker than 65% of peers).
Is Stagwell growing?: At about the same pace as its peers. Growth scores 49/100 against 512 communication services peers. Revenue growth 6.4% vs a peer median of 3.0% (stronger than 61% of peers).Revenue growth 6.4% vs peers 3.0% (stronger than 61% of peers). Earnings per share growth -11.2% vs a peer median of 8.8% (weaker than 66% of peers).Earnings per share growth -11.2% vs peers 8.8% (weaker than 66% of peers).
How profitable is Stagwell?: Less profitable than most of its peers. Profitability scores 36/100 against 512 communication services peers. Return on assets 0.4% vs a peer median of 2.7% (weaker than 71% of peers).Return on assets 0.4% vs peers 2.7% (weaker than 71% of peers).
How risky is Stagwell?: Higher risk relative to 512 communication services peers, judged on debt, liquidity and share-price swings. Beta 1.22 vs a peer median of 0.65 (weaker than 87% of peers).Beta 1.22 vs peers 0.65 (weaker than 87% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Jul 31, 2026 · compared with the quarter ended Mar 31, 2026

No major changes

	Previous quarter	Latest quarter	Change
Revenue (12 months)	3.0B USD	3.0B USD	+2.7%
Net income (12 months)	20.6M USD	17.7M USD	−13.9%
Operating margin	5.1%	4.6%	−0.5 pts
Free cash flow (12 months)	275.9M USD	252.7M USD	−8.4%
Debt	1.4B USD	1.5B USD	+0.7%
Cash	114.9M USD	109.5M USD	−4.8%
Shares outstanding	247.9M	244.5M	−1.4%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Sector: Communication Services · 67 companies

Valuations in Communication Services are within their usual range since 2016.

46% of months since 2016 were valued lower than now.
22% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values +13% and earnings +11% (medians): earnings grew faster than prices.
Median price-to-sales is −6% vs the whole market, against a usual −7%.

2016Shaded: most expensive fifth of its range2026

Shown for Communication Services: too few Advertising Agencies companies have a long enough history of their own.

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	38.3%	37.7%	35.9%	35.1%	36.5%	▲ 1.4 pts
Operating margin	3.0%	5.9%	3.6%	4.7%	5.5%	▲ 0.8 pts
Net margin	1.4%	0.7%	0.0%	0.1%	1.0%	▲ 0.9 pts
Return on assets (ROA)	0.5%	0.5%	0.0%	0.1%	0.7%	▲ 0.6 pts
Return on equity (ROE)	5.7%	4.0%	0.0%	0.7%	3.8%	▲ 3.2 pts
Free cash flow margin	13.1%	12.1%	2.6%	4.4%	8.5%	▲ 4.1 pts
Current ratio	0.78×	0.75×	0.75×	0.83×	0.79×	▼ 5.4%
Debt to equity	3.21×	2.38×	3.21×	4.08×	1.75×	▼ 57%
Interest coverage	—	—	—	—	—	—

STGW price history

Price history is added with the daily price update and will appear after the next one.

Similar companies

Sector leaderboards

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Bringing the fundamentals into focus…

Overall health

Drawback: less profitable than most peersless profitable than peers

Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings

Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.22 vs a peer median of 0.65), less short-term liquidity (current ratio 0.81 vs a peer median of 1.38) and more debt relative to equity (2.17× vs a peer median of 0.37×)higher risk: bigger price swings (beta 1.22 vs peers 0.65), less liquidity (current ratio 0.81 vs peers 1.38) and more debt vs equity (2.17× vs peers 0.37×)

About average: growth

Ranks #364 of 454 communication services companies (bottom 21%)

See how it ranks against its peers

Worth knowing

Profit growing, cash flow isn't. Profit +46% since 2022, operating cash flow −16%.

Stagwell's reported profit rose 46% since 2022, but the cash its operations generate changed −16%. When profit and cash diverge like this, it's worth understanding why (for example, customers paying more slowly or gains that aren't cash).Stagwell's reported profit rose 46% since 2022, but the cash its operations generate changed −16%. When profit and cash diverge like this, it's worth understanding why.

Cash flow well above reported profit. Free cash flow is 14.3× reported profit.

Free cash flow is 14.3× reported profit. Large non-cash charges, such as depreciation, amortization or stock-based pay, reduce reported profit without using cash.

More volatile share price. Beta 1.22: tends to move more than the market.

Stagwell's shares have swung more with the market than most peers' (beta 1.22, above the market's 1.0).

Questions investors ask about Stagwell

Is Stagwell getting weaker?

Its latest SEC filing (Jul 31, 2026) showed no major changes. Its overall score is 34/100, down 2 since Oct 28, 2026.

How is Stagwell valued vs its peers?

Priced higher than most peers relative to what it earns. Valuation scores 39/100 against 512 communication services peers. Earnings yield 0.7% vs a peer median of 2.9% (weaker than 65% of peers).Earnings yield 0.7% vs peers 2.9% (weaker than 65% of peers).

Is Stagwell growing?

At about the same pace as its peers. Growth scores 49/100 against 512 communication services peers. Revenue growth 6.4% vs a peer median of 3.0% (stronger than 61% of peers).Revenue growth 6.4% vs peers 3.0% (stronger than 61% of peers). Earnings per share growth -11.2% vs a peer median of 8.8% (weaker than 66% of peers).Earnings per share growth -11.2% vs peers 8.8% (weaker than 66% of peers).

How profitable is Stagwell?

Less profitable than most of its peers. Profitability scores 36/100 against 512 communication services peers. Return on assets 0.4% vs a peer median of 2.7% (weaker than 71% of peers).Return on assets 0.4% vs peers 2.7% (weaker than 71% of peers).

How risky is Stagwell?

Higher risk relative to 512 communication services peers, judged on debt, liquidity and share-price swings. Beta 1.22 vs a peer median of 0.65 (weaker than 87% of peers).Beta 1.22 vs peers 0.65 (weaker than 87% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

3.0B USD

3.0B USD

+2.7%

Net income (12 months)

20.6M USD

17.7M USD

−13.9%

Operating margin

5.1%

4.6%

−0.5 pts

Free cash flow (12 months)

275.9M USD

252.7M USD

−8.4%

Debt

1.4B USD

1.5B USD

+0.7%

Cash

114.9M USD

109.5M USD

−4.8%

Shares outstanding

247.9M

244.5M

−1.4%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

38.3%

37.7%

35.9%

35.1%

36.5%

▲ 1.4 pts

Operating margin

3.0%

5.9%

3.6%

4.7%

5.5%

▲ 0.8 pts

Net margin

1.4%

0.7%

0.0%

0.1%

1.0%

▲ 0.9 pts

Return on assets (ROA)

0.5%

0.0%

0.1%

0.7%

▲ 0.6 pts

Return on equity (ROE)

5.7%

4.0%

0.0%

0.7%

3.8%

▲ 3.2 pts

Free cash flow margin

13.1%

12.1%

2.6%

4.4%

8.5%

▲ 4.1 pts

Current ratio

0.78×

0.75×

0.83×

0.79×

▼ 5.4%

Debt to equity

3.21×

2.38×

3.21×

4.08×

1.75×

▼ 57%

Interest coverage

—