12:20 PM EDT, 07/22/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lower our 12-month target price of by $1 to $26, 9x our 2026 EPS estimate (from 11x our 2025 EPS view), a slight discount to its three-year historical forward average, led by a term premium and client account loss headwinds. We raise our 2025 EPS to $2.79 from $2.62 and 2026's to $2.92 from $2.79, reflecting better-than-expected cost savings through 1H 2025. We maintain our Hold rating on IPG following workforce cuts and restructuring in response to major client losses to competitors. Still, the company generates $10B annually and serves a significant amount of advertising budgets globally. Organic revenue growth declines have only accelerated since client losses began in 2023, limiting our optimism on a return to top-line growth in 2025 and 2026. In our view, increased restructuring efforts point to management's focus on integrating its best assets as the acquisition target of Omnicom Group (OMC 74 ****), which is expected to close in 2H 2025.