Nomura Securities Starts Interpublic Group (IPG) at Buy; M&A Optionality
Get Alerts IPG Hot Sheet
Rating Summary:
11 Buy, 15 Hold, 0 Sell
Rating Trend: Up
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
Join SI Premium – FREE
Nomura Securities initiates coverage on Interpublic Group (NYSE: IPG) with a Buy rating and a price target of $23.50.
Analysts Anthony DiClemente, William Mairs, and others cited: "1) that we expect 2013-16 margin growth of 210bp as new sub-agency management teams turn around previously mismanaged agencies at McCann and FCB. With a European recovery under way (albeit with challenges), this should help drive improved profitability for IPG’s weakest region; 2) M&A optionality following activist investor Elliott Management recently taking a 6.7% stake. The FT reported that “Elliott wants IPG to explore a sale of the entire business”; and 3) that our DCF analysis, despite an element of a takeout premium, leads to a TP of USD 23.50. IPG trades at a 2015E EV/EBITDA of 8.4x vs peers at 8.6x."
For an analyst ratings summary and ratings history on Interpublic Group click here. For more ratings news on Interpublic Group click here.
Shares of Interpublic Group closed at $19.94 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- TD Cowen Starts Grindr (GRND) at Buy
- AO World Plc. (AO/:LN) PT Raised to GBP1.25 at Jefferies
- Archrock (AROC) PT Raised to $21 at RBC Capital
Create E-mail Alert Related Categories
Analyst Comments, Hot New Coverage, New Coverage, RumorsRelated Entities
NomuraSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!