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Benzinga

Benzinga

Business

Business & Economics

Stagwell doesn’t need to experience double-digit growth or significant margin expansion to justify a higher valuation, says analyst

Benzinga
Summary
Nutrition label

76% Informative

Stagwell is currently trading at 6.7x 2025E EBITDA, slightly below the peer average of 6.9x and the historical outperformer Publicis , which is valued at 7.3x .

Despite being down 9% year-to-date , the company's stock could perform better if it achieves 12% five-year compound annual growth rate and 500 + basis points in margin expansion.

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