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Stock impact report

WPP shares plunge as falls behind ad rivals in post-Sorrell era [Reuters (UK)]

WPP plc American Depositary Shares (WPP) 
US:NYSE Investor Relations: wpp.com/wpp/investor/financialnews
Company Research Source: Reuters
WPP shares plunge as falls behind ad rivals in post-Sorrell era | Reuters 3 Min Read LONDON (Reuters) - WPP ( WPP.L ) lost a fifth of its market value on Thursday after a major downturn at its creative agencies in New York and London forced it to cut its sales and profit forecasts, ramping up the pressure on new boss Mark Read. The share fall wiped 2.8 billion pounds ($3.6 billion) off WPP’s market capitalization, taking the stock to a six-year low. Read, who inherited the world’s biggest advertising group when its founder Martin Sorrell left abruptly in April, said WPP needed to sell assets and hold off acquisitions to fund an investment drive for more talent at its agencies such as JWT, Ogilvy and Y&R.; The British group, which will start by selling a stake in data analytics group Kantar, stood in contrast to its peers Omnicom ( OMC.N ), IPG ( IPG.N ) and Publicis ( PUBP.PA ) which have all reported relatively stable trading of late. WPP shares were down 20 percent at 0715 G Show less Read more
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