Deutsche Bank has reiterated a Buy rating on WPP (LSE:WPP) with an unchanged price target of 425p, previewing first-half results, due 6 August, that analyst Steve Liechti expects to show continued difficult trading.
Liechti, who covers the London-listed advertising and communications group, said the upcoming figures are unlikely to impress and will need to be read alongside new segmental reporting changes, but he is watching for "green shoots" that management's turnaround actions are starting to take hold.
The thesis rests on WPP's new Elevate28 plan, which Liechti believes offers upside both operationally and for the stock's rating, even as the company has lost ground to peers and faces pressure to reassure investors on trading into the second half and into 2027.
Liechti frames WPP as good value in a stock where sentiment remains broadly negative, though he flags near-term risks around proving execution after a period of sequential underperformance against rivals, with the 6 August results serving as the next test.
