Latest Ratios: P/E Ratio -13.4x · EV/EBITDA 11.2x · ROE -6.6%. (2004–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.8B | $4.8B | $11.3B | $10.4B | $11.0B | $18.4B | $13.4B | $17.7B | $13.8B | $23.1B | $28.7B |
| Enterprise Value | $9.4B | $9.0B | $15.0B | $15.1B | $15.7B | $21.3B | $16.2B | $22.4B | $18.5B | $27.9B | $33.0B |
| P/E Ratio → | -13.37 | — | 20.98 | 95.14 | 16.12 | 29.06 | — | 20.98 | 19.93 | 13.42 | 20.49 |
| P/S Ratio | 0.21 | 0.36 | 0.77 | 0.70 | 0.76 | 1.43 | 1.11 | 1.34 | 1.06 | 1.76 | 1.93 |
| P/B Ratio | 1.04 | 1.74 | 3.02 | 2.72 | 2.64 | 4.51 | 2.65 | 2.14 | 1.41 | 2.32 | 2.94 |
| P/FCF | 4.56 | 7.64 | 9.62 | 10.19 | 22.98 | 10.58 | 7.52 | 11.73 | 10.02 | 20.65 | 18.85 |
| P/OCF | 3.98 | 6.68 | 8.01 | 8.41 | 15.66 | 9.05 | 6.52 | 9.58 | 8.16 | 16.41 | 16.17 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.66 | 1.02 | 1.01 | 1.09 | 1.66 | 1.35 | 1.69 | 1.42 | 2.12 | 2.22 |
| EV / EBITDA | 11.18 | 14.29 | 8.24 | 8.83 | 8.37 | 12.03 | 5.58 | 13.85 | 10.87 | 13.73 | 13.25 |
| EV / EBIT | 18.38 | 23.49 | 10.69 | 20.49 | 10.31 | 17.26 | — | 17.36 | 14.92 | 17.80 | 16.07 |
| EV / FCF | — | 14.17 | 12.79 | 14.76 | 32.80 | 12.27 | 9.12 | 14.81 | 13.40 | 24.96 | 21.68 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 15.8% | 15.8% | 16.6% | 17.0% | 17.6% | 17.2% | 16.8% | 18.2% | 19.1% | 20.3% | 20.4% |
| Operating Margin | 2.8% | 2.8% | 9.0% | 3.6% | 9.4% | 9.6% | 19.0% | 9.8% | 9.5% | 12.0% | 13.9% |
| Net Profit Margin | -1.6% | -1.6% | 3.7% | 0.7% | 4.7% | 5.0% | -24.7% | 6.4% | 6.3% | 14.9% | 9.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -6.6% | -6.6% | 14.3% | 2.8% | 16.6% | 14.0% | -44.4% | 9.3% | 8.4% | 19.9% | 15.7% |
| ROA | -0.9% | -0.9% | 2.1% | 0.4% | 2.4% | 2.0% | -7.8% | 2.1% | 1.9% | 5.0% | 4.4% |
| ROIC | 4.0% | 4.0% | 12.5% | 4.6% | 12.8% | 12.4% | 16.4% | 7.1% | 6.4% | 8.2% | 12.2% |
| ROCE | 4.0% | 4.0% | 13.0% | 4.9% | 12.1% | 10.1% | 16.0% | 7.9% | 7.1% | 8.7% | 12.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.46 | 2.46 | 1.70 | 1.79 | 1.73 | 1.68 | 3.12 | 1.82 | 1.54 | 1.64 | 0.67 |
| Debt / EBITDA | 10.88 | 10.88 | 3.49 | 4.03 | 3.84 | 3.85 | 5.41 | 9.35 | 8.87 | 8.03 | 2.64 |
| Net Debt / Equity | — | 1.49 | 0.99 | 1.22 | 1.13 | 0.72 | 0.56 | 0.56 | 0.48 | 0.48 | 0.44 |
| Net Debt / EBITDA | 6.59 | 6.59 | 2.04 | 2.73 | 2.51 | 1.66 | 0.98 | 2.88 | 2.73 | 2.37 | 1.73 |
| Debt / FCF | — | 6.54 | 3.17 | 4.56 | 9.82 | 1.70 | 1.60 | 3.08 | 3.37 | 4.31 | 2.83 |
| Interest Coverage | 1.09 | 1.09 | 3.36 | 1.89 | 4.23 | 4.35 | -7.94 | 3.66 | 4.55 | 6.04 | 8.38 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.89 | 0.89 | 0.88 | 0.86 | 0.85 | 0.93 | 1.03 | 0.99 | 0.97 | 0.99 | 0.92 |
| Quick Ratio | 0.89 | 0.89 | 0.88 | 0.86 | 0.85 | 0.93 | 1.03 | 0.99 | 0.65 | 0.62 | 0.90 |
| Cash Ratio | 0.18 | 0.18 | 0.17 | 0.14 | 0.14 | 0.24 | 0.56 | 0.47 | 0.44 | 0.47 | 0.15 |
| Asset Turnover | — | 0.56 | 0.58 | 0.56 | 0.50 | 0.46 | 0.33 | 0.33 | 0.31 | 0.31 | 0.43 |
| Inventory Turnover | — | — | — | — | — | — | — | — | 1.28 | 1.14 | 29.59 |
| Days Sales Outstanding | — | 196.08 | 267.47 | 180.19 | 298.75 | 307.78 | 318.92 | 326.06 | 364.05 | 346.14 | 301.46 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 11.9% | 7.1% | 3.8% | 4.1% | 3.3% | 1.7% | 0.9% | 4.2% | 5.4% | 3.3% | 2.1% |
| Payout Ratio | — | — | 78.4% | 383.0% | 53.5% | 49.3% | — | 88.9% | 90.6% | 38.3% | 44.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 4.8% | 1.1% | 6.2% | 3.4% | — | 4.8% | 5.0% | 7.5% | 4.9% |
| FCF Yield | 22.0% | 13.1% | 10.4% | 9.8% | 4.4% | 9.5% | 13.3% | 8.5% | 10.0% | 4.8% | 5.3% |
| Buyback Yield | 3.4% | 2.0% | 0.7% | 0.5% | 7.9% | 4.5% | 2.2% | 0.2% | 1.5% | 2.2% | 1.5% |
| Total Shareholder Yield | 15.3% | 9.1% | 4.5% | 4.6% | 11.2% | 6.2% | 3.1% | 4.5% | 6.9% | 5.4% | 3.6% |
| Shares Outstanding | — | $215M | $219M | $219M | $223M | $243M | $247M | $252M | $252M | $255M | $259M |
Cyclical Revenue Contraction
According to current market data, WPP trades at a forward P/E of 4.76 and a P/S of 0.19, suggesting that investors are pricing in significant long-term earnings risk rather than viewing the current valuation as a deep-value opportunity relative to historical norms.
The depressed valuation multiples appear to reflect a market consensus that the company's ongoing restructuring efforts may not yield the anticipated margin expansion. Investors should monitor whether the low P/E is a temporary reaction to cyclical headwinds or a permanent re-rating due to the loss of competitive advantage in the digital advertising landscape.
Based on reported financial statements, WPP's ROIC has trended downward from 6.6% in 2022Q4 to a meager 1.5% in 2025Q4, indicating that the firm is struggling to generate adequate returns on its invested capital during this period of intense organizational transformation.
The decline in ROIC suggests that the capital deployed toward agency consolidation and digital integration is not yet producing the expected operational synergies. This trend warrants further investigation into whether the firm's asset base is becoming bloated with underperforming acquisitions that may require future impairment charges.
As reported in recent filings, WPP's DSO has fluctuated significantly, reaching 117 days in 2025Q4, which highlights the firm's ongoing difficulty in managing client payment cycles and maintaining consistent working capital efficiency compared to its historical performance.
The high DSO relative to industry standards suggests that WPP may be granting overly generous payment terms to retain clients, which effectively acts as a hidden financing cost. This inefficiency, combined with the lack of clear DIO data, implies that the cash conversion cycle remains a primary source of operational friction.
According to recent SEC filings, WPP's debt-to-EBITDA ratio has surged to 25.03x in 2025Q4, a dramatic increase from 7.61x in 2022Q4, which indicates that the company's ability to service its debt obligations is becoming increasingly precarious under current operating conditions.
The sharp rise in leverage metrics suggests that the firm's debt service capacity is severely compromised, leaving little room for operational missteps. Investors should monitor whether management will be forced to prioritize debt reduction over shareholder returns, given the current interest coverage ratio of only 0.19.
Based on reported figures, the P/E ratio is a highly misleading metric for WPP, as it fails to account for the massive, recurring restructuring charges that artificially depress statutory earnings and obscure the underlying cash-generating potential of the core agency business.
Analysts should instead focus on free cash flow yield or EV/EBITDA, which better capture the firm's ability to generate cash after accounting for the heavy capital requirements of its restructuring. Relying on P/E in this context likely leads to an inaccurate assessment of the company's true valuation and earnings power.
Includes 30+ ratios · 22 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying WPP stock.
WPP plc's current P/E ratio is -13.4x. The historical average is 29.3x.
WPP plc's current EV/EBITDA is 11.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.2x.
WPP plc's return on equity (ROE) is -6.6%. The historical average is 8.3%.
Based on historical data, WPP plc is trading at a P/E of -13.4x. Compare with industry peers and growth rates for a complete picture.
WPP plc's current dividend yield is 11.93%.
WPP plc has 15.8% gross margin and 2.8% operating margin.
WPP plc's Debt/EBITDA ratio is 10.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.