The Interpublic Group of Companies, Inc. (NYSE: IPG)

by | Jul 22, 2025 | Daily Trade Alerts

The Interpublic Group of Companies, Inc. (NYSE: IPG) – Advertising Stability with Digital Upside

The Interpublic Group of Companies, Inc. (NYSE: IPG) is a leading global advertising and marketing services company with agencies including McCann, FCB, and R/GA under its umbrella. IPG helps brands manage campaigns, media buying, public relations, data analytics, and more—offering end-to-end solutions to Fortune 500 clients.

Amid a challenging ad market in 2023, IPG maintained stability through defensive contract structures, diversified clients, and a rising share of digital and performance marketing. Now, with marketing budgets rebounding and AI tools boosting productivity, IPG is poised for margin expansion and sentiment rerating.

The Bigger Picture: What IPG Offers

IPG operates across:

  • Creative Advertising & Branding
  • Media Buying (Mediabrands)
  • Data & Martech (Acxiom, Kinesso)
  • Public Relations (Weber Shandwick)

More than 60% of revenue now comes from digital and data-enhanced services, positioning IPG to benefit as brands seek ROI-focused ad spend.

Key Catalysts Driving IPG’s Momentum

  1. Advertising Rebound: U.S. and European ad markets are showing green shoots in Q2, especially in CPG, healthcare, and auto sectors.
  2. Digital Transformation: IPG’s Acxiom and Kinesso units provide first-party data, targeting, and AI-enhanced analytics—a competitive edge in a cookie-less world.
  3. Dividend Yield & Stability: Offers a 4.3% dividend yield with a payout ratio under 60%—rare income in the ad tech world.
  4. Buybacks & FCF Strength: Generated $800M+ in free cash flow in 2024; ongoing buybacks support shareholder value.
  5. Undervaluation: Trades at just 8.5x forward earnings—well below peers like OMC or PUBGY despite similar fundamentals.

Technical Analysis: IPG’s Base Is Forming

  • Moving Averages: Currently trading just under its 200-day MA (~$31.75); reclaiming that level could trigger follow-through buying.
  • MACD: Momentum is turning up after May lows; MACD line crossed signal in early June.
  • RSI: RSI at 52—bullish neutral zone with room to run.
  • Chart Structure: Double bottom near $28.80 confirmed; next resistance levels at $32.50 and $35.00.
  • Volume Trends: Buy-side volume increasing on up days, suggesting institutional positioning ahead of H2 recovery.

Potential Risks to Consider

  • Macro Cyclicality: Ad spending is tied to economic growth; slowdowns or earnings recessions may weigh on top-line growth.
  • Client Consolidation: IPG faces pressure as large advertisers consolidate vendor relationships and insource capabilities.
  • AI Disruption: Generative AI could erode traditional creative agency pricing over time unless IPG continues adapting.


IPG is quietly evolving into a digitally powered, cash-flow-generating engine with a deep client base and improving momentum. For income-focused investors or those seeking a value recovery story, IPG is worth keeping on the radar for the second half of 2025.

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