Despite its troubles, WPP still dwarves Havas. The latter has 23,000 staffers and a market cap of $1.6 billion (€1.45 billion), compared to WPP’s 110,000 staffers and $4.1 billion (£3.1 billion) market cap.
WPP’s future in the air
WPP’s future is anything but certain. Its new CEO, Cindy Rose, has called the company’s 8.4% revenue decline in Q3 “unacceptable” and has a turnaround plan that includes a big bet on AI. WPP is staffing up accordingly, having named Elav Horwitz its first chief innovation officer, a new AI-focused role.
WPP has also enlisted consulting firm McKinsey for a strategic reviewand some are betting against its recovery. Recent U.K. regulatory filings show eight hedge funds, including Millennium and Marshall Wace, have been shorting WPP’s stock.
This week, Rose and chairman Philip Jansen each acquired 50,000 shares in the company, investing more than $184,000 (£140,000) apiece.
WPP declined to comment on the unexpected share purchases, which were widely interpreted as a deliberate signal of confidence to the market.
