The stock is likely to trade on the GAAP net loss widening and the reiteration (not raise) of full-year guidance. The adjusted EPS beat of 21% vs consensus and record net new business provide positive momentum, but the GAAP loss and lack of guidance upgrade cap upside. Watch for Q2 2026 results to confirm if the Digital Transformation acceleration and Communications recovery sustain.
Price Chart
Executive Summary
Stagwell reported Q1 2026 revenue of $704M (+8% YoY) and net revenue of $585M (+4% YoY), with adjusted EBITDA up 9% to $90M and adjusted EPS up 31% to $0.17. However, GAAP net loss widened to -$13M from -$3M a year ago due to higher depreciation, stock-based compensation, and deferred acquisition consideration adjustments. Full-year 2026 guidance was reiterated, including adjusted EBITDA of $475M-$525M and adjusted EPS of $0.98-$1.12.
Key Financial Metrics
Key Facts
- Q1 2026 revenue of $704M, up 8% YoY from $652M
- Q1 2026 net revenue of $585M, up 4% YoY from $564M
- Q1 2026 GAAP net loss attributable to common shareholders of -$13M vs -$3M in Q1 2025
- Q1 2026 GAAP diluted EPS of -$0.05 vs -$0.04 in Q1 2025
- Q1 2026 adjusted diluted EPS of $0.17, up 31% from $0.13 in Q1 2025
- Q1 2026 adjusted EBITDA of $90M, up 9% from $82M in Q1 2025
- Record net new business of $141M in Q1; LTM net new business of $486M
- Full-year 2026 guidance reiterated: total net revenue growth 8%-12%, adjusted EBITDA $475M-$525M, adjusted EPS $0.98-$1.12
- Digital Transformation segment net revenue grew 9% YoY; two-year organic net revenue growth stack of 22%
- Communications segment returned to 6% net revenue growth in Q1
- Repurchased 7.3M shares in Q1 for $40.7M; share count reduced to ~246M at quarter end
- Net leverage ratio of 3.11x; total available liquidity of $499M
Financial Impact
Q1 revenue beat consensus by ~$3.6M (0.5% beat); adjusted EPS of $0.17 was $0.03 above the $0.14 consensus estimate (21.4% beat)
Risk Factors
- GAAP net loss widened to -$13M from -$3M, driven by higher non-cash charges
- Full-year guidance was reiterated, not raised, despite Q1 beat — may signal caution on H2 2026
- Net debt increased to $1.44B from $1.33B at year-end, raising leverage concerns
- Media Commerce segment organic net revenue declined 0.7% YoY
- The Marketing Cloud segment remains adjusted EBITDA-negative at -$2.4M
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0000876883-26-000014 |
| Document: a1q26earningspresentatio.htm | 0000876883-26-000014 |
| Document: stgw-20260430.htm | 0000876883-26-000014 |
| Document: 0000876883-26-000014-index-headers.html | 0000876883-26-000014 |
| Document: 0000876883-26-000014-index.html | 0000876883-26-000014 |
| Document: 0000876883-26-000014.txt | 0000876883-26-000014 |
| 8-K Data (Synthetic) | 0000876883-26-000014 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 5, 2026 22d ago | 8-K | $8.50 | awaiting T+60 | — | $8.85 (+4.12%) |
Jul 30, 2026 12w ago | 8-K | $8.49 $8.98 | ▲ +5.77% | ▲ +3.31% | $8.85 (+4.24%) |
Apr 30, 2026 25w ago | 8-K | $6.27 $7.73 | ▲ +23.29% | ▲ +20.18% | $8.85 (+41.15%) |
US Market Status
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