Now: Advertising agency WPP upped its half-year dividend by 15 per cent, its first increase in 18 months, thanks to a bounce in old-fashioned advertising routes, such as newspapers, billboards and TV.
Boosted by the World Cup, US like-for-like revenues jumped 8 per cent in the three months to June, helping pre-tax profits for the half year to rise 36 per cent to £244m, beating City forecasts. July showed similar growth, the company says. The share price has struggled all summer, so perhaps our tip timing was off, but the fundamentals for WPP have improved significantly. Forecast earnings for 2010 EPS now stand at 61.1p, according to broker Execution Noble, which, admittedly, is among the most optimistic. That puts the shares on a rating of 11 times earnings.
When: 7/05/10
Price: 669p
Performance to date: -4%
