MARKET TALK: WPP Trading Update Is Encouraging - Exane

29th Jun 2010 14:43

1343 GMT [Dow Jones] WPP's (WPP.LN) five-month trading update is encouraging even though organic revenue trends are in line with recent comments from the CEO, says Exane BNP Paribas. Says it considers the group's margin guidance conservative given hiring is still low, with headcount up 1% year-to-date. Says there is room for upside and further upgrades given a more favorable geographic mix. Also notes the company mentions a sharp turnaround in advertising and media buying, and strong momentum in market research, two areas that dragged on performance last year. Keeps outperform rating and 850p target price. Shares -2.2% to 643p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 29, 2010 09:43 ET (13:43 GMT)