Hedge funds have been increasing their exposure to WPP, the world’s largest advertising and marketing group, just as Cindy Rose begins her tenure as Chief Executive Officer, according to a report by Reuters citing research from Panmure Liberum.
The data reveals that hedge fund holdings in WPP jumped 44% in Q2, making the company the second most popular European stock pick for hedge funds after Dutch insurer Aegon, with the sharp increase in positions suggesting managers see potential upside from restructuring, portfolio disposals and strategic shifts under new leadership.
Rose, a former Microsoft executive and WPP board member since 2019, steps into the top role following the group’s decision to halve its dividend in August, a move intended to create flexibility for strategic changes. In a message to WPP’s 100,000 staff, she warned of “a lot of hard work ahead,” acknowledging the scale of the turnaround challenge.
WPP shares have fallen more than 50% this year, leaving the group with a market cap of £4.2bn ($5.7bn) compared with £24bn at its 2017 peak. Despite the decline, hedge funds appear to be positioning for recovery potential, particularly in light of WPP’s technology and AI investments, including its new “Open Intelligence” platform.
The British group has struggled to keep pace with French rival Publicis, which overtook WPP as the world’s biggest advertising company last year. Publicis reported $5.2bn in net new billings in H1 2025 versus WPP’s $3.2bn loss.
Even so, WPP has recently secured major client wins, including Mastercard’s $180m annual media account, with the payments giant citing the firm’s global reach, AI capabilities and data infrastructure as differentiators.
