Critical Comparison: WPP (NYSE:WPP) & X3 (NASDAQ:XTKG)

WPP (NYSE:WPP) and X3 (NASDAQ:XTKG) are both business services companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, dividends, analyst recommendations, risk, institutional ownership, earnings and valuation.

Profitability

This table compares WPP and X3’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WPP	N/A	N/A	N/A
X3	N/A	N/A	N/A

Earnings & Valuation

This table compares WPP and X3″s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WPP	$18.84 billion	0.25	$692.62 million	N/A	N/A
X3	$11.61 million	1.97	-$76.24 million	N/A	N/A

WPP has higher revenue and earnings than X3.

Risk & Volatility

WPP has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, X3 has a beta of 1.54, meaning that its stock price is 54% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for WPP and X3, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WPP	3	2	1	0	1.67
X3	1	0	0	0	1.00

Institutional and Insider Ownership

4.3% of WPP shares are held by institutional investors. Comparatively, 1.9% of X3 shares are held by institutional investors. 1.0% of WPP shares are held by insiders. Comparatively, 23.9% of X3 shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

WPP beats X3 on 5 of the 8 factors compared between the two stocks.

About WPP

WPP plc, a creative transformation company, provides communications, experience, commerce, and technology services in North America, the United Kingdom, Western Continental Europe, the Asia Pacific, Latin America, Africa, the Middle East, and Central and Eastern Europe. The company operates through three segments: Global Integrated Agencies, Public Relations, and Specialist Agencies. It offers marketing strategy, creative ideation, production, commerce, influencer marketing, social media management, and technology implementation services; media strategy, planning, buying and activation, commerce media, data analytics, and consulting services; and media management, public affairs, reputation, risk and crisis management, social media management, and strategic advisory services. The company also provides brand consulting, brand identity, product and service design, and corporate and brand publication services. WPP plc was founded in 1985 and is based in London, the United Kingdom.

About X3

X3 Holdings Co Ltd. provides technology solutions and services worldwide. The company offers Global Trade Platform, a digital platform for trading partners, service providers, and government authorities. It also engages in bitcoin cryptomining operations, renewable energy projects, and agriculture technologies and trading. The company was formerly known as Powerbridge Technologies Co., Ltd. and changed its name to X3 Holdings Co Ltd. in January 2024. X3 Holdings Co Ltd. was founded in 1997 and is headquartered in Singapore.