In a note on Publicis and its British peer WPP, Oddo BHF reiterates its 'neutral' opinion on the French communications group's shares, with a price target reduced from 68 to 66 euros and a downward revision of its 2022-23 EBIT guidance by 3%.

The research firm reduces its 2023 earnings expectations for both groups due to the impact of the dollar, but shows a preference for WPP, believing that the latter 'should be more resilient in 2023 in terms of both organic growth and margins'.

For both groups, the question remains whether they could activate share buyback plans that would limit the decline in EPS next year", continues the analyst, who is not counting on an advertising recession in 2023.

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