Does Stagwell Inc have an economic moat?

Based on its FY2025 SEC filings, the Moat Index scores Stagwell Inc (STGW) 58.6 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 58, returns on capital 90, balance-sheet safety 28, capital discipline 44.

Is STGW stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $9.14 per share versus a recent price of $7.51 — 18% below value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has STGW's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 58.6 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

Stagwell Inc

STGW · Technology · $1.9B mkt cap · FY2025 filings · Shallow moat ·

Doesn't clear the bar

Shallow moat

The four filters

Pricing power58

Median gross margin 35.4% over 10y, very stable.

Returns on capital90

Median ROIC 18.5%, above the 9% hurdle in 90% of years.

Balance-sheet safety28

Net debt/EBITDA n/ax, interest coverage 2x.

Capital discipline44

Owner earnings trend unclear, share count n/a.

Margin of safety

Above valueOn sale

18% below value

Owner earnings (normalized): $128.7M
Est. intrinsic value / share: $9.14
Recent price: $7.51
Discount to value: 18% below value

Conservative model: 9% discount rate, 4% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

18 years of fundamentals

The business, in plain English

Stagwell Inc booked $2.9B of revenue in FY2025 in the Technology sector and kept 36.5% of it as gross profit — a solid-margin business by that measure. After every other cost, 1.0% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $1.4B (FY2016) to $2.9B (FY2025) — about 8.6% a year compounded over 9 years.

It earned 15.8% on invested capital in FY2025, with a median of 21.2% across 17 filed years. The Returns on Capital filter above scores it 90/100.

The balance sheet carried $887.6M of total debt in FY2019. Balance-Sheet Safety scores it 28/100.

Put together: Returns on Capital is the strongest of the four filters (90/100) and Balance-Sheet Safety the weakest (28/100), which is how STGW lands at 59/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$2.9B FY2025

Gross marginRevenue kept after cost of goods36.5% FY2025

Return on invested capitalOperating profit on the capital employed15.8% FY2025

Owner earningsCash an owner could take out$156.6M FY2025

Gaps in a line mean that item isn’t in STGW’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale58.6 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — STGW has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Technology context

#138 of 532 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

#136FRSH Freshworks Inc.58.7 out of 100, Shallow moatShallow moat
#137PATH UiPath, Inc.58.7 out of 100, Shallow moatShallow moat
#139PINS Pinterest, Inc.58.5 out of 100, Shallow moatShallow moat
#140AMKR AMKOR TECHNOLOGY, INC.58.2 out of 100, Shallow moatShallow moat

Compare STGW with its nearest peers →All Technology companies on the Index →

Common questions about STGW

Does Stagwell Inc have an economic moat?: Based on its FY2025 SEC filings, the Moat Index scores Stagwell Inc (STGW) 58.6 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 58, returns on capital 90, balance-sheet safety 28, capital discipline 44.
Is STGW stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $9.14 per share versus a recent price of $7.51 — 18% below value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has STGW's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 58.6 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

Embed this score on your site

One iframe, no script. The badge shows STGW’s live Moat Score, updates itself as new filings are scored, and links back here. How it works.

<iframe
  src="https://buylikebuffett.com/embed/STGW"
  width="340" height="150" style="border:0"
  title="STGW Moat Score — The Moat Index"
  loading="lazy"></iframe>

Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell STGW. See the disclaimer.