WPP shares were trading higher on the London Stock Exchange on Friday, buoyed by a note from Deutsche Bank, which said it expected the communications group's business to improve this year.

At 1:15pm, the stock was up by more than 1%, outperforming the FTSE 100 index, which was up by around 0.7% at the same time.

In a note, Deutsche Bank estimates that the business of the "creative transformation" specialist should benefit from the anticipated fall in interest rates from the second half of the year, particularly among tech clients, a segment highly exposed to interest rate levels.

While new business wins were disappointing in 2023, the analyst notes that WPP has decided to be more "offensive" this year, leading it to target organic growth of 0.9% in 2024, whereas the Group itself has stated that it is aiming for growth of between 0% and 1%.

In this context, UBS initiates coverage of the share at "buy", with a target price of 998 pence.

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