Stagwell Inc. (STGW) shares surged 7.44% in pre-market trading on Tuesday, following the release of the marketing services firm's fourth-quarter financial results and forward-looking guidance.

The significant pre-market gain was driven by the company reporting better-than-expected quarterly earnings. Stagwell posted Q4 adjusted earnings per share of $0.30, surpassing the analyst consensus estimate of $0.27. The performance was supported by strength in its Digital Transformation unit, which saw 13% net revenue growth, and its Marketing Cloud business, which delivered a remarkable 230% year-over-year net revenue increase. The company also announced a strategic $350 million increase to its stock repurchase program.

Adding to the positive sentiment, Stagwell provided an optimistic outlook for 2026, forecasting net revenue growth of 8% to 12% and adjusted EPS in the range of $0.98 to $1.12. The company highlighted its strategic pivot towards AI applications and services as a key driver supporting its growth trajectory.