Brokerages Set Omnicom Group Inc. (NYSE:OMC) Target Price at $93.71

Omnicom Group Inc. (NYSE:OMC) has been assigned a consensus recommendation of “Hold” from the nine analysts that are presently covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, four have assigned a hold rating and four have issued a buy rating on the company. The average 12 month target price among brokers that have updated their coverage on the stock in the last year is $93.7143.

A number of research analysts recently weighed in on the stock. Barclays raised their target price on shares of Omnicom Group from $82.00 to $90.00 and gave the company an “equal weight” rating in a report on Monday, February 23rd. Citigroup cut their target price on shares of Omnicom Group from $115.00 to $105.00 and set a “buy” rating for the company in a report on Thursday, April 30th. UBS Group raised their target price on shares of Omnicom Group from $108.00 to $114.00 and gave the company a “buy” rating in a report on Friday, March 20th. Morgan Stanley raised their target price on shares of Omnicom Group from $82.00 to $83.00 and gave the company an “equal weight” rating in a report on Friday, May 1st. Finally, Argus raised shares of Omnicom Group to a “hold” rating in a report on Thursday, March 26th.

Omnicom Group Trading Down 0.8%

OMC stock opened at $74.36 on Friday. The firm has a fifty day moving average price of $75.71 and a 200 day moving average price of $76.51. Omnicom Group has a fifty-two week low of $66.33 and a fifty-two week high of $87.17. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.77 and a current ratio of 0.91. The firm has a market cap of $21.19 billion, a PE ratio of 190.67, a price-to-earnings-growth ratio of 0.45 and a beta of 0.66.

Omnicom Group (NYSE:OMC) last posted its earnings results on Wednesday, April 29th. The business services provider reported $1.90 earnings per share for the quarter, beating analysts’ consensus estimates of $1.84 by $0.06. Omnicom Group had a net margin of 0.32% and a return on equity of 24.48%. The firm had revenue of $6.24 billion during the quarter, compared to analyst estimates of $5.85 billion. During the same period last year, the firm posted $1.70 earnings per share. Omnicom Group’s revenue for the quarter was up 69.2% compared to the same quarter last year. Sell-side analysts anticipate that Omnicom Group will post 10.97 earnings per share for the current fiscal year.

Omnicom Group Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, July 9th. Shareholders of record on Wednesday, June 10th will be paid a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a yield of 4.3%. The ex-dividend date of this dividend is Wednesday, June 10th. Omnicom Group’s payout ratio is presently 820.51%.

Omnicom Group declared that its board has approved a stock repurchase program on Wednesday, February 18th that permits the company to buyback $5.00 billion in shares. This buyback authorization permits the business services provider to repurchase up to 38.1% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Leonard Rickey Investment Advisors P.L.L.C. boosted its stake in Omnicom Group by 4.1% during the fourth quarter. Leonard Rickey Investment Advisors P.L.L.C. now owns 3,775 shares of the business services provider’s stock worth $305,000 after buying an additional 147 shares during the period. Deseret Mutual Benefit Administrators boosted its stake in Omnicom Group by 7.9% during the third quarter. Deseret Mutual Benefit Administrators now owns 2,031 shares of the business services provider’s stock worth $166,000 after buying an additional 149 shares during the period. Wakefield Asset Management LLLP boosted its stake in Omnicom Group by 2.6% during the fourth quarter. Wakefield Asset Management LLLP now owns 5,910 shares of the business services provider’s stock worth $477,000 after buying an additional 149 shares during the period. Caldwell Trust Co boosted its stake in Omnicom Group by 29.0% during the first quarter. Caldwell Trust Co now owns 662 shares of the business services provider’s stock worth $50,000 after buying an additional 149 shares during the period. Finally, Impact Partnership Wealth LLC boosted its stake in Omnicom Group by 3.1% during the third quarter. Impact Partnership Wealth LLC now owns 4,923 shares of the business services provider’s stock worth $401,000 after buying an additional 150 shares during the period. 91.97% of the stock is owned by hedge funds and other institutional investors.

Omnicom Group Company Profile

Omnicom Group Inc (NYSE: OMC) is a global marketing and corporate communications holding company headquartered in New York City. Founded in 1986 through the merger of the BBDO, DDB and Needham Harper agencies, Omnicom has built a portfolio of leading brands and networks serving clients across diverse industries.

The company’s primary business activities encompass advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations, and customer relationship management.