Brokerages Set Omnicom Group Inc. (NYSE:OMC) Target Price at $92.14

Omnicom Group Inc. (NYSE:OMC) has earned a consensus rating of “Hold” from the nine brokerages that are covering the firm, MarketBeat reports. One investment analyst has rated the stock with a sell recommendation, four have assigned a hold recommendation and four have given a buy recommendation to the company. The average 12-month price target among brokerages that have issued a report on the stock in the last year is $92.1429.

OMC has been the subject of a number of recent analyst reports. UBS Group raised their price objective on shares of Omnicom Group from $99.00 to $108.00 and gave the stock a “buy” rating in a research note on Friday, December 5th. Morgan Stanley initiated coverage on shares of Omnicom Group in a report on Tuesday, December 16th. They issued an “equal weight” rating and a $88.00 price objective for the company. Wells Fargo & Company upgraded shares of Omnicom Group from an “equal weight” rating to an “overweight” rating and upped their price target for the company from $78.00 to $91.00 in a report on Tuesday, September 23rd. Weiss Ratings restated a “hold (c)” rating on shares of Omnicom Group in a research report on Wednesday, October 8th. Finally, Bank of America reaffirmed an “underperform” rating and issued a $77.00 target price (down from $87.00) on shares of Omnicom Group in a research report on Monday, January 5th.

Omnicom Group Price Performance

Shares of NYSE OMC opened at $79.81 on Friday. The company has a market capitalization of $15.40 billion, a price-to-earnings ratio of 11.79, a PEG ratio of 1.33 and a beta of 0.74. Omnicom Group has a twelve month low of $68.37 and a twelve month high of $89.35. The company has a current ratio of 0.92, a quick ratio of 0.80 and a debt-to-equity ratio of 0.95. The firm has a 50-day moving average of $76.81 and a two-hundred day moving average of $76.31.

Omnicom Group (NYSE:OMC) last posted its quarterly earnings results on Tuesday, October 21st. The business services provider reported $2.24 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.17 by $0.07. Omnicom Group had a return on equity of 33.30% and a net margin of 8.31%.The company had revenue of $4.04 billion for the quarter, compared to analysts’ expectations of $4.02 billion. During the same quarter in the prior year, the company earned $2.03 earnings per share. The firm’s revenue was up 4.0% on a year-over-year basis. As a group, analysts expect that Omnicom Group will post 8.25 earnings per share for the current fiscal year.

Omnicom Group Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, January 9th. Stockholders of record on Friday, December 19th were paid a $0.80 dividend. The ex-dividend date was Friday, December 19th. This represents a $3.20 annualized dividend and a dividend yield of 4.0%. This is a boost from Omnicom Group’s previous quarterly dividend of $0.70. Omnicom Group’s dividend payout ratio is presently 47.27%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased its holdings in shares of Omnicom Group by 1.5% in the second quarter. Vanguard Group Inc. now owns 23,811,406 shares of the business services provider’s stock valued at $1,712,993,000 after purchasing an additional 344,652 shares in the last quarter. State Street Corp lifted its holdings in Omnicom Group by 15.8% during the third quarter. State Street Corp now owns 16,863,327 shares of the business services provider’s stock worth $1,384,980,000 after acquiring an additional 2,298,652 shares in the last quarter. JPMorgan Chase & Co. increased its stake in Omnicom Group by 30.5% during the 3rd quarter. JPMorgan Chase & Co. now owns 8,107,021 shares of the business services provider’s stock worth $660,969,000 after purchasing an additional 1,893,316 shares in the last quarter. Massachusetts Financial Services Co. MA lifted its position in Omnicom Group by 9.6% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 7,869,786 shares of the business services provider’s stock valued at $566,152,000 after acquiring an additional 691,560 shares in the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in shares of Omnicom Group by 73.6% during the third quarter. Bank of New York Mellon Corp now owns 6,652,469 shares of the business services provider’s stock worth $542,376,000 after buying an additional 2,820,553 shares in the last quarter. 91.97% of the stock is owned by 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.