Zacks Investment Research upgraded shares of Omnicom Group Inc. (NYSE:OMC) from a sell rating to a hold rating in a research report released on Tuesday morning.
According to Zacks, “Omnicom outperformed the Zacks categorized Advertising and Marketing space. It is experiencing continuous revenue growth driven by remarkable performance in the developed markets. The increasing demand for media services, speedy growth of technologies and massive proliferation of channels are likely to improve the top-line growth. It is also building upon its digital and analytical capabilities by investing in agencies and partnering with innovative technology companies in key markets. Earnings estimates have also increased in the last 90 days. However, a competitive and fragmented communications services industry coupled with high susceptibility to concentration risks pose a threat to Omnicom’s profitability. As the company expands its international operations, it is also highly exposed to risks from foreign exchange barriers and uncertainty from monetary devaluation, particularly after the Brexit referendum.”
Several other equities research analysts also recently commented on OMC. Royal Bank Of Canada set a $96.00 price objective on Omnicom Group and gave the company a buy rating in a report on Saturday, May 20th. Macquarie downgraded Omnicom Group from an outperform rating to a neutral rating and decreased their price objective for the company from $90.00 to $83.00 in a report on Tuesday, June 6th. Atlantic Securities cut Omnicom Group from a neutral rating to an underweight rating and set a $79.00 target price on the stock. in a research report on Wednesday, February 22nd. Barclays PLC reaffirmed a hold rating and set a $86.00 target price on shares of Omnicom Group in a research report on Thursday, April 20th. Finally, Wedbush cut their target price on Omnicom Group from $90.00 to $89.00 and set a neutral rating on the stock in a research report on Wednesday, April 19th. One analyst has rated the stock with a sell rating, thirteen have issued a hold rating and one has assigned a buy rating to the company’s stock. The company has a consensus rating of Hold and an average target price of $86.23.
Shares of Omnicom Group (NYSE OMC) traded down 0.0989% during mid-day trading on Tuesday, reaching $82.3285. The company’s stock had a trading volume of 603,564 shares. The company has a 50-day moving average of $82.99 and a 200-day moving average of $84.70. The firm has a market cap of $19.16 billion, a PE ratio of 16.7846 and a beta of 1.25. Omnicom Group has a 12 month low of $75.61 and a 12 month high of $89.66.
Omnicom Group (NYSE:OMC) last released its quarterly earnings data on Tuesday, April 18th. The business services provider reported $0.97 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.96 by $0.01. The firm had revenue of $3.59 billion during the quarter, compared to the consensus estimate of $3.55 billion. Omnicom Group had a return on equity of 42.34% and a net margin of 7.54%. The company’s quarterly revenue was up 2.5% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.90 earnings per share. On average, analysts predict that Omnicom Group will post $5.03 earnings per share for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 12th. Shareholders of record on Wednesday, June 14th will be given a $0.55 dividend. The ex-dividend date is Monday, June 12th. This represents a $2.20 annualized dividend and a yield of 2.67%. Omnicom Group’s dividend payout ratio is currently 44.81%.
In other Omnicom Group news, Director Leonard S. Coleman, Jr. sold 2,038 shares of the business’s stock in a transaction on Thursday, April 20th. The stock was sold at an average price of $83.93, for a total value of $171,049.34. Following the transaction, the director now owns 24,853 shares of the company’s stock, valued at $2,085,912.29. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Chairman Bruce Crawford sold 22,800 shares of the business’s stock in a transaction on Thursday, June 1st. The stock was sold at an average price of $84.91, for a total value of $1,935,948.00. Following the completion of the transaction, the chairman now directly owns 105,250 shares in the company, valued at approximately $8,936,777.50. The disclosure for this sale can be found here. 1.10% of the stock is currently owned by insiders.
A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Commerzbank Aktiengesellschaft FI acquired a new position in Omnicom Group during the fourth quarter valued at $416,000. Van ECK Associates Corp boosted its position in shares of Omnicom Group by 9.2% in the fourth quarter. Van ECK Associates Corp now owns 3,712 shares of the business services provider’s stock worth $316,000 after buying an additional 313 shares in the last quarter. Trexquant Investment LP purchased a new position in shares of Omnicom Group during the fourth quarter worth approximately $460,000. First Allied Advisory Services Inc. boosted its position in shares of Omnicom Group by 12.4% in the fourth quarter. First Allied Advisory Services Inc. now owns 20,864 shares of the business services provider’s stock worth $1,776,000 after buying an additional 2,305 shares in the last quarter. Finally, Employees Retirement System of Texas boosted its position in shares of Omnicom Group by 34.5% in the fourth quarter. Employees Retirement System of Texas now owns 74,000 shares of the business services provider’s stock worth $6,298,000 after buying an additional 19,000 shares in the last quarter. 97.50% of the stock is currently owned by institutional investors and hedge funds.
Omnicom Group Company Profile
Omnicom Group Inc is a holding company. The Company provides advertising, marketing and corporate communications services. The Company’s branded networks and agencies operate in all markets around the world and provide a range of services, which it groups into four disciplines: advertising, customer relationship management (CRM), public relations and specialty communications.
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