Omnicom Group (NYSE:OMC) Price Target Lowered to $105.00 at Citigroup

Omnicom Group (NYSE:OMC) had its price objective decreased by Citigroup from $115.00 to $105.00 in a research note issued to investors on Thursday morning,Benzinga reports. Citigroup currently has a buy rating on the business services provider’s stock.

A number of other brokerages have also recently weighed in on OMC. UBS Group lifted their target price on Omnicom Group from $108.00 to $114.00 and gave the company a “buy” rating in a report on Friday, March 20th. Bank of America restated an “underperform” rating and set a $77.00 price target (down from $87.00) on shares of Omnicom Group in a research note on Monday, January 5th. Weiss Ratings restated a “hold (c)” rating on shares of Omnicom Group in a report on Thursday, January 22nd. Barclays lifted their price objective on Omnicom Group from $82.00 to $90.00 and gave the company an “equal weight” rating in a research note on Monday, February 23rd. Finally, Argus upgraded Omnicom Group to a “hold” rating in a report on Thursday, March 26th. Four research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $94.43.

Omnicom Group Stock Performance

Shares of OMC stock opened at $76.73 on Thursday. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.81 and a current ratio of 0.93. The firm has a market capitalization of $21.87 billion, a price-to-earnings ratio of 196.76, a price-to-earnings-growth ratio of 0.59 and a beta of 0.73. Omnicom Group has a one year low of $66.33 and a one year high of $87.17. The company has a 50 day moving average price of $78.37 and a 200 day moving average price of $76.81.

Omnicom Group (NYSE:OMC) last posted its quarterly earnings results on Tuesday, April 28th. The business services provider reported $1.90 earnings per share for the quarter, topping analysts’ consensus estimates of $1.84 by $0.06. Omnicom Group had a net margin of 0.32% and a return on equity of 26.45%. The company had revenue of $6.24 billion for the quarter, compared to the consensus estimate of $5.85 billion. During the same quarter last year, the firm posted $1.70 earnings per share. Omnicom Group’s revenue was up 69.2% on a year-over-year basis. Sell-side analysts anticipate that Omnicom Group will post 10.92 EPS for the current year.

Omnicom Group announced that its Board of Directors has authorized a share repurchase plan on Wednesday, February 18th that allows the company to buyback $5.00 billion in shares. This buyback authorization allows the business services provider to reacquire up to 38.1% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s leadership believes its shares are undervalued.

Omnicom Group Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, April 9th. Shareholders of record on Wednesday, March 11th were paid a dividend of $0.80 per share. This represents a $3.20 dividend on an annualized basis and a yield of 4.2%. The ex-dividend date was Wednesday, March 11th. Omnicom Group’s dividend payout ratio (DPR) is 820.51%.

Hedge Funds Weigh In On Omnicom Group

Several institutional investors and hedge funds have recently made changes to their positions in the business. Conning Inc. raised its holdings in Omnicom Group by 6.0% in the first quarter. Conning Inc. now owns 432,749 shares of the business services provider’s stock valued at $32,590,000 after acquiring an additional 24,393 shares in the last quarter. Summit Securities Group LLC raised its stake in shares of Omnicom Group by 226.9% in the 1st quarter. Summit Securities Group LLC now owns 2,200 shares of the business services provider’s stock valued at $166,000 after purchasing an additional 1,527 shares in the last quarter. First Horizon Corp lifted its position in shares of Omnicom Group by 28.8% during the first quarter. First Horizon Corp now owns 107,383 shares of the business services provider’s stock worth $8,087,000 after purchasing an additional 23,985 shares during the last quarter. Kestra Advisory Services LLC grew its stake in Omnicom Group by 15.8% in the first quarter. Kestra Advisory Services LLC now owns 18,175 shares of the business services provider’s stock worth $1,382,000 after purchasing an additional 2,477 shares in the last quarter. Finally, Resona Asset Management Co. Ltd. increased its holdings in Omnicom Group by 0.9% in the first quarter. Resona Asset Management Co. Ltd. now owns 99,703 shares of the business services provider’s stock valued at $7,509,000 after buying an additional 861 shares during the last quarter. 91.97% of the stock is currently owned by hedge funds and other institutional investors.

About Omnicom Group

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.