Principal Financial Group Inc. Decreases Stake in Omnicom Group Inc. $OMC

Principal Financial Group Inc. reduced its holdings in shares of Omnicom Group Inc. (NYSE:OMC) by 21.9% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 1,466,625 shares of the business services provider’s stock after selling 410,837 shares during the quarter. Principal Financial Group Inc.’s holdings in Omnicom Group were worth $118,431,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors also recently modified their holdings of the company. Activest Wealth Management lifted its stake in Omnicom Group by 2,960.0% during the 4th quarter. Activest Wealth Management now owns 306 shares of the business services provider’s stock valued at $25,000 after acquiring an additional 296 shares during the period. Bayforest Capital Ltd purchased a new position in shares of Omnicom Group during the fourth quarter valued at approximately $26,000. Cornerstone Planning Group LLC raised its holdings in shares of Omnicom Group by 2,126.7% during the third quarter. Cornerstone Planning Group LLC now owns 334 shares of the business services provider’s stock valued at $27,000 after purchasing an additional 319 shares during the last quarter. Meeder Asset Management Inc. lifted its position in Omnicom Group by 289.4% during the third quarter. Meeder Asset Management Inc. now owns 366 shares of the business services provider’s stock valued at $30,000 after purchasing an additional 272 shares during the period. Finally, Westside Investment Management Inc. boosted its holdings in Omnicom Group by 100.0% in the third quarter. Westside Investment Management Inc. now owns 404 shares of the business services provider’s stock worth $31,000 after purchasing an additional 202 shares during the last quarter. 91.97% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on OMC shares. Weiss Ratings reiterated a “hold (c)” rating on shares of Omnicom Group in a research note on Thursday, January 22nd. UBS Group lifted their price objective on Omnicom Group from $108.00 to $114.00 and gave the stock a “buy” rating in a report on Friday, March 20th. Barclays increased their target price on Omnicom Group from $82.00 to $90.00 and gave the company an “equal weight” rating in a report on Monday, February 23rd. Morgan Stanley raised their target price on Omnicom Group from $82.00 to $83.00 and gave the stock an “equal weight” rating in a research report on Friday, May 1st. Finally, Argus raised shares of Omnicom Group to a “hold” rating in a research report on Thursday, March 26th. Four investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Omnicom Group presently has an average rating of “Hold” and an average price target of $93.71.

Omnicom Group Price Performance

Shares of Omnicom Group stock opened at $76.80 on Thursday. The stock has a market cap of $21.89 billion, a P/E ratio of 196.92, a P/E/G ratio of 0.60 and a beta of 0.66. 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 stock’s fifty day moving average is $78.18 and its 200 day moving average is $76.79. Omnicom Group Inc. has a one year low of $66.33 and a one year high of $87.17.

Omnicom Group (NYSE:OMC) last issued its quarterly earnings results on Tuesday, April 28th. The business services provider reported $1.90 EPS for the quarter, topping analysts’ consensus estimates of $1.84 by $0.06. Omnicom Group had a return on equity of 24.48% and a net margin of 0.32%.The business had revenue of $6.24 billion during the quarter, compared to analysts’ expectations of $5.85 billion. During the same quarter in the prior year, the business posted $1.70 earnings per share. The business’s quarterly revenue was up 69.2% on a year-over-year basis. Sell-side analysts anticipate that Omnicom Group Inc. will post 10.91 earnings per share for the current year.

Omnicom Group Dividend Announcement

The company also recently announced 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. The ex-dividend date is Wednesday, June 10th. This represents a $3.20 dividend on an annualized basis and a yield of 4.2%. Omnicom Group’s dividend payout ratio (DPR) is presently 820.51%.

Omnicom Group announced that its Board of Directors has initiated a share buyback program on Wednesday, February 18th that permits the company to repurchase $5.00 billion in shares. This repurchase authorization permits the business services provider to repurchase up to 38.1% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its stock is undervalued.

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.