Omnicom Group (NYSE:OMC) Trading Down 5.1% – Should You Sell?

Omnicom Group Inc. (NYSE:OMCGet Free Report)’s share price was down 5.1% during mid-day trading on Wednesday . The stock traded as low as $80.54 and last traded at $81.6920. Approximately 2,887,079 shares traded hands during trading, a decline of 32% from the average session volume of 4,252,755 shares. The stock had previously closed at $86.09.

Wall Street Analyst Weigh In

OMC has been the topic of a number of research analyst reports. Weiss Ratings upgraded shares of Omnicom Group from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday, July 30th. Citigroup dropped their price target on Omnicom Group from $105.00 to $100.00 and set a “buy” rating for the company in a research note on Thursday, July 30th. Rothschild & Co Redburn initiated coverage on Omnicom Group in a report on Thursday, May 28th. They set a “neutral” rating and a $89.00 price objective on the stock. Zacks Research lowered Omnicom Group from a “hold” rating to a “strong sell” rating in a research report on Thursday, July 30th. Finally, The Goldman Sachs Group initiated coverage on Omnicom Group in a report on Wednesday, June 3rd. They issued a “buy” rating and a $146.00 target price for the company. Four analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $99.00.

Read Our Latest Stock Report on Omnicom Group

Omnicom Group Stock Down 5.1%

The company has a quick ratio of 0.78, a current ratio of 0.92 and a debt-to-equity ratio of 0.97. The stock’s 50-day simple moving average is $82.27 and its 200 day simple moving average is $78.46. The firm has a market cap of $22.41 billion, a P/E ratio of 70.57, a PEG ratio of 0.58 and a beta of 0.65.

Omnicom Group (NYSE:OMCGet Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The business services provider reported $2.65 earnings per share for the quarter, missing the consensus estimate of $2.67 by ($0.02). Omnicom Group had a return on equity of 24.73% and a net margin of 1.74%.The business had revenue of $6.56 billion during the quarter, compared to the consensus estimate of $6.44 billion. During the same period last year, the business posted $2.05 earnings per share. The business’s revenue was up 63.4% on a year-over-year basis. As a group, research analysts forecast that Omnicom Group Inc. will post 10.35 EPS for the current fiscal year.

Omnicom Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Shareholders of record on Friday, September 18th will be paid a $0.80 dividend. The ex-dividend date of this dividend is Friday, September 18th. This represents a $3.20 annualized dividend and a yield of 3.9%. Omnicom Group’s payout ratio is 275.86%.

Insider Activity

In other Omnicom Group news, Director Linda Johnson Rice sold 1,385 shares of the stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $88.73, for a total transaction of $122,891.05. Following the transaction, the director directly owned 11,719 shares in the company, valued at approximately $1,039,826.87. This represents a 10.57% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 1.20% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the stock. California State Teachers Retirement System increased its stake in Omnicom Group by 6,250.5% in the second quarter. California State Teachers Retirement System now owns 33,804,190 shares of the business services provider’s stock valued at $2,461,959,000 after purchasing an additional 33,271,882 shares in the last quarter. BlackRock Inc. acquired a new stake in shares of Omnicom Group in the 2nd quarter valued at about $2,082,476,000. State Street Corp grew its stake in shares of Omnicom Group by 40.4% in the 4th quarter. State Street Corp now owns 23,676,768 shares of the business services provider’s stock valued at $1,933,891,000 after buying an additional 6,813,441 shares during the period. Bank of New York Mellon Corp bought a new stake in Omnicom Group in the 2nd quarter valued at about $914,156,000. Finally, Geode Capital Management LLC increased its position in Omnicom Group by 57.1% in the 4th quarter. Geode Capital Management LLC now owns 8,578,075 shares of the business services provider’s stock valued at $690,327,000 after buying an additional 3,117,188 shares in the last quarter. 91.97% of the stock is owned by institutional investors.

Omnicom Group Company Profile

(Get Free Report)

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.

Further Reading

Receive News & Ratings for Omnicom Group Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Omnicom Group and related companies with MarketBeat.com's FREE daily email newsletter.