Citigroup Issues Positive Forecast for Omnicom Group (NYSE:OMC) Stock Price

Omnicom Group (NYSE:OMC) had its price target raised by Citigroup from $103.00 to $115.00 in a report published on Friday,Benzinga reports. Citigroup currently has a buy rating on the business services provider’s stock.

OMC has been the topic of several other research reports. UBS Group raised their price target on shares of Omnicom Group from $99.00 to $108.00 and gave the company a “buy” rating in a report on Friday, December 5th. Morgan Stanley began coverage on shares of Omnicom Group in a research report on Tuesday, December 16th. They issued an “equal weight” rating and a $88.00 price objective for the company. Barclays lifted their target price on shares of Omnicom Group from $80.00 to $82.00 and gave the company an “equal weight” rating in a report on Thursday, October 23rd. Weiss Ratings reiterated a “hold (c)” rating on shares of Omnicom Group in a report on Thursday, January 22nd. Finally, Bank of America restated an “underperform” rating and set a $77.00 price objective (down previously from $87.00) on shares of Omnicom Group in a research note on Monday, January 5th. Four analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $93.86.

Omnicom Group Trading Up 2.8%

OMC stock opened at $83.20 on Friday. The company has a quick ratio of 0.80, a current ratio of 0.92 and a debt-to-equity ratio of 0.95. The company has a market cap of $16.06 billion, a price-to-earnings ratio of 169.80, a PEG ratio of 1.22 and a beta of 0.74. The business has a fifty day simple moving average of $77.10 and a 200-day simple moving average of $76.37. Omnicom Group has a 52 week low of $66.33 and a 52 week high of $89.27.

Omnicom Group (NYSE:OMC) last posted its quarterly earnings results on Wednesday, February 18th. The business services provider reported $2.59 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.94 by ($0.35). The firm had revenue of $5.53 billion for the quarter, compared to analysts’ expectations of $7.58 billion. Omnicom Group had a negative net margin of 0.32% and a positive return on equity of 35.41%. Omnicom Group’s revenue was up 27.9% on a year-over-year basis. During the same period last year, the firm posted $2.41 EPS. On average, equities research analysts expect that Omnicom Group will post 8.25 EPS for the current year.

Omnicom Group declared that its board has approved a stock buyback program on Wednesday, February 18th that allows the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization allows the business services provider to reacquire up to 38.1% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company’s board believes its stock is undervalued.

Omnicom Group Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, April 9th. Stockholders of record on Wednesday, March 11th will be given a dividend of $0.80 per share. This represents a $3.20 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date of this dividend is Wednesday, March 11th. Omnicom Group’s payout ratio is presently 47.27%.

Institutional Investors Weigh In On Omnicom Group

A number of hedge funds have recently bought and sold shares of the business. Asset Management One Co. Ltd. lifted its position in shares of Omnicom Group by 3.5% in the 2nd quarter. Asset Management One Co. Ltd. now owns 84,329 shares of the business services provider’s stock worth $6,067,000 after buying an additional 2,855 shares during the last quarter. Oppenheimer Asset Management Inc. raised its stake in Omnicom Group by 15.3% during the third quarter. Oppenheimer Asset Management Inc. now owns 108,310 shares of the business services provider’s stock worth $8,831,000 after acquiring an additional 14,368 shares during the period. Principal Financial Group Inc. lifted its holdings in Omnicom Group by 18.7% in the third quarter. Principal Financial Group Inc. now owns 1,877,462 shares of the business services provider’s stock worth $153,068,000 after acquiring an additional 295,379 shares during the last quarter. Jackson Creek Investment Advisors LLC acquired a new position in Omnicom Group in the third quarter valued at approximately $870,000. Finally, National Pension Service grew its holdings in shares of Omnicom Group by 35.3% during the third quarter. National Pension Service now owns 111,161 shares of the business services provider’s stock valued at $9,063,000 after purchasing an additional 29,014 shares during the last quarter. Institutional investors and hedge funds own 91.97% of the company’s stock.

More Omnicom Group News

Here are the key news stories impacting Omnicom Group this week:

• Positive Sentiment: Board-authorized $5.0 billion share repurchase program (includes a $2.5B accelerated repurchase) — large buyback signals management thinks shares are undervalued and directly reduces float, supporting the stock. Article Title
• Positive Sentiment: Quarterly dividend declared: $0.80 per share (record March 11; payable April 9), boosting yield and making OMC more attractive to income investors. Article Title
• Positive Sentiment: Analyst upgrade/target lift — Citi raised its price target to $115 and reaffirmed a Buy, implying meaningful upside versus recent levels and providing fresh analyst support. Article Title
• Positive Sentiment: Management highlighted post‑merger integration progress (raised cost‑synergy targets) and scheduled an Investor Day (March 12), which together suggest clearer visibility on cost savings and strategy that could boost margins long term. Article Title
• Positive Sentiment: Heavy institutional buying reported in recent filings — several large funds materially increased OMC positions during the quarter, which can support the stock and amplify a rally. Article Title
• Neutral Sentiment: Market context: rotation toward high‑yield, cash‑rich dividend payers is boosting demand for names like Omnicom, as covered in recent pieces on dividend-focused strategies. Article Title
• Negative Sentiment: Q4 results missed consensus on EPS ($2.59 vs. ~$2.94 est.) and headline net income was hurt by merger/one‑time costs — these reported misses and the accounting loss explain caution among some investors. Article Title

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.