Steel Grove Capital Advisors LLC Makes New $1.57 Million Investment in Omnicom Group Inc. $OMC

Steel Grove Capital Advisors LLC acquired a new position in Omnicom Group Inc. (NYSE:OMC) in the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor acquired 19,394 shares of the business services provider’s stock, valued at approximately $1,566,000.

A number of other hedge funds and other institutional investors have also recently modified their holdings of OMC. Activest Wealth Management increased its stake in shares of Omnicom Group by 2,960.0% in the fourth quarter. Activest Wealth Management now owns 306 shares of the business services provider’s stock worth $25,000 after purchasing an additional 296 shares in the last quarter. Bayforest Capital Ltd purchased a new stake in shares of Omnicom Group in the fourth quarter worth $26,000. Elyxium Wealth LLC purchased a new position in Omnicom Group during the fourth quarter valued at $26,000. Cornerstone Planning Group LLC grew its stake in 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 acquiring an additional 319 shares in the last quarter. Finally, Legacy Wealth Managment LLC ID grew its stake in Omnicom Group by 111.4% during the fourth quarter. Legacy Wealth Managment LLC ID now owns 334 shares of the business services provider’s stock valued at $27,000 after acquiring an additional 176 shares in the last quarter. 91.97% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms recently weighed in on OMC. Morgan Stanley raised their target price on shares of Omnicom Group from $82.00 to $83.00 and gave the company an “equal weight” rating in a research note on Friday, May 1st. Citigroup cut their target price on shares of Omnicom Group from $115.00 to $105.00 and set a “buy” rating for the company in a research note on Thursday, April 30th. Argus raised shares of Omnicom Group to a “hold” rating in a research note on Thursday, March 26th. UBS Group raised their target price on shares of Omnicom Group from $108.00 to $114.00 and gave the company a “buy” rating in a research note on Friday, March 20th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Omnicom Group in a research note on Friday. Four analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $93.71.

Omnicom Group Stock Down 0.8%

Shares of NYSE OMC opened at $74.36 on Wednesday. The firm’s 50-day moving average price is $75.71 and its 200-day moving average price is $76.51. The company has a current ratio of 0.91, a quick ratio of 0.77 and a debt-to-equity ratio of 0.99. The stock has a market capitalization of $21.19 billion, a price-to-earnings ratio of 190.67, a P/E/G ratio of 0.45 and a beta of 0.66. Omnicom Group Inc. has a 12-month low of $66.33 and a 12-month high of $87.17.

Omnicom Group (NYSE:OMC) last announced its earnings results on Wednesday, April 29th. The business services provider reported $1.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.84 by $0.06. The firm had revenue of $6.24 billion for the quarter, compared to analysts’ expectations of $5.85 billion. Omnicom Group had a net margin of 0.32% and a return on equity of 24.48%. The business’s revenue was up 69.2% compared to the same quarter last year. During the same period in the prior year, the company earned $1.70 EPS. On average, equities research analysts anticipate that Omnicom Group Inc. will post 10.97 EPS for the current fiscal year.

Omnicom Group Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Wednesday, June 10th will be given a dividend of $0.80 per share. The ex-dividend date of this dividend is Wednesday, June 10th. This represents a $3.20 annualized dividend and a dividend yield of 4.3%. Omnicom Group’s payout ratio is currently 820.51%.

Omnicom Group announced that its board has initiated a stock 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 buy up to 38.1% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s management believes its shares are undervalued.

Omnicom Group Company Profile

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.