Omnicom Group Inc. (OMC) Lowered to “Hold” at Zacks Investment Research
Zacks Investment Research lowered shares of Omnicom Group Inc. (NYSE:OMC) from a buy rating to a hold rating in a report issued on Wednesday morning.
According to Zacks, “Omnicom reported relatively healthy third-quarter 2017 results with earnings beating the Zacks Consensus Estimate by 3 cents on modest organic growth. Omnicom maintains a balanced growth model through a combination of well-focused internal development initiatives and strategic acquisitions. Increasing demand for media services and massive proliferation of channels are likely to improve the top line in future. Omnicom has outperformed the industry year to date. However, a competitive and fragmented communications services industry coupled with high susceptibility to concentration risks pose a threat to Omnicom’s profitability. Post the Brexit referendum, it becomes difficult for the company to increase revenues and reduce costs. Brexit could further result in higher tariff and non-tariff barriers to trade between the U.K. and the European Union, lowering its productivity.”
Several other equities research analysts have also commented on OMC. Royal Bank Of Canada lowered their price target on shares of Omnicom Group from $96.00 to $87.00 and set an outperform rating on the stock in a report on Wednesday. Telsey Advisory Group raised shares of Omnicom Group from a market perform rating to an outperform rating and increased their target price for the stock from $86.00 to $89.00 in a research note on Wednesday. BMO Capital Markets reissued a hold rating and set a $85.00 target price on shares of Omnicom Group in a research note on Wednesday. BidaskClub lowered shares of Omnicom Group from a sell rating to a strong sell rating in a research note on Tuesday, August 1st. Finally, Credit Suisse Group lowered their target price on shares of Omnicom Group from $79.00 to $78.00 and set a neutral rating on the stock in a research note on Wednesday, October 11th. Three equities research analysts have rated the stock with a sell rating, thirteen have assigned a hold rating and two have given a buy rating to the company’s stock. Omnicom Group currently has a consensus rating of Hold and an average price target of $84.00.
Omnicom Group (NYSE OMC) traded down 3.30% during trading on Wednesday, hitting $72.96. The stock had a trading volume of 3,467,306 shares. Omnicom Group has a 52-week low of $71.63 and a 52-week high of $89.66. The company’s 50 day moving average is $74.07 and its 200 day moving average is $79.74. The firm has a market cap of $16.84 billion, a PE ratio of 14.52 and a beta of 1.28.
Omnicom Group (NYSE:OMC) last posted its quarterly earnings results on Tuesday, October 17th. The business services provider reported $1.13 EPS for the quarter, beating the consensus estimate of $1.10 by $0.03. Omnicom Group had a net margin of 7.72% and a return on equity of 43.47%. The company had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.69 billion. During the same period in the prior year, the company earned $1.06 earnings per share. The firm’s revenue was down 1.9% on a year-over-year basis. Equities research analysts forecast that Omnicom Group will post $5.09 earnings per share for the current year.
In other Omnicom Group news, Director Linda Johnson Rice sold 483 shares of the firm’s stock in a transaction that occurred on Monday, July 24th. The shares were sold at an average price of $82.19, for a total value of $39,697.77. Following the completion of the transaction, the director now owns 7,724 shares of the company’s stock, valued at approximately $634,835.56. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Treasurer Dennis E. Hewitt sold 900 shares of the firm’s stock in a transaction that occurred on Wednesday, July 26th. The shares were sold at an average price of $79.11, for a total transaction of $71,199.00. Following the completion of the transaction, the treasurer now directly owns 44,161 shares of the company’s stock, valued at approximately $3,493,576.71. The disclosure for this sale can be found here. Company insiders own 1.10% of the company’s stock.
A number of hedge funds have recently modified their holdings of the business. Perigon Wealth Management LLC boosted its position in Omnicom Group by 17.1% in the 2nd quarter. Perigon Wealth Management LLC now owns 9,491 shares of the business services provider’s stock valued at $793,000 after buying an additional 1,387 shares during the period. Toronto Dominion Bank boosted its position in Omnicom Group by 43.0% in the 2nd quarter. Toronto Dominion Bank now owns 104,807 shares of the business services provider’s stock valued at $8,691,000 after buying an additional 31,527 shares during the period. BB&T Investment Services Inc. purchased a new position in Omnicom Group in the 2nd quarter valued at approximately $1,408,000. Security National Bank of SO Dak boosted its position in Omnicom Group by 1.0% in the 2nd quarter. Security National Bank of SO Dak now owns 9,959 shares of the business services provider’s stock valued at $825,000 after buying an additional 100 shares during the period. Finally, Security National Bank of Sioux City Iowa IA boosted its position in Omnicom Group by 0.3% in the 2nd quarter. Security National Bank of Sioux City Iowa IA now owns 11,858 shares of the business services provider’s stock valued at $983,000 after buying an additional 35 shares during the period. 98.57% of the stock is owned by institutional investors.
Omnicom Group Company Profile
Omnicom Group Inc is a holding company. The Company provides advertising, marketing and corporate communications services. The Company’s branded networks and agencies operate in all markets around the world and provide a range of services, which it groups into four disciplines: advertising, customer relationship management (CRM), public relations and specialty communications.
Receive News & Ratings for Omnicom Group Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Omnicom Group Inc. and related companies with Analyst Ratings Network's FREE daily email newsletter.