Omnicom Group (NYSE:OMC) Rating Increased to Hold at Argus

Key Points

• Argus upgraded Omnicom Group to a “Hold” rating. The broader analyst consensus remains “Hold,” with four Buy, five Hold and two Sell ratings and an average price target of $99.
• Omnicom shares opened at $79.80, down 1.6%, and remain below the consensus target. The company’s latest quarterly results narrowly missed EPS estimates at $2.65 but exceeded revenue expectations with $6.56 billion, up 63.4% year over year.
• Institutional investors own 91.97% of the stock. A company director recently sold 1,385 shares at an average price of $88.73, reducing her ownership by 10.57%.

Omnicom Group (NYSE:OMC - Get Free Report) was upgraded by Argus to a "hold" rating in a research note issued on Monday, Zacks reports.

Several other equities analysts also recently weighed in on OMC. Weiss Ratings upgraded Omnicom Group from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, July 30th. Rothschild & Co Redburn assumed coverage on Omnicom Group in a report on Thursday, May 28th. They issued a "neutral" rating and a $89.00 price target for the company. Wells Fargo & Company upped their price objective on shares of Omnicom Group from $91.00 to $93.00 and gave the company an "overweight" rating in a research note on Thursday, July 30th. Zacks Research lowered shares of Omnicom Group from a "hold" rating to a "strong sell" rating in a report on Thursday, July 30th. Finally, Citigroup decreased their target price on shares of Omnicom Group from $105.00 to $100.00 and set a "buy" rating on the stock in a research report on Thursday, July 30th. Four research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $99.00.

Omnicom Group Trading Down 1.6%

Shares of OMC opened at $79.80 on Monday. Omnicom Group has a fifty-two week low of $66.33 and a fifty-two week high of $89.57. The company has a market capitalization of $21.89 billion, a PE ratio of 68.79, a price-to-earnings-growth ratio of 0.69 and a beta of 0.65. The stock has a fifty day moving average of $83.24 and a two-hundred day moving average of $78.86. The company has a debt-to-equity ratio of 0.97, a quick ratio of 0.78 and a current ratio of 0.92.

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

Insiders Place Their Bets

In other Omnicom Group news, Director Linda Rice sold 1,385 shares of the business's stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $88.73, for a total transaction of $122,891.05. Following the completion of the sale, the director owned 11,719 shares of the company's stock, valued at approximately $1,039,826.87. The trade was a 10.57% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 1.20% of the company's stock.

Hedge Funds Weigh In On Omnicom Group

Hedge funds and other institutional investors have recently modified their holdings of the company. Pure Financial Advisors LLC lifted its holdings in shares of Omnicom Group by 3.1% in the 2nd quarter. Pure Financial Advisors LLC now owns 4,464 shares of the business services provider's stock worth $325,000 after purchasing an additional 135 shares in the last quarter. Tranquilli Financial Advisor LLC lifted its stake in shares of Omnicom Group by 2.0% in the second quarter. Tranquilli Financial Advisor LLC now owns 7,610 shares of the business services provider's stock valued at $554,000 after buying an additional 148 shares in the last quarter. Caldwell Trust Co grew its holdings in shares of Omnicom Group by 29.0% during the first quarter. Caldwell Trust Co now owns 662 shares of the business services provider's stock valued at $50,000 after buying an additional 149 shares during the last quarter. SJS Investment Consulting Inc. increased its position in shares of Omnicom Group by 39.1% during the first quarter. SJS Investment Consulting Inc. now owns 544 shares of the business services provider's stock worth $41,000 after acquiring an additional 153 shares in the last quarter. Finally, Brown Lisle Cummings Inc. increased its position in shares of Omnicom Group by 3.8% during the first quarter. Brown Lisle Cummings Inc. now owns 4,776 shares of the business services provider's stock worth $360,000 after acquiring an additional 176 shares in the last quarter. 91.97% of the stock is owned by institutional investors and hedge funds.

About Omnicom Group

Omnicom Group Inc NYSE: OMC is a global marketing and communications holding company. Through a network of agencies and specialized businesses, it provides advertising, branding, media planning and buying, public relations, customer relationship management, digital marketing, experiential marketing and healthcare communications services.

Omnicom's agency brands have included BBDO Worldwide, DDB Worldwide, TBWA\Worldwide, Omnicom Media Group, FleishmanHillard and Ketchum. These businesses serve clients across industries, including consumer products, healthcare, technology, financial services, automotive and telecommunications, helping organizations develop brand strategies, create campaigns and engage audiences through traditional and digital channels.

Omnicom was formed in 1986 through the merger of advertising companies BBDO, Doyle Dane Bernbach and Needham Harper Worldwide.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.