Access Investment Management LLC Has $4.58 Million Stake in Omnicom Group Inc. $OMC

Key Points

• Access Investment Management increased its Omnicom Group stake by 1,573.2% in the first quarter, bringing its holdings to 60,820 shares worth approximately $4.58 million. Institutional investors and hedge funds collectively own 91.97% of OMC.
• Omnicom reported quarterly revenue of $6.56 billion, up 63.4% year over year and above estimates, but EPS of $2.65 narrowly missed the $2.67 consensus forecast. The company declared a quarterly dividend of $0.80 per share, implying a 4.1% annualized yield.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and a $99 price target; concerns include merger-related debt, integration costs and margin pressure despite potential long-term benefits from cost synergies and data investments.

Access Investment Management LLC raised its position in shares of Omnicom Group Inc. (NYSE:OMC - Free Report) by 1,573.2% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 60,820 shares of the business services provider's stock after acquiring an additional 57,185 shares during the quarter. Access Investment Management LLC's holdings in Omnicom Group were worth $4,580,000 as of its most recent SEC filing.

A number of other large investors have also recently bought and sold shares of OMC. SOA Wealth Advisors LLC. boosted its position in shares of Omnicom Group by 5.3% during the 1st quarter. SOA Wealth Advisors LLC. now owns 4,915 shares of the business services provider's stock valued at $370,000 after purchasing an additional 249 shares in the last quarter. Western Wealth Management LLC bought a new stake in Omnicom Group in the first quarter worth approximately $90,000. Paragon Private Wealth Management LLC increased its holdings in Omnicom Group by 18.9% in the first quarter. Paragon Private Wealth Management LLC now owns 6,318 shares of the business services provider's stock worth $476,000 after purchasing an additional 1,003 shares in the last quarter. Bank of America Corp DE lifted its stake in Omnicom Group by 10.4% in the first quarter. Bank of America Corp DE now owns 2,193,987 shares of the business services provider's stock valued at $165,229,000 after buying an additional 206,398 shares during the period. Finally, Kentucky Retirement Systems lifted its stake in Omnicom Group by 75.1% in the first quarter. Kentucky Retirement Systems now owns 21,248 shares of the business services provider's stock valued at $1,580,000 after buying an additional 9,112 shares during the period. 91.97% of the stock is currently owned by institutional investors and hedge funds.

Omnicom Group Trading Down 0.9%

Shares of Omnicom Group stock opened at $78.86 on Friday. The company's 50-day moving average price is $77.29 and its 200-day moving average price is $76.89. The company has a current ratio of 0.92, a quick ratio of 0.77 and a debt-to-equity ratio of 0.97. Omnicom Group Inc. has a 12-month low of $66.33 and a 12-month high of $87.41. The company has a market cap of $21.64 billion, a price-to-earnings ratio of 67.98, a PEG ratio of 0.53 and a beta of 0.63.

Omnicom Group (NYSE:OMC - Get Free Report) last posted its earnings results on Tuesday, July 28th. The business services provider reported $2.65 earnings per share for the quarter, missing analysts' consensus estimates of $2.67 by ($0.02). Omnicom Group had a return on equity of 24.73% and a net margin of 1.74%.The firm had revenue of $6.56 billion for the quarter, compared to the consensus estimate of $6.44 billion. During the same period last year, the company posted $2.05 EPS. The business's revenue was up 63.4% on a year-over-year basis. On average, equities analysts expect that Omnicom Group Inc. will post 10.35 earnings per share for the current fiscal year.

Omnicom Group Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Stockholders of record on Friday, September 18th 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 4.1%. The ex-dividend date is Friday, September 18th. Omnicom Group's payout ratio is 275.86%.

Analyst Upgrades and Downgrades

Several analysts have recently commented on OMC shares. Wells Fargo & Company raised their price objective on shares of Omnicom Group from $91.00 to $93.00 and gave the stock an "overweight" rating in a research report on Thursday. Weiss Ratings upgraded shares of Omnicom Group from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday. Rothschild & Co Redburn initiated coverage on shares of Omnicom Group in a research note on Thursday, May 28th. They set a "neutral" rating and a $89.00 target price on the stock. Morgan Stanley raised their price target on shares of Omnicom Group from $82.00 to $83.00 and gave the stock an "equal weight" rating in a report on Friday, May 1st. Finally, Citigroup decreased their price target on shares of Omnicom Group from $105.00 to $100.00 and set a "buy" rating for the company in a research note on Thursday. Four investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $99.00.

More Omnicom Group News

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

• Positive Sentiment: Wells Fargo raised its price target for Omnicom Group to $93 from $91 and maintained an “overweight” rating, citing potential upside from the company’s operating outlook. Wells Fargo price-target update
• Positive Sentiment: Citigroup lowered its target to $100 from $105 but retained a “buy” rating. The reduced target still implies substantial upside and suggests analysts view the recent weakness as an opportunity rather than a fundamental break in the investment case. Citigroup price-target update
• Positive Sentiment: Analysts highlighted Omnicom’s data and analytics investments, integrated media capabilities and merger-related cost synergies as potential drivers of longer-term revenue growth and profitability. Omnicom data and analytics outlook
• Neutral Sentiment: Omnicom’s latest quarter produced $6.56 billion in revenue, above the $6.44 billion consensus and up 63.4% year over year, while EPS of $2.65 narrowly missed the $2.67 estimate. The mixed result helps explain why strong sales growth has not translated into a clear stock catalyst. Omnicom Q2 earnings call highlights
• Neutral Sentiment: International revenue remains an important factor in Wall Street’s forecasts, making foreign-market performance and currency or regional risks relevant to the stock’s outlook. Omnicom international revenue analysis
• Negative Sentiment: Investors remain concerned about higher debt, integration expenses and margin pressure following the merger. Analysts have also trimmed estimates, creating uncertainty over how quickly anticipated synergies will improve earnings. Omnicom valuation analysis
• Negative Sentiment: Some commentary argues that OMC’s valuation and recent multiyear gains leave the shares vulnerable to profit-taking if organic growth or post-merger execution disappoints. Omnicom valuation commentary

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.

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