Greenup Street Wealth Management LLC Sells 22,160 Shares of Omnicom Group Inc. $OMC

Key Points

• Greenup Street Wealth Management cut its Omnicom stake by 86.2%, selling 22,160 shares and leaving it with 3,547 shares worth about $286,000 at quarter end.
• Omnicom missed quarterly estimates, reporting $2.59 EPS vs $2.94 expected and $5.53 billion revenue vs $7.58 billion expected, although revenue was up 27.9% year‑over‑year.
• The board authorized a $5.0 billion share buyback (up to 38.1% of shares) and the company paid a $0.80 quarterly dividend (a 4.3% yield), while showing an unusually high payout ratio of 653%.

Greenup Street Wealth Management LLC reduced its stake in shares of Omnicom Group Inc. (NYSE:OMC - Free Report) by 86.2% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 3,547 shares of the business services provider's stock after selling 22,160 shares during the period. Greenup Street Wealth Management LLC's holdings in Omnicom Group were worth $286,000 at the end of the most recent quarter.

Several other institutional investors also recently bought and sold shares of the stock. Wilmington Savings Fund Society FSB raised its holdings in Omnicom Group by 2.0% during the third quarter. Wilmington Savings Fund Society FSB now owns 7,330 shares of the business services provider's stock valued at $598,000 after buying an additional 145 shares in the last quarter. Leonard Rickey Investment Advisors P.L.L.C. raised its holdings in Omnicom Group by 4.1% during the fourth quarter. Leonard Rickey Investment Advisors P.L.L.C. now owns 3,775 shares of the business services provider's stock valued at $305,000 after buying an additional 147 shares in the last quarter. Deseret Mutual Benefit Administrators raised its holdings in Omnicom Group by 7.9% during the third quarter. Deseret Mutual Benefit Administrators now owns 2,031 shares of the business services provider's stock valued at $166,000 after buying an additional 149 shares in the last quarter. Impact Partnership Wealth LLC raised its holdings in Omnicom Group by 3.1% during the third quarter. Impact Partnership Wealth LLC now owns 4,923 shares of the business services provider's stock valued at $401,000 after buying an additional 150 shares in the last quarter. Finally, Geneos Wealth Management Inc. raised its holdings in Omnicom Group by 4.3% during the third quarter. Geneos Wealth Management Inc. now owns 3,746 shares of the business services provider's stock valued at $305,000 after buying an additional 156 shares in the last quarter. 91.97% of the stock is currently owned by institutional investors.

Omnicom Group Trading Down 0.1%

Shares of OMC opened at $74.80 on Friday. Omnicom Group Inc. has a 12-month low of $66.33 and a 12-month high of $87.17. The company has a quick ratio of 0.81, a current ratio of 0.93 and a debt-to-equity ratio of 0.60. The firm has a market capitalization of $21.32 billion, a price-to-earnings ratio of 152.66, a P/E/G ratio of 0.61 and a beta of 0.73. The stock's 50-day moving average price is $76.57 and its 200 day moving average price is $76.89.

Omnicom Group (NYSE:OMC - Get Free Report) last issued its quarterly earnings results on Wednesday, February 18th. The business services provider reported $2.59 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.94 by ($0.35). Omnicom Group had a negative net margin of 0.32% and a positive return on equity of 25.65%. The firm had revenue of $5.53 billion for the quarter, compared to the consensus estimate of $7.58 billion. During the same quarter in the prior year, the firm earned $2.41 earnings per share. The company's revenue was up 27.9% on a year-over-year basis. As a group, research analysts predict that Omnicom Group Inc. will post 8.25 earnings per share for the current year.

Omnicom Group Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, April 9th. Investors of record on Wednesday, March 11th were paid a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a yield of 4.3%. The ex-dividend date was Wednesday, March 11th. Omnicom Group's payout ratio is currently 653.06%.

Omnicom Group announced that its board has authorized a share repurchase plan on Wednesday, February 18th that authorizes the company to buyback $5.00 billion in outstanding shares. This buyback authorization authorizes the business services provider to purchase up to 38.1% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's management believes its shares are undervalued.

Analyst Upgrades and Downgrades

OMC has been the topic of several recent research reports. Weiss Ratings restated a "hold (c)" rating on shares of Omnicom Group in a report on Thursday, January 22nd. Barclays lifted their price objective on Omnicom Group from $82.00 to $90.00 and gave the stock an "equal weight" rating in a research note on Monday, February 23rd. UBS Group lifted their price objective on Omnicom Group from $108.00 to $114.00 and gave the stock a "buy" rating in a research note on Friday, March 20th. Morgan Stanley started coverage on Omnicom Group in a research note on Tuesday, December 16th. They issued an "equal weight" rating and a $88.00 price objective on the stock. Finally, Citigroup lifted their price objective on Omnicom Group from $103.00 to $115.00 and gave the stock a "buy" rating in a research note on Friday, February 20th. Four equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $95.86.

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.

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