Omnicom Group Inc. $OMC Shares Purchased by Swedbank AB

Key Points

• Swedbank AB boosted its Omnicom Group stake by 53.1% in the fourth quarter, ending with 96,528 shares valued at about $7.8 million. Overall, institutional investors and hedge funds own 91.97% of the company.
• Omnicom recently posted better-than-expected earnings, reporting $1.90 EPS versus estimates of $1.84 on revenue of $6.24 billion, also ahead of forecasts. Analysts currently have a consensus rating of Hold with an average price target of $93.71.
• The company announced a quarterly dividend of $0.80 per share, or $3.20 annually, implying a 4.2% yield. Omnicom also authorized a $5 billion share repurchase program, signaling confidence in its stock.

Swedbank AB increased its position in shares of Omnicom Group Inc. (NYSE:OMC - Free Report) by 53.1% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 96,528 shares of the business services provider's stock after purchasing an additional 33,489 shares during the period. Swedbank AB owned 0.05% of Omnicom Group worth $7,795,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently modified their holdings of the company. Activest Wealth Management boosted its stake in Omnicom Group by 2,960.0% in the fourth quarter. Activest Wealth Management now owns 306 shares of the business services provider's stock valued at $25,000 after acquiring an additional 296 shares in the last quarter. Bayforest Capital Ltd acquired a new position in Omnicom Group in the fourth quarter valued at $26,000. Cornerstone Planning Group LLC boosted its stake in Omnicom Group by 2,126.7% in 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. Meeder Asset Management Inc. boosted its stake in Omnicom Group by 289.4% in the third quarter. Meeder Asset Management Inc. now owns 366 shares of the business services provider's stock valued at $30,000 after acquiring an additional 272 shares in the last quarter. Finally, Westside Investment Management Inc. boosted its stake in Omnicom Group by 100.0% in the third quarter. Westside Investment Management Inc. now owns 404 shares of the business services provider's stock valued at $31,000 after acquiring an additional 202 shares in the last quarter. Institutional investors and hedge funds own 91.97% of the company's stock.

Analyst Ratings Changes

Several equities analysts have issued reports on the stock. UBS Group upped their price objective 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. Weiss Ratings restated a "hold (c)" rating on shares of Omnicom Group in a research note on Thursday, January 22nd. Citigroup decreased their price objective 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. Morgan Stanley upped their price objective 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. Finally, Argus upgraded shares of Omnicom Group to a "hold" rating in a research note on Thursday, March 26th. Four investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $93.71.

Omnicom Group Price Performance

Shares of NYSE:OMC opened at $77.04 on Friday. The company has a 50-day simple moving average of $78.07 and a 200-day simple moving average of $76.78. Omnicom Group Inc. has a one year low of $66.33 and a one year high of $87.17. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.77 and a current ratio of 0.91. The stock has a market capitalization of $21.96 billion, a price-to-earnings ratio of 197.55, a PEG ratio of 0.46 and a beta of 0.66.

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

Omnicom Group Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Wednesday, June 10th will be issued a $0.80 dividend. This represents a $3.20 dividend on an annualized basis and a dividend yield of 4.2%. The ex-dividend date of this dividend is Wednesday, June 10th. Omnicom Group's dividend payout ratio is presently 820.51%.

Omnicom Group declared that its board has initiated a stock repurchase program on Wednesday, February 18th that permits the company to buyback $5.00 billion in shares. This buyback authorization permits the business services provider to purchase up to 38.1% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's leadership believes its stock is 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.

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