The Manufacturers Life Insurance Company Trims Stake in Omnicom Group Inc. $OMC

Key Points

• The Manufacturers Life Insurance Company cut its Omnicom stake by 33% in the second quarter, selling 137,851 shares and retaining 280,459 shares valued at approximately $20.4 million. Institutional investors collectively own 91.97% of OMC.
• Omnicom reported quarterly revenue of $6.56 billion, up 63.4% year over year and above estimates, but earnings per share of $2.65 slightly missed expectations. The stock opened at $79.00, down 0.6%.
• The company declared a quarterly dividend of $0.80, representing a $3.20 annualized payout and a 4.1% yield. Analysts maintain a consensus “Hold” rating with an average price target of $99.00.

The Manufacturers Life Insurance Company lessened its holdings in Omnicom Group Inc. (NYSE:OMC - Free Report) by 33.0% during the second quarter, according to its most recent disclosure with the SEC. The institutional investor owned 280,459 shares of the business services provider's stock after selling 137,851 shares during the period. The Manufacturers Life Insurance Company owned 0.10% of Omnicom Group worth $20,426,000 as of its most recent SEC filing.

Several other large investors also recently added to or reduced their stakes in OMC. Pure Financial Advisors LLC raised 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 valued at $325,000 after acquiring an additional 135 shares in the last quarter. Tranquilli Financial Advisor LLC grew its holdings in shares of Omnicom Group by 2.0% during the second quarter. Tranquilli Financial Advisor LLC now owns 7,610 shares of the business services provider's stock worth $554,000 after purchasing an additional 148 shares in the last quarter. Wakefield Asset Management LLLP grew its holdings in shares of Omnicom Group by 2.6% during the fourth quarter. Wakefield Asset Management LLLP now owns 5,910 shares of the business services provider's stock worth $477,000 after purchasing an additional 149 shares in the last quarter. Caldwell Trust Co increased its position in shares of Omnicom Group by 29.0% in the first quarter. Caldwell Trust Co now owns 662 shares of the business services provider's stock worth $50,000 after purchasing an additional 149 shares during the last quarter. Finally, SJS Investment Consulting Inc. increased its position in shares of Omnicom Group by 39.1% in the first quarter. SJS Investment Consulting Inc. now owns 544 shares of the business services provider's stock worth $41,000 after purchasing an additional 153 shares during the last quarter. Institutional investors own 91.97% of the company's stock.

Omnicom Group Stock Down 0.6%

NYSE OMC opened at $79.00 on Friday. Omnicom Group Inc. has a 1 year low of $66.33 and a 1 year high of $89.57. The stock has a market capitalization of $21.67 billion, a PE ratio of 68.10, a PEG ratio of 0.68 and a beta of 0.65. The company has a debt-to-equity ratio of 0.97, a current ratio of 0.92 and a quick ratio of 0.78. The business's 50-day moving average is $83.24 and its 200 day moving average is $78.90.

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

Omnicom Group Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Investors of record on Friday, September 18th will be issued a $0.80 dividend. The ex-dividend date is Friday, September 18th. This represents a $3.20 annualized dividend and a yield of 4.1%. Omnicom Group's payout ratio is 275.86%.

Wall Street Analyst Weigh In

OMC has been the subject of several research analyst reports. Zacks Research lowered shares of Omnicom Group from a "hold" rating to a "strong sell" rating in a research report on Thursday, July 30th. The Goldman Sachs Group started coverage on shares of Omnicom Group in a report on Wednesday, June 3rd. They issued a "buy" rating and a $146.00 price target on the stock. Weiss Ratings upgraded shares of Omnicom Group from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, July 30th. Rothschild & Co Redburn initiated coverage on shares of Omnicom Group in a report on Thursday, May 28th. They set a "neutral" rating and a $89.00 price objective for the company. Finally, Wells Fargo & Company upped their target price on shares of Omnicom Group from $91.00 to $93.00 and gave the stock an "overweight" rating in a research report on Thursday, July 30th. Four analysts have rated the stock with a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average price target of $99.00.

Insiders Place Their Bets

In other Omnicom Group news, Director Linda Rice sold 1,385 shares of the business's stock in a transaction on Monday, August 24th. The shares were sold at an average price of $88.73, for a total transaction of $122,891.05. Following the transaction, the director directly 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 position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.20% of the stock is currently owned by company insiders.

Omnicom Group Profile

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.

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