UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC Sells 356,136 Shares of Omnicom Group Inc. $OMC

Key Points

• UBS Asset Management reduced its Omnicom Group stake by 17.5%, selling 356,136 shares in the second quarter and retaining 1.68 million shares valued at approximately $122.5 million. Institutional investors collectively own 91.97% of the company.
• Analyst sentiment is mixed, with four Buy, five Hold and two Sell ratings, resulting in a consensus Hold rating and an average price target of $99. Omnicom shares opened at $85.93, down 1.8%.
• Omnicom reported quarterly revenue of $6.56 billion, exceeding estimates, though earnings per share of $2.65 fell slightly short of expectations. The company declared a quarterly dividend of $0.80, implying a 3.7% yield, despite a high 275.86% payout ratio.

UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC cut its holdings in Omnicom Group Inc. (NYSE:OMC - Free Report) by 17.5% in the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 1,681,326 shares of the business services provider's stock after selling 356,136 shares during the quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC owned 0.61% of Omnicom Group worth $122,451,000 at the end of the most recent quarter.

Other large investors also recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Omnicom Group during the second quarter worth approximately $2,082,476,000. Bank of New York Mellon Corp bought a new stake in shares of Omnicom Group in the 2nd quarter valued at approximately $914,156,000. State Street Corp boosted its holdings in shares of Omnicom Group by 40.4% in the 4th quarter. State Street Corp now owns 23,676,768 shares of the business services provider's stock worth $1,933,891,000 after purchasing an additional 6,813,441 shares during the period. Wellington Management Group LLP increased its position in shares of Omnicom Group by 522.9% during the 4th quarter. Wellington Management Group LLP now owns 5,199,477 shares of the business services provider's stock valued at $419,858,000 after purchasing an additional 4,364,797 shares during the last quarter. Finally, Geode Capital Management LLC increased its position in shares of Omnicom Group by 57.1% during the 4th quarter. Geode Capital Management LLC now owns 8,578,075 shares of the business services provider's stock valued at $690,327,000 after purchasing an additional 3,117,188 shares during the last quarter. Institutional investors own 91.97% of the company's stock.

Insider Activity

In related news, Director Linda Johnson Rice sold 1,385 shares of Omnicom Group stock in a transaction that occurred 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 $1,039,826.87. This trade represents a 10.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Corporate insiders own 1.20% of the company's stock.

Analyst Ratings Changes

OMC has been the subject of several analyst reports. Wells Fargo & Company raised their target price on shares of Omnicom Group from $91.00 to $93.00 and gave the stock an "overweight" rating in a report on Thursday, July 30th. Citigroup dropped their target price on Omnicom Group from $105.00 to $100.00 and set a "buy" rating for the company in a research report on Thursday, July 30th. Rothschild & Co Redburn assumed coverage on Omnicom Group in a research note on Thursday, May 28th. They set a "neutral" rating and a $89.00 target price on the stock. Zacks Research lowered Omnicom Group from a "hold" rating to a "strong sell" rating in a research note on Thursday, July 30th. Finally, The Goldman Sachs Group initiated coverage on Omnicom Group in a research report on Wednesday, June 3rd. They issued a "buy" rating and a $146.00 price objective on the stock. Four analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $99.00.

Omnicom Group Trading Down 1.8%

Shares of NYSE OMC opened at $85.93 on Wednesday. Omnicom Group Inc. has a twelve month low of $66.33 and a twelve month high of $89.57. The firm has a market cap of $23.57 billion, a PE ratio of 74.08, a price-to-earnings-growth ratio of 0.58 and a beta of 0.65. The business has a fifty day simple moving average of $82.27 and a two-hundred day simple moving average of $78.46. The company has a quick ratio of 0.78, a current ratio of 0.92 and a debt-to-equity ratio of 0.97.

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

Omnicom Group Announces Dividend

The firm 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 $0.80 dividend. This represents a $3.20 annualized dividend and a dividend yield of 3.7%. The ex-dividend date of this dividend is Friday, September 18th. Omnicom Group's dividend payout ratio is presently 275.86%.

Omnicom Group 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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