Zurcher Kantonalbank Zurich Cantonalbank Buys 575,429 Shares of Omnicom Group Inc. $OMC

Key Points

• Zurcher Kantonalbank boosted its stake in Omnicom by 1,031.6% in Q4, buying an additional 575,429 shares to hold 631,210 shares (about 0.33% of the company) worth roughly $50.97 million.
• Omnicom recently approved a $5.0 billion share buyback (up to 38.1% of shares), pays a quarterly dividend of $0.80 (4.1% yield), but posted a Q to Q EPS miss of $2.59 vs. $2.94 consensus and revenue below estimates.

Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Omnicom Group Inc. (NYSE:OMC - Free Report) by 1,031.6% in the 4th quarter, according to the company in its most recent filing with the SEC. The fund owned 631,210 shares of the business services provider's stock after purchasing an additional 575,429 shares during the quarter. Zurcher Kantonalbank Zurich Cantonalbank owned approximately 0.33% of Omnicom Group worth $50,970,000 at the end of the most recent reporting period.

A number of other large investors have also recently added to or reduced their stakes in OMC. Bayforest Capital Ltd bought a new position in shares of Omnicom Group in the fourth quarter valued at approximately $26,000. Cornerstone Planning Group LLC boosted its holdings in shares of Omnicom Group by 2,126.7% during the 3rd quarter. Cornerstone Planning Group LLC now owns 334 shares of the business services provider's stock worth $27,000 after buying an additional 319 shares during the period. Meeder Asset Management Inc. grew its stake in Omnicom Group by 289.4% in the 3rd quarter. Meeder Asset Management Inc. now owns 366 shares of the business services provider's stock valued at $30,000 after buying an additional 272 shares during the last quarter. Flagship Harbor Advisors LLC acquired a new position in Omnicom Group in the 4th quarter valued at $32,000. Finally, Westside Investment Management Inc. raised its holdings in Omnicom Group by 100.0% in the 3rd quarter. Westside Investment Management Inc. now owns 404 shares of the business services provider's stock worth $31,000 after acquiring an additional 202 shares during the period. Institutional investors own 91.97% of the company's stock.

Analyst Ratings Changes

OMC has been the subject of a number of recent analyst reports. Bank of America restated an "underperform" rating and set a $77.00 price target (down from $87.00) on shares of Omnicom Group in a report on Monday, January 5th. 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 boosted their price objective on Omnicom Group from $108.00 to $114.00 and gave the stock a "buy" rating in a research report on Friday, March 20th. Weiss Ratings restated a "hold (c)" rating on shares of Omnicom Group in a research note on Thursday, January 22nd. Finally, Argus raised Omnicom Group to a "hold" rating in a report on Thursday, March 26th. Four investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $95.86.

Omnicom Group Price Performance

Shares of Omnicom Group stock opened at $78.55 on Tuesday. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.93 and a quick ratio of 0.81. Omnicom Group Inc. has a fifty-two week low of $66.33 and a fifty-two week high of $87.17. The firm has a fifty day moving average price of $77.43 and a two-hundred day moving average price of $76.88. The company has a market cap of $22.38 billion, a PE ratio of 160.30, a price-to-earnings-growth ratio of 0.60 and a beta of 0.73.

Omnicom Group (NYSE:OMC - Get Free Report) last posted its quarterly earnings data 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). The company had revenue of $5.53 billion for the quarter, compared to the consensus estimate of $7.58 billion. Omnicom Group had a positive return on equity of 25.65% and a negative net margin of 0.32%.The business's revenue for the quarter was up 27.9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.41 EPS. Analysts expect that Omnicom Group Inc. will post 10.92 EPS for the current year.

Omnicom Group announced that its Board of Directors has approved a share buyback program on Wednesday, February 18th that permits the company to repurchase $5.00 billion in shares. This repurchase authorization permits the business services provider to buy up to 38.1% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company's management believes its shares are undervalued.

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 4.1%. The ex-dividend date was Wednesday, March 11th. Omnicom Group's payout ratio is currently 653.06%.

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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