Omnicom Group (NYSE:OMC) Upgraded by Wells Fargo & Company to "Overweight" Rating

Key Points

• Wells Fargo & Company has upgraded Omnicom Group's stock rating from "equal weight" to "overweight," raising the target price to $91.00, suggesting a potential upside of 21.94% from its current stock price.
• Omnicom Group recently reported quarterly earnings of $2.05 EPS, exceeding analyst expectations, with revenues of $4.02 billion, reflecting a year-over-year increase of 4.2%.
• Institutional investors and hedge funds significantly increased their holdings in Omnicom Group, with 91.97% of the company's stock now owned by such entities, which indicates strong confidence in the company.

Omnicom Group (NYSE:OMC - Get Free Report) was upgraded by equities research analysts at Wells Fargo & Company from an "equal weight" rating to an "overweight" rating in a research report issued on Tuesday,Benzinga reports. The brokerage presently has a $91.00 target price on the business services provider's stock, up from their previous target price of $78.00. Wells Fargo & Company's target price would suggest a potential upside of 21.94% from the company's current price.

A number of other brokerages have also commented on OMC. Barclays lowered shares of Omnicom Group from an "overweight" rating to an "equal weight" rating and cut their price objective for the stock from $105.00 to $80.00 in a research report on Wednesday, June 25th. Bank of America upgraded shares of Omnicom Group from an "underperform" rating to a "neutral" rating and set a $80.00 target price on the stock in a report on Monday, June 23rd. Finally, JPMorgan Chase & Co. lowered their target price on shares of Omnicom Group from $104.00 to $96.00 and set an "overweight" rating on the stock in a report on Thursday, July 10th. Five investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $96.29.

Omnicom Group Stock Performance

Shares of OMC stock opened at $74.63 on Tuesday. The company's fifty day simple moving average is $75.64 and its 200-day simple moving average is $75.25. The company has a quick ratio of 0.80, a current ratio of 0.92 and a debt-to-equity ratio of 0.97. The firm has a market cap of $14.46 billion, a PE ratio of 10.71, a P/E/G ratio of 1.49 and a beta of 0.97. Omnicom Group has a 12 month low of $68.37 and a 12 month high of $107.00.

Omnicom Group (NYSE:OMC - Get Free Report) last announced its quarterly earnings data on Tuesday, July 15th. The business services provider reported $2.05 EPS for the quarter, topping analysts' consensus estimates of $2.02 by $0.03. The business had revenue of $4.02 billion for the quarter, compared to analyst estimates of $3.95 billion. Omnicom Group had a net margin of 8.67% and a return on equity of 33.62%. The firm's revenue for the quarter was up 4.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.95 earnings per share. Equities research analysts expect that Omnicom Group will post 8.25 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in OMC. Merit Financial Group LLC increased its position in Omnicom Group by 157.9% during the 1st quarter. Merit Financial Group LLC now owns 7,661 shares of the business services provider's stock valued at $635,000 after purchasing an additional 4,690 shares during the period. Golden State Wealth Management LLC grew its position in shares of Omnicom Group by 230.2% during the 1st quarter. Golden State Wealth Management LLC now owns 492 shares of the business services provider's stock worth $41,000 after buying an additional 343 shares during the period. Goldman Sachs Group Inc. lifted its holdings in shares of Omnicom Group by 42.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,965,974 shares of the business services provider's stock worth $245,909,000 after purchasing an additional 887,415 shares in the last quarter. Fifth Third Bancorp lifted its holdings in shares of Omnicom Group by 13.9% in the 1st quarter. Fifth Third Bancorp now owns 7,459 shares of the business services provider's stock worth $618,000 after purchasing an additional 913 shares in the last quarter. Finally, Oppenheimer & Co. Inc. bought a new position in Omnicom Group during the 1st quarter valued at $1,357,000. Institutional investors and hedge funds own 91.97% of the company's stock.

Omnicom Group Company Profile

Omnicom Group Inc, together with its subsidiaries, offers advertising, marketing, and corporate communications services. It provides a range of services in the areas of advertising and media, precision marketing, commerce and branding, experiential, execution and support, public relations, and healthcare.

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