Brokerages Set Omnicom Group Inc. (NYSE:OMC) Target Price at $92.57

Shares of Omnicom Group Inc. (NYSE:OMC) have been given an average recommendation of “Hold” by the nine ratings firms that are currently covering the stock, MarketBeat Ratings reports. Five research analysts have rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average 12-month target price among brokers that have issued ratings on the stock in the last year is $92.5714.

A number of analysts have recently weighed in on OMC shares. Wells Fargo & Company raised Omnicom Group from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $78.00 to $91.00 in a research note on Tuesday, September 23rd. Weiss Ratings reiterated a “hold (c)” rating on shares of Omnicom Group in a report on Wednesday, October 8th. Morgan Stanley began coverage on shares of Omnicom Group in a report on Tuesday, December 16th. They issued an “equal weight” rating and a $88.00 price target on the stock. Barclays upped their price objective on shares of Omnicom Group from $80.00 to $82.00 and gave the company an “equal weight” rating in a research note on Thursday, October 23rd. Finally, UBS Group increased their target price on shares of Omnicom Group from $99.00 to $108.00 and gave the stock a “buy” rating in a report on Friday, December 5th.

Omnicom Group Stock Up 1.6%

Shares of NYSE:OMC opened at $79.95 on Tuesday. The stock has a market capitalization of $15.43 billion, a P/E ratio of 11.81, a price-to-earnings-growth ratio of 1.27 and a beta of 0.75. The stock’s 50-day moving average price is $75.66 and its 200-day moving average price is $75.30. The company has a current ratio of 0.92, a quick ratio of 0.80 and a debt-to-equity ratio of 0.95. Omnicom Group has a 12-month low of $68.37 and a 12-month high of $89.35.

Omnicom Group (NYSE:OMC) last released its earnings results on Tuesday, October 21st. The business services provider reported $2.24 earnings per share for the quarter, beating analysts’ consensus estimates of $2.17 by $0.07. Omnicom Group had a return on equity of 33.30% and a net margin of 8.31%.The company had revenue of $4.04 billion during the quarter, compared to analyst estimates of $4.02 billion. During the same quarter in the previous year, the company posted $2.03 EPS. Omnicom Group’s revenue for the quarter was up 4.0% on a year-over-year basis. On average, equities analysts anticipate that Omnicom Group will post 8.25 earnings per share for the current year.

Omnicom Group Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, January 9th. Stockholders of record on Friday, December 19th will be given a $0.80 dividend. The ex-dividend date is Friday, December 19th. This represents a $3.20 dividend on an annualized basis and a dividend yield of 4.0%. This is an increase from Omnicom Group’s previous quarterly dividend of $0.70. Omnicom Group’s dividend payout ratio is 47.27%.

Institutional Trading of Omnicom Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in OMC. AIA Group Ltd purchased a new position in Omnicom Group during the 3rd quarter valued at $1,376,000. Hudson Bay Capital Management LP bought a new stake in shares of Omnicom Group during the 3rd quarter valued at about $213,000. Severin Investments LLC purchased a new position in shares of Omnicom Group during the third quarter valued at about $227,000. Allworth Financial LP raised its stake in Omnicom Group by 19.7% in the third quarter. Allworth Financial LP now owns 3,373 shares of the business services provider’s stock worth $275,000 after buying an additional 554 shares in the last quarter. Finally, Groupama Asset Managment bought a new position in Omnicom Group in the third quarter worth about $284,000. Hedge funds and other institutional investors own 91.97% of the company’s stock.

About Omnicom Group

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.