Delta Global Management LP Decreases Stake in Omnicom Group Inc. $OMC

Delta Global Management LP cut its position in shares of Omnicom Group Inc. (NYSE:OMC) by 86.3% in the third quarter, Holdings Channel.com reports. The institutional investor owned 4,471 shares of the business services provider’s stock after selling 28,226 shares during the period. Delta Global Management LP’s holdings in Omnicom Group were worth $365,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in the company. First Eagle Investment Management LLC purchased a new position in shares of Omnicom Group in the third quarter valued at $515,145,000. JPMorgan Chase & Co. raised its stake in Omnicom Group by 117.9% during the second quarter. JPMorgan Chase & Co. now owns 6,213,705 shares of the business services provider’s stock valued at $447,017,000 after purchasing an additional 3,362,411 shares in the last quarter. Bank of New York Mellon Corp lifted its position in Omnicom Group by 73.6% during the third quarter. Bank of New York Mellon Corp now owns 6,652,469 shares of the business services provider’s stock valued at $542,376,000 after purchasing an additional 2,820,553 shares during the last quarter. Charles Schwab Investment Management Inc. grew its stake in shares of Omnicom Group by 38.5% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 4,514,628 shares of the business services provider’s stock worth $324,782,000 after buying an additional 1,255,197 shares in the last quarter. Finally, Qube Research & Technologies Ltd purchased a new position in shares of Omnicom Group in the 2nd quarter worth $67,048,000. Institutional investors own 91.97% of the company’s stock.

Omnicom Group Trading Up 1.1%

Shares of OMC opened at $78.66 on Tuesday. The company’s fifty day simple moving average is $77.77 and its 200-day simple moving average is $77.11. The company has a market cap of $24.41 billion, a P/E ratio of 160.52, a P/E/G ratio of 0.75 and a beta of 0.71. The company has a current ratio of 0.93, a quick ratio of 0.81 and a debt-to-equity ratio of 0.60. Omnicom Group Inc. has a twelve month low of $66.33 and a twelve month high of $87.17.

Omnicom Group (NYSE:OMC) last released its quarterly earnings results on Wednesday, February 18th. The business services provider reported $2.59 EPS for the quarter, missing analysts’ consensus estimates of $2.94 by ($0.35). The firm had revenue of $5.53 billion for the quarter, compared to analysts’ expectations of $7.58 billion. Omnicom Group had a positive return on equity of 25.65% and a negative net margin of 0.32%.Omnicom Group’s revenue for the quarter was up 27.9% on a year-over-year basis. During the same period in the prior year, the firm posted $2.41 earnings per share. As a group, analysts expect that Omnicom Group Inc. will post 8.25 EPS for the current year.

Omnicom Group announced that its Board of Directors has initiated a share buyback program on Wednesday, February 18th that allows the company to buyback $5.00 billion in shares. This buyback authorization allows the business services provider to repurchase up to 38.1% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Omnicom Group Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, April 9th. Shareholders of record on Wednesday, March 11th will be given a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a dividend yield of 4.1%. The ex-dividend date is Wednesday, March 11th. Omnicom Group’s payout ratio is 653.06%.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on the stock. UBS Group upped their target price on shares of Omnicom Group from $99.00 to $108.00 and gave the company a “buy” rating in a research report on Friday, December 5th. Morgan Stanley began coverage on Omnicom Group in a research report on Tuesday, December 16th. They issued an “equal weight” rating and a $88.00 price target for the company. Bank of America reissued an “underperform” rating and set a $77.00 price objective (down from $87.00) on shares of Omnicom Group in a research note on Monday, January 5th. Barclays upped their price objective on Omnicom Group from $82.00 to $90.00 and gave the company an “equal weight” rating in a research report on Monday, February 23rd. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Omnicom Group in a research note on Thursday, January 22nd. Four research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Omnicom Group has an average rating of “Hold” and an average target price of $95.00.

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.