Omnicom Group Stock Buy Hold or Sell Recommendation
| OMC Stock | USD 94.22 0.45 0.48% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Omnicom Group is 'Strong Hold'. Macroaxis provides Omnicom buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Omnicom positions. The advice algorithm takes into account all of Omnicom's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Omnicom's buy or sell advice are summarized below:
Real Value 91.61 | Target Price 91.18 | Hype Value 93.7 | Market Value 94.22 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Omnicom Group given historical horizon and risk tolerance towards Omnicom. When Macroaxis issues a 'buy' or 'sell' recommendation for Omnicom Group, the advice is generated through an automated system that utilizes algorithms and statistical models.
Omnicom |
Execute Omnicom Buy or Sell Advice
The Omnicom recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Omnicom Group. Macroaxis does not own or have any residual interests in Omnicom Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Omnicom's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Omnicom Trading Alerts and Improvement Suggestions
| The company has 6.5 B in debt with debt to equity (D/E) ratio of 1.75, which is OK given its current industry classification. Omnicom Group has a current ratio of 0.93, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Omnicom until it has trouble settling it off, either with new capital or with free cash flow. So, Omnicom's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Omnicom Group sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Omnicom to invest in growth at high rates of return. When we think about Omnicom's use of debt, we should always consider it together with cash and equity. | |
| Over 97.0% of Omnicom shares are owned by institutional investors | |
| On 9th of April 2024 Omnicom paid $ 0.7 per share dividend to its current shareholders | |
| Latest headline from finance.yahoo.com: Showdown on the Croisette Michael Kassan to Take on His Ex-Firm MediaLink at Cannes Lions |
Omnicom Returns Distribution Density
The distribution of Omnicom's historical returns is an attempt to chart the uncertainty of Omnicom's future price movements. The chart of the probability distribution of Omnicom daily returns describes the distribution of returns around its average expected value. We use Omnicom Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Omnicom returns is essential to provide solid investment advice for Omnicom.
| Mean Return | 0.12 | Value At Risk | -2.32 | Potential Upside | 2.20 | Standard Deviation | 1.26 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Omnicom historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Omnicom Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Omnicom is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Omnicom Group backward and forwards among themselves. Omnicom's institutional investor refers to the entity that pools money to purchase Omnicom's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Bank Of New York Mellon Corp | 2023-12-31 | 3 M | Capital Research Global Investors | 2023-12-31 | 3 M | Citadel Advisors Llc | 2023-09-30 | 2.9 M | Lazard Asset Management Llc | 2023-12-31 | 2.6 M | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 2.6 M | First Trust Advisors L.p. | 2023-12-31 | 2.6 M | Cooke & Bieler Lp | 2023-12-31 | 2.5 M | Baird Financial Group, Inc. | 2023-12-31 | 2.4 M | Northern Trust Corp | 2023-12-31 | 2.3 M | Vanguard Group Inc | 2023-12-31 | 23.2 M | Blackrock Inc | 2023-12-31 | 18.1 M |
Omnicom Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (99.8M) | 293M | (281.7M) | (197.9M) | (121.8M) | (115.7M) | |
| Change In Cash | 653.3M | 1.3B | (283.7M) | (1.0B) | 150.2M | 145.2M | |
| Free Cash Flow | 1.8B | 1.6B | 1.3B | 848.3M | 1.3B | 1.0B | |
| Depreciation | 231.5M | 222.6M | 212.1M | 219.4M | 211.1M | 223.7M | |
| Other Non Cash Items | 5.8M | 379.5M | 39.8M | 65.6M | 189.2M | 198.7M | |
| Dividends Paid | 548.5M | 564.3M | 562.7M | 592.3M | 581.1M | 285.0M | |
| Capital Expenditures | 102.2M | 75.4M | 665.8M | 78.2M | 78.4M | 74.5M | |
| Net Income | 1.4B | 1.0B | 1.5B | 1.4B | 1.5B | 833.4M | |
| End Period Cash Flow | 4.3B | 5.6B | 5.3B | 4.3B | 4.4B | 4.7B | |
| Change To Netincome | 78.3M | 458.4M | 74M | 76.1M | 87.5M | 94.2M | |
| Investments | 1.9M | 3.2M | 2.5M | (380.9M) | 134.6M | 141.3M |
Omnicom Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Omnicom or Media sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Omnicom's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Omnicom stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.02 | |
β | Beta against NYSE Composite | 1.06 | |
σ | Overall volatility | 1.28 | |
Ir | Information ratio | 0.02 |
Omnicom Volatility Alert
Omnicom Group has relatively low volatility with skewness of -0.36 and kurtosis of 0.5. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Omnicom's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Omnicom's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Omnicom Fundamentals Vs Peers
Comparing Omnicom's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Omnicom's direct or indirect competition across all of the common fundamentals between Omnicom and the related equities. This way, we can detect undervalued stocks with similar characteristics as Omnicom or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Omnicom's fundamental indicators could also be used in its relative valuation, which is a method of valuing Omnicom by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Omnicom to competition |
| Fundamentals | Omnicom | Peer Average |
| Return On Equity | 0.37 | -0.31 |
| Return On Asset | 0.0534 | -0.14 |
| Profit Margin | 0.1 % | (1.27) % |
| Operating Margin | 0.13 % | (5.51) % |
| Current Valuation | 23.27 B | 16.62 B |
| Shares Outstanding | 195.83 M | 571.82 M |
| Shares Owned By Insiders | 1.07 % | 10.09 % |
| Shares Owned By Institutions | 96.51 % | 39.21 % |
| Number Of Shares Shorted | 9.32 M | 4.71 M |
| Price To Earning | 12.73 X | 28.72 X |
| Price To Book | 4.94 X | 9.51 X |
| Price To Sales | 1.22 X | 11.42 X |
| Revenue | 14.69 B | 9.43 B |
| Gross Profit | 2.76 B | 27.38 B |
| EBITDA | 2.42 B | 3.9 B |
| Net Income | 1.47 B | 570.98 M |
| Cash And Equivalents | 4.28 B | 2.7 B |
| Cash Per Share | 16.15 X | 5.01 X |
| Total Debt | 6.5 B | 5.32 B |
| Debt To Equity | 1.75 % | 48.70 % |
| Current Ratio | 0.95 X | 2.16 X |
| Book Value Per Share | 18.23 X | 1.93 K |
| Cash Flow From Operations | 1.42 B | 971.22 M |
| Short Ratio | 5.03 X | 4.00 X |
| Earnings Per Share | 7.39 X | 3.12 X |
| Price To Earnings To Growth | 1.45 X | 4.89 X |
| Target Price | 106.6 | |
| Number Of Employees | 75.9 K | 18.84 K |
| Beta | 0.97 | -0.15 |
| Market Capitalization | 18.36 B | 19.03 B |
| Total Asset | 28.04 B | 29.47 B |
| Retained Earnings | 10.57 B | 9.33 B |
| Working Capital | (861.8 M) | 1.48 B |
Note: Disposition of 11425 shares by Louis Januzzi of Omnicom at 69.23 subject to Rule 16b-3 [view details]
Omnicom Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Omnicom . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 29457.83 | |||
| Daily Balance Of Power | 0.2308 | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 94.14 | |||
| Day Typical Price | 94.16 | |||
| Price Action Indicator | 0.31 | |||
| Period Momentum Indicator | 0.45 |
About Omnicom Buy or Sell Advice
When is the right time to buy or sell Omnicom Group? Buying financial instruments such as Omnicom Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 6.6B | 6.5B | 6.5B | 6.8B | Total Assets | 28.4B | 27.0B | 28.0B | 15.1B |
Use Investing Ideas to Build Portfolios
In addition to having Omnicom in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Online Gaming Theme or any other thematic opportunities.
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Check out Omnicom Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
Complementary Tools for Omnicom Stock analysis
When running Omnicom's price analysis, check to measure Omnicom's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Omnicom is operating at the current time. Most of Omnicom's value examination focuses on studying past and present price action to predict the probability of Omnicom's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Omnicom's price. Additionally, you may evaluate how the addition of Omnicom to your portfolios can decrease your overall portfolio volatility.
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Is Omnicom's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Omnicom. If investors know Omnicom will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Omnicom listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.432 | Dividend Share 2.8 | Earnings Share 7.39 | Revenue Per Share 75.025 | Quarterly Revenue Growth 0.054 |
The market value of Omnicom Group is measured differently than its book value, which is the value of Omnicom that is recorded on the company's balance sheet. Investors also form their own opinion of Omnicom's value that differs from its market value or its book value, called intrinsic value, which is Omnicom's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Omnicom's market value can be influenced by many factors that don't directly affect Omnicom's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Omnicom's value and its price as these two are different measures arrived at by different means. Investors typically determine if Omnicom is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Omnicom's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.