Omnicom Piotroski F Score

OMC
 Stock
  

USD 79.76  1.00  1.27%   

This module uses fundamental data of Omnicom to approximate its Piotroski F score. Omnicom F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of Omnicom Group. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about Omnicom financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Please check Omnicom Altman Z Score, Omnicom Correlation, Omnicom Valuation, as well as analyze Omnicom Alpha and Beta and Omnicom Hype Analysis.
  
Omnicom Debt Current is projected to increase significantly based on the last few years of reporting. The past year's Debt Current was at 704.38 Million. The current year Issuance Repayment of Debt Securities is expected to grow to about 235.3 M, whereas Total Debt is forecasted to decline to about 6.5 B. Omnicom Interest Coverage is projected to slightly decrease based on the last few years of reporting. The past year's Interest Coverage was at 10.51. The current year Calculated Tax Rate is expected to grow to 30.83, whereas Long Term Debt to Equity is forecasted to decline to 1.56.
At this time, it appears that Omnicom's Piotroski F Score is Healthy. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
5.0
Piotroski F Score - Healthy
1
Current Return On AssetsPositiveFocus
2
Change in Return on AssetsDecreasedFocus
3
Cash Flow Return on AssetsPositiveFocus
4
Current Quality of Earnings (accrual)DecreasingFocus
5
Asset Turnover GrowthIncreaseFocus
6
Current Ratio ChangeDecreaseFocus
7
Long Term Debt Over Assets ChangeLower LeverageFocus
8
Change In Outstending SharesIncreaseFocus
9
Change in Gross MarginIncreaseFocus

Omnicom Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to Omnicom is to make sure Omnicom is not a subject of accounting manipulations and runs a healthy internal audit department. So, if Omnicom's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if Omnicom's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Weighted Average Shares Diluted256.8 M215.6 M
Fairly Up
Decreasing
Slightly volatile
Weighted Average Shares255.1 M214.3 M
Fairly Up
Decreasing
Slightly volatile
Return on Average Assets4.645.0217
Significantly Down
Increasing
Very volatile
Net Cash Flow from Operations1.8 B1.9 B
Moderately Down
Increasing
Slightly volatile
Current Liabilities14.3 B16.2 B
Fairly Down
Increasing
Slightly volatile
Total Liabilities21.9 B25.2 B
Fairly Down
Increasing
Slightly volatile
Gross Margin23.2219.5229
Fairly Up
Decreasing
Slightly volatile
Total Debt6.5 B7.4 B
Fairly Down
Increasing
Slightly volatile
Asset Turnover0.630.5097
Fairly Up
Decreasing
Slightly volatile
Current Assets13.8 B15.9 B
Fairly Down
Increasing
Slightly volatile
Total Assets24.9 B28.4 B
Fairly Down
Increasing
Slightly volatile

Omnicom Group F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between Omnicom's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Omnicom in a much-optimized way.

About Omnicom Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Weighted Average Shares

255.13 Million

Omnicom Weighted Average Shares is projected to decrease significantly based on the last few years of reporting. The past year's Weighted Average Shares was at 214.3 Million

Omnicom Current Valuation Drivers

We derive many important indicators used in calculating different scores of Omnicom from analyzing Omnicom's financial statements. These drivers represent accounts that assess Omnicom's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Omnicom's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee14.08 K18.84 K19.13 K14.71 K19.64 K16.81 K
Revenue Per Employee197.59 K217.19 K213.62 K204.92 K199.29 K190.1 K
Average Assets21.64 B22.88 B23.2 B25.17 B28.95 B27.61 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA2.34 B2.4 B2.21 B1.68 B2.28 B2.09 B
Earnings Before Interest Taxes and Depreciation Amortization USD2.27 B2.32 B2.35 B2.32 B2.67 B2.63 B
Earnings before Tax1.75 B1.78 B1.82 B1.84 B2.12 B2.07 B
Average Equity2.29 B2.38 B2.47 B2.54 B2.28 B2.44 B
Enterprise Value23.17 B19.91 B19.18 B21.6 B24.83 B24.35 B
Free Cash Flow1.79 B1.87 B1.53 B1.75 B2.02 B1.96 B
Invested Capital1.7 B1.25 B819.1 M3.14 B3.61 B2.9 B
Invested Capital Average2.48 B2.32 B1.97 B3.97 B4.57 B3.78 B
Market Capitalization20.08 B16.79 B16.41 B17.64 B20.29 B20.34 B
Tangible Asset Value13.76 B15.23 B14.85 B17 B19.56 B18.1 B
Working Capital(1.29 B)(992.9 M)(1.54 B)(1.4 B)(1.26 B)(1.36 B)

Omnicom ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Omnicom's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Omnicom's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

About Omnicom Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Omnicom Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Omnicom using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Omnicom Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Omnicom Group Inc., together with its subsidiaries, provides advertising, marketing, and corporate communications services. The company was incorporated in 1944 and is based in New York, New York. Omnicom operates under Advertising Agencies classification in the United States and is traded on New York Stock Exchange. It employs 71700 people.

Omnicom Investors Sentiment

The influence of Omnicom's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Omnicom. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.
Investor biases related to Omnicom's public news can be used to forecast risks associated with investment in Omnicom. The trend in average sentiment can be used to explain how an investor holding Omnicom can time the market purely based on public headlines and social activities around Omnicom Group. Please note that most equiteis that are difficult to arbitrage are affected by market sentiment the most.
Omnicom's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Omnicom's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Omnicom's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Omnicom.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Omnicom in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Omnicom's short interest history, or implied volatility extrapolated from Omnicom options trading.

Becoming a Better Investor with Macroaxis

Macroaxis puts the power of mathematics on your side. We analyze your portfolios and positions such as Omnicom Group using complex mathematical models and algorithms, but make them easy to understand. There is no real person involved in your portfolio analysis. We perform a number of calculations to compute absolute and relative portfolio volatility, correlation between your assets, value at risk, expected return as well as over 100 different fundamental and technical indicators.

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Please check Omnicom Altman Z Score, Omnicom Correlation, Omnicom Valuation, as well as analyze Omnicom Alpha and Beta and Omnicom Hype Analysis. You can also try Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.

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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 YOY
0.073
Market Capitalization
15.9 B
Quarterly Revenue Growth YOY
0.002
Return On Assets
0.0538
Return On Equity
0.36
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 Omnicom value 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.