Norges Bank Makes New Investment in Omnicom Group Inc. $OMC

Norges Bank purchased a new position in Omnicom Group Inc. (NYSE:OMC) in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 1,737,069 shares of the business services provider’s stock, valued at approximately $140,268,000.

A number of other large investors have also modified their holdings of the stock. Leonard Rickey Investment Advisors P.L.L.C. boosted its holdings in Omnicom Group by 4.1% in the fourth quarter. Leonard Rickey Investment Advisors P.L.L.C. now owns 3,775 shares of the business services provider’s stock valued at $305,000 after purchasing an additional 147 shares during the period. Wakefield Asset Management LLLP increased its holdings in Omnicom Group by 2.6% during the 4th quarter. Wakefield Asset Management LLLP now owns 5,910 shares of the business services provider’s stock worth $477,000 after purchasing an additional 149 shares during the period. Hartford Financial Management Inc. increased its holdings in Omnicom Group by 27.0% during the 4th quarter. Hartford Financial Management Inc. now owns 762 shares of the business services provider’s stock worth $62,000 after purchasing an additional 162 shares during the period. Blake Schutter Theil Wealth Advisors LLC raised its position in Omnicom Group by 3.5% in the 4th quarter. Blake Schutter Theil Wealth Advisors LLC now owns 4,897 shares of the business services provider’s stock valued at $395,000 after purchasing an additional 167 shares in the last quarter. Finally, Binnacle Investments Inc boosted its stake in shares of Omnicom Group by 17.7% in the 2nd quarter. Binnacle Investments Inc now owns 1,124 shares of the business services provider’s stock valued at $81,000 after buying an additional 169 shares during the period. Hedge funds and other institutional investors own 91.97% of the company’s stock.

Omnicom Group Stock Up 2.5%

Omnicom Group stock opened at $75.62 on Friday. The company has a market capitalization of $21.55 billion, a P/E ratio of 193.90, a PEG ratio of 0.44 and a beta of 0.63. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.77 and a current ratio of 0.91. Omnicom Group Inc. has a fifty-two week low of $66.33 and a fifty-two week high of $87.17. The stock has a 50-day simple moving average of $75.46 and a 200-day simple moving average of $76.57.

Omnicom Group (NYSE:OMC) last released its quarterly earnings results on Wednesday, April 29th. The business services provider reported $1.90 EPS for the quarter, topping the consensus estimate of $1.84 by $0.06. Omnicom Group had a return on equity of 24.48% and a net margin of 0.32%.The company had revenue of $6.24 billion for the quarter, compared to analyst estimates of $5.85 billion. During the same quarter in the previous year, the company posted $1.70 earnings per share. The firm’s revenue was up 69.2% compared to the same quarter last year. Equities research analysts expect that Omnicom Group Inc. will post 10.97 earnings per share for the current year.

Omnicom Group announced that its Board of Directors has authorized 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 reacquire up to 38.1% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s board of directors believes its shares are undervalued.

Omnicom Group Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Wednesday, June 10th will be issued a $0.80 dividend. This represents a $3.20 dividend on an annualized basis and a dividend yield of 4.2%. The ex-dividend date of this dividend is Wednesday, June 10th. Omnicom Group’s payout ratio is presently 820.51%.

Analyst Upgrades and Downgrades

OMC has been the subject of a number of analyst reports. Weiss Ratings reissued a “hold (c-)” rating on shares of Omnicom Group in a research report on Friday, May 22nd. Rothschild & Co Redburn assumed coverage on shares of Omnicom Group in a report on Thursday, May 28th. They issued a “neutral” rating and a $89.00 target price on the stock. UBS Group lifted their price target on shares of Omnicom Group from $108.00 to $114.00 and gave the stock a “buy” rating in a research note on Friday, March 20th. The Goldman Sachs Group started coverage on shares of Omnicom Group in a report on Wednesday. They set a “buy” rating and a $146.00 price target for the company. Finally, Morgan Stanley increased their price objective on shares of Omnicom Group from $82.00 to $83.00 and gave the company an “equal weight” rating in a research report on Friday, May 1st. Five research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $99.00.

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.