Omnicom Valuation
| OMC Stock | USD 101.94 2.86 2.89% |
At this time, the company appears to be overvalued. Omnicom Group holds a recent Real Value of $96.37 per share. The prevailing price of the company is $101.94. Our model determines the value of Omnicom Group from analyzing the company fundamentals such as Return On Equity of 0.34, shares outstanding of 195.09 M, and Operating Margin of 0.15 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Omnicom's valuation include:
Price Book 4.892 | Enterprise Value 23.6 B | Enterprise Value Ebitda 9.1743 | Price Sales 1.2529 | Forward PE 11.6144 |
Overvalued
Today
Please note that Omnicom's price fluctuation is very steady at this time. Calculation of the real value of Omnicom Group is based on 3 months time horizon. Increasing Omnicom's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Omnicom is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Omnicom Stock. However, Omnicom's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 101.94 | Real 96.37 | Target 91.18 | Hype 101.94 | Naive 97.19 |
The real value of Omnicom Stock, also known as its intrinsic value, is the underlying worth of Omnicom Group Company, which is reflected in its stock price. It is based on Omnicom's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Omnicom's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Omnicom Group helps investors to forecast how Omnicom stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Omnicom more accurately as focusing exclusively on Omnicom's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Omnicom's intrinsic value based on its ongoing forecasts of Omnicom's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Omnicom's closest peers. If more than one evaluation category is relevant for Omnicom we suggest using both methods to arrive at a better estimate.
Omnicom Cash |
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Omnicom Valuation Trend
Comparing Omnicom's enterprise value against its market capitalization is a good way to estimate the value of Omnicom Group uage its performance over time. This information may sometimes be enough for investors to make reasonable market timing decisions.
Omnicom Revenue by Product
Omnicom Total Value Analysis
Omnicom Group is now expected to have company total value of 23.56 B with market capitalization of 19.33 B, debt of 6.5 B, and cash on hands of 4.28 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Omnicom fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
23.56 B | 19.33 B | 6.5 B | 4.28 B |
Omnicom Investor Information
About 99.0% of the company shares are owned by institutional investors. The book value of Omnicom was now reported as 20.25. The company has Price/Earnings To Growth (PEG) ratio of 1.48. Omnicom Group recorded earning per share (EPS) of 7.32. The entity last dividend was issued on the 20th of September 2024. The firm had 2:1 split on the 26th of June 2007. Based on the analysis of Omnicom's profitability, liquidity, and operating efficiency, Omnicom Group is not in a good financial situation at the present time. It has a very high likelihood of going through financial trouble in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.096 | 0.1433 |
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| Total Cash From Operating Activities | 1.2 B | 1.4 B |
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| Operating Income | 1.2 B | 2.1 B |
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Omnicom Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Omnicom has an asset utilization ratio of 52.39 percent. This indicates that the Company is making $0.52 for each dollar of assets. An increasing asset utilization means that Omnicom Group is more efficient with each dollar of assets it utilizes for everyday operations.Omnicom Ownership Allocation
The majority of Omnicom Group outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Omnicom Group to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Omnicom. Please pay attention to any change in the institutional holdings of Omnicom Group as this could imply that something significant has changed or is about to change at the company.Omnicom Profitability Analysis
The company reported the last year's revenue of 14.69 B. Total Income to common stockholders was 1.47 B with profit before taxes, overhead, and interest of 2.76 B.Omnicom Past Distributions to stockholders
| 11th of October 2024 | ||
| 9th of July 2024 | ||
| 9th of April 2024 | ||
| 12th of January 2024 | ||
| 12th of October 2023 | ||
| 7th of July 2023 | ||
| 6th of April 2023 | ||
| 11th of January 2023 | ||
| 21st of December 2022 |
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Omnicom's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Omnicom and how it compares across the competition.
About Omnicom Valuation
The stock valuation mechanism determines Omnicom's current worth on a weekly basis. Our valuation model uses a comparative analysis of Omnicom. We calculate exposure to Omnicom's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Omnicom's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 2.7 B | 4.5 B | |
| Pretax Profit Margin | 0.14 | 0.09 | |
| Operating Profit Margin | 0.14 | 0.10 | |
| Net Profit Margin | 0.09 | 0.05 | |
| Gross Profit Margin | 0.18 | 0.18 |
Omnicom Quarterly Retained Earnings |
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A single share of Omnicom represents a small ownership stake in the entity. As a stockholder of Omnicom, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Omnicom Dividends Analysis For Valuation
The current year's Dividend Payout Ratio is expected to grow to 0.44, whereas Dividends Paid is forecasted to decline to about 285 M. . At present, Omnicom's Price Earnings Ratio is projected to drop slightly based on the last few years of reporting.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 562.7 M | 285 M | |
| Dividend Yield | 0.03 | 0.02 | |
| Dividend Payout Ratio | 0.40 | 0.44 | |
| Dividend Paid And Capex Coverage Ratio | 2.22 | 2.21 |
There are various types of dividends Omnicom can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Omnicom shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Omnicom Group directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Omnicom pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Omnicom by the value of the dividends paid out.
Omnicom Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 201.4 M | |
| Quarterly Earnings Growth Y O Y | 0.048 | |
| Forward Price Earnings | 11.6144 |
Omnicom Current Valuation Indicators
Valuation refers to the process of determining the present value of Omnicom Group and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Omnicom we look at many different elements of the entity such as Omnicom's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Omnicom, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Omnicom's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Omnicom's worth.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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