Zacks Reiterates “Neutral” Rating for Omnicom Group (OMC)
Omnicom Group (NYSE:OMC)‘s stock had its “neutral” rating reiterated by Zacks in a note issued to investors on Tuesday, StockRatingsNetwork.com reports. They currently have a $75.00 price objective on the stock. Zacks‘ price objective would suggest a potential upside of 4.88% from the stock’s previous close.
Zacks‘ analyst wrote, “Omnicom posted flat earnings for the third quarter of 2013 due to $28.1 million pre-tax charges resulting from its proposed merger with Publicis Groupe, S.A. However, revenues grew year over year as the company’s well-diversified business mix across markets supported the growth. Omnicom is also focusing on strengthening its business and expanding its client base globally. The increasing demand for media services, speedy growth of technologies and massive proliferation of channels are likely to drive the company’s growth, going forward. However, a competitive and fragmented communications services industry is likely to limit the profitability of the company to some extent. Hence, we reiterate our Neutral recommendation on Omnicom.”
Omnicom Group (NYSE:OMC) traded up 3.15% during mid-day trading on Tuesday, hitting $73.76. The stock had a trading volume of 1,188,467 shares. Omnicom Group has a 52-week low of $52.19 and a 52-week high of $74.78. The stock’s 50-day moving average is $71.55 and its 200-day moving average is $66.5. The company has a market cap of $18.983 billion and a price-to-earnings ratio of 19.28.
The company also recently declared a quarterly dividend, which is scheduled for Thursday, January 16th. Shareholders of record on Friday, December 20th will be given a dividend of 0.40 per share. This represents a $1.60 dividend on an annualized basis and a yield of 2.24%. The ex-dividend date of this dividend is Wednesday, December 18th.
OMC has been the subject of a number of other recent research reports. Analysts at Goldman Sachs Group Inc. upgraded shares of Omnicom Group from a “buy” rating to a “conviction-buy” rating in a research note to investors on Tuesday. Separately, analysts at Ned Davis Research upgraded shares of Omnicom Group from a “neutral” rating to a “buy” rating in a research note to investors on Monday, January 6th. Ten research analysts have rated the stock with a hold rating, eight have given a buy rating and one has given a strong buy rating to the stock. The stock currently has a consensus rating of “Buy” and a consensus price target of $68.71.
Omnicom Group Inc (NYSE:OMC) is a holding company, providing professional services to clients through multiple agencies.
To view Zacks’ full report, visit www.zacks.com
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