1.22%
-4.64%
-21.05%
-17.59%
-6.42%
1.38%
17.62%

Company Description

Omnicom Group Inc., together with its subsidiaries, provides advertising, marketing, and corporate communications services.It provides a range of services in the areas of advertising, customer relationship management, public relations, and healthcare.The company's services include advertising, branding, content marketing, corporate social responsibility consulting, crisis communications, custom publishing, data analytics, database management, digital/direct marketing, digital transformation, entertainment marketing, experiential marketing, field marketing, financial/corporate business-to-business advertising, graphic arts/digital imaging, healthcare marketing and communications, and in-store design services.


Its services also comprise interactive marketing, investor relations, marketing research, media planning and buying, merchandising and point of sale, mobile marketing, multi-cultural marketing, non-profit marketing, organizational communications, package design, product placement, promotional marketing, public affairs, retail marketing, sales support, search engine marketing, shopper marketing, social media marketing, and sports and event marketing services.It operates in the United States, Canada, Puerto Rico, South America, Mexico, Europe, the Middle East, Africa, Australia, Greater China, India, Japan, Korea, New Zealand, Singapore, and other Asian countries.The company was incorporated in 1944 and is based in New York, New York.

Market Data

Last Price 82.76
Change Percentage 1.22%
Open 81.95
Previous Close 81.76
Market Cap ( Millions) 16262
Volume 4299822
Year High 107
Year Low 80.31
M A 50 85.28
M A 200 94.18

Financial Ratios

FCF Yield 9.80%
Dividend Yield 3.38%
ROE 38.58%
Debt / Equity 163.84%
Net Debt / EBIDTA 96.46%
Price To Book 3.86
Price Earnings Ratio 10.93
Price To FCF 10.21
Price To sales 1.04
EV / EBITDA 7.16

News

Business Breakdown

Expected Mid-Term Growth

Segment n°1 -> Advertising and Media

Expected Growth : 4.8 %

What the company do ?

Omnicom Group Inc.'s Advertising and Media segment provides advertising, marketing, and corporate communications services to clients globally.

Why we expect these perspectives ?

Omnicom Group Inc.'s 4.8% growth in Advertising and Media is driven by increasing demand for digital marketing services, expansion into emerging markets, and strategic acquisitions. Additionally, the company's data-driven approach and investments in technology platforms have enhanced its ability to deliver targeted and measurable campaigns, attracting new clients and driving revenue growth.

Segment n°2 -> Public Relations

Expected Growth : 4.5 %

What the company do ?

Omnicom Group Inc.'s Public Relations segment provides professional services including reputation management, public affairs, and crisis communications to clients globally.

Why we expect these perspectives ?

Omnicom Group Inc.'s Public Relations segment growth of 4.5% is driven by increasing demand for reputation management, crisis communications, and digital PR services. Strong client relationships, strategic acquisitions, and expansion into emerging markets also contribute to growth. Additionally, the segment benefits from the rising importance of corporate social responsibility and environmental, social, and governance (ESG) initiatives.

Segment n°3 -> Precision Marketing

Expected Growth : 5.2 %

What the company do ?

Precision Marketing from Omnicom Group Inc. is a data-driven approach that uses advanced analytics and AI to deliver personalized, targeted marketing messages to specific audience segments.

Why we expect these perspectives ?

Precision Marketing's 5.2% growth is driven by increasing demand for data-driven marketing solutions, expansion into new markets, and strategic acquisitions. Additionally, the rise of digital advertising, growing importance of customer personalization, and need for measurable ROI are key factors contributing to the segment's growth.

Segment n°4 -> Healthcare

Expected Growth : 5.5 %

What the company do ?

Healthcare from Omnicom Group Inc. is a global healthcare marketing and communications network, providing strategic guidance and creative solutions to healthcare clients.

Why we expect these perspectives ?

Omnicom Group Inc.'s 5.5% growth in Healthcare is driven by increasing demand for digital health services, aging population, and rising healthcare expenditure. Additionally, the shift towards personalized medicine, growth of healthcare technology, and expansion of healthcare access in emerging markets contribute to this growth.

Segment n°5 -> Execution and Support

Expected Growth : 4.2 %

What the company do ?

Execution and Support from Omnicom Group Inc. refers to the implementation and maintenance of marketing strategies and campaigns, providing resources and expertise to ensure successful project delivery.

Why we expect these perspectives ?

Omnicom Group Inc.'s 4.2% growth in Execution and Support is driven by increasing demand for digital marketing services, expansion of existing client relationships, and strategic acquisitions. Additionally, the company's diversified portfolio of agencies and strong brand reputation contribute to its growth momentum.

Segment n°6 -> Commerce and Branding

Expected Growth : 5.8 %

What the company do ?

Commerce and Branding from Omnicom Group Inc. is a global marketing and corporate communications company that provides brand strategy, creative development, and commerce solutions.

Why we expect these perspectives ?

Omnicom Group Inc.'s Commerce and Branding segment growth of 5.8% is driven by increasing demand for digital transformation, e-commerce enablement, and brand experience services. Key drivers include expansion of existing client relationships, new business wins, and strategic acquisitions. Additionally, the segment benefits from the growing importance of data-driven marketing and personalized customer experiences.

Segment n°7 -> Experiential

Expected Growth : 4.9 %

What the company do ?

Experiential from Omnicom Group Inc. is a marketing segment that focuses on creating immersive brand experiences through events, sponsorships, and activations.

Why we expect these perspectives ?

Experiential's 4.9% growth is driven by increasing demand for immersive brand experiences, expansion into new markets, and strategic acquisitions. Additionally, the rise of experiential marketing as a key differentiator for brands, coupled with Omnicom's expertise in creating memorable events, has contributed to the segment's growth.

Omnicom Group Inc. Products

Product Range What is it ?
Advertising Omnicom Group Inc. offers a wide range of advertising services, including digital, traditional, and experiential advertising, to help clients reach their target audiences effectively.
Brand Consulting Omnicom's brand consulting services help clients develop and implement brand strategies, positioning, and messaging to drive business growth.
Content Creation Omnicom's content creation services include video production, photography, and editorial content development to help clients tell compelling brand stories.
Data Analytics Omnicom's data analytics services help clients measure, analyze, and optimize their marketing efforts using advanced data analytics and insights.
Digital Marketing Omnicom's digital marketing services include search engine optimization (SEO), pay-per-click (PPC) advertising, and social media marketing to help clients drive online engagement and conversions.
Experiential Marketing Omnicom's experiential marketing services create immersive brand experiences, events, and activations to engage audiences and drive brand loyalty.
Healthcare Marketing Omnicom's healthcare marketing services specialize in developing marketing strategies and campaigns for pharmaceutical, biotech, and medical device companies.
Media Planning and Buying Omnicom's media planning and buying services help clients optimize their media spend and reach their target audiences effectively.
Public Relations Omnicom's public relations services help clients build and maintain a positive reputation, manage crisis communications, and develop thought leadership strategies.

Omnicom Group Inc.'s Porter Forces

Omnicom Group Inc. operates in a highly competitive industry, but the threat of substitutes is mitigated by the company's diversified portfolio of services and its ability to adapt to changing market trends.

Omnicom Group Inc.'s customers are largely comprised of large corporations and governments, which have limited bargaining power due to the company's specialized services and expertise.

Omnicom Group Inc. relies on a network of suppliers for its operations, but the company's scale and diversification mitigate the bargaining power of its suppliers.

The advertising and marketing services industry has high barriers to entry, and Omnicom Group Inc.'s established brand and reputation make it difficult for new entrants to compete.

The advertising and marketing services industry is highly competitive, with many established players competing for market share, making the intensity of rivalry high for Omnicom Group Inc.

Capital Structure

Value
Debt Weight 64.27%
Debt Cost 4.50%
Equity Weight 35.73%
Equity Cost 8.78%
WACC 6.03%
Leverage 179.84%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
NXST Nexstar Media Group, Inc., a television broadcasting and digital media company, focuses on the acquisition, development, and operation of television stations and interactive community websites and digital media services in …
TGNA TEGNA Inc. operates as a media company in the United States. The company operates television stations that deliver television programming and digital content. It offers news content to consumers across …
DLX Deluxe Corporation provides technology-enabled solutions to enterprises, small businesses, and financial institutions in the United States, Canada, Australia, South America, and Europe. It operates through four segments: Payments, Cloud Solutions, …
IPG The Interpublic Group of Companies, Inc. provides advertising and marketing services worldwide. It operates in two segments, Integrated Agency Networks (IAN) and IPG DXTRA. The company offers consumer advertising, digital …
TSQ Townsquare Media, Inc. operates as a digital media and marketing solutions company in small and medium-sized businesses. It operates through three segments: Subscription Digital Marketing Solutions, Digital Advertising, and Broadcast …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
82.76$
Current Price
82.76$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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