Omnicom Stock Analysis, Valuation (NYSE:OMC)
Omnicom Stock Analysis
View Omnicom stock analysis video. This is our analyst opinion covering the buy and sell arguments for OMC stock.
Omnicom Group Inc. Stock Rating 3.5/5
Our Omnicom stock opinion is based on fundamentals of the company. This Omnicom stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy OMC stock?
- Omnicom's average operating margin of 13.2% was exceptional.
- The price to earnings multiple of 15.1 is attractive when compared with the industry average PE ratio of 23.1.
- Omnicom generates a high return on invested capital of 20.9%.
- The LTM ROE of 42.9% for Omnicom is attractive.
Should you sell OMC stock?
- Long term revenue growth of 1.8% over the past 5 years has been disappointing.
- Omnicom has a debt/equity ratio of 1.8, which is worse than the average in the Business Services sector.
- Omnicom has a negative FCF (Free Cash Flow) margin of -4.5%.