Omnicom Group Inc. to Issue Quarterly Dividend of $0.70 (NYSE:OMC)

Omnicom Group Inc. (NYSE:OMC) announced a quarterly dividend on Tuesday, May 7th, RTT News reports. Investors of record on Monday, June 10th will be given a dividend of 0.70 per share by the business services provider on Tuesday, July 9th. This represents a $2.80 dividend on an annualized basis and a yield of 2.96%.

Omnicom Group has raised its dividend payment by an average of 2.5% per year over the last three years. Omnicom Group has a dividend payout ratio of 32.9% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Omnicom Group to earn $8.37 per share next year, which means the company should continue to be able to cover its $2.80 annual dividend with an expected future payout ratio of 33.5%.

Omnicom Group Stock Performance

Omnicom Group stock traded up $1.51 during mid-day trading on Tuesday, reaching $94.70. 1,859,380 shares of the stock traded hands, compared to its average volume of 1,639,345. The business’s 50-day moving average is $93.01 and its 200-day moving average is $86.99. Omnicom Group has a 12-month low of $72.20 and a 12-month high of $99.23. The company has a debt-to-equity ratio of 1.33, a current ratio of 0.93 and a quick ratio of 0.81. The stock has a market capitalization of $18.55 billion, a PE ratio of 12.59, a price-to-earnings-growth ratio of 2.18 and a beta of 0.96.

Omnicom Group (NYSE:OMC) last announced its quarterly earnings results on Monday, February 5th. The business services provider reported $2.20 earnings per share for the quarter, topping the consensus estimate of $2.16 by $0.04. The company had revenue of $4.06 billion for the quarter, compared to analysts’ expectations of $4 billion. Omnicom Group had a net margin of 9.96% and a return on equity of 38.23%. Omnicom Group’s quarterly revenue was up 5.0% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.09 earnings per share. As a group, sell-side analysts predict that Omnicom Group will post 7.81 EPS for the current fiscal year.

Analysts Set New Price Targets

OMC has been the subject of a number of recent analyst reports. StockNews.com raised shares of Omnicom Group from a “hold” rating to a “buy” rating in a research note on Thursday, April 18th. Barclays upgraded shares of Omnicom Group from an “equal weight” rating to an “overweight” rating and upped their price objective for the company from $100.00 to $110.00 in a report on Tuesday. Wells Fargo & Company upgraded shares of Omnicom Group from an “equal weight” rating to an “overweight” rating and upped their price objective for the company from $91.00 to $106.00 in a report on Wednesday, April 17th. JPMorgan Chase & Co. upped their target price on Omnicom Group from $104.00 to $108.00 and gave the company an “overweight” rating in a research report on Wednesday, April 17th. Finally, Moffett Nathanson upped their target price on Omnicom Group from $89.00 to $93.00 and gave the company a “neutral” rating in a research report on Wednesday, April 17th. One analyst has rated the stock with a sell rating, one has given a hold rating and nine have given a buy rating to the stock. According to MarketBeat, Omnicom Group has a consensus rating of “Moderate Buy” and an average target price of $104.40.

Insider Transactions at Omnicom Group

In other news, Director Linda Johnson Rice sold 507 shares of the stock in a transaction on Friday, February 9th. The stock was sold at an average price of $86.66, for a total transaction of $43,936.62. Following the completion of the transaction, the director now directly owns 9,753 shares in the company, valued at approximately $845,194.98. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 1.30% of the company’s stock.

About Omnicom Group

Omnicom Group Inc, together with its subsidiaries, offers advertising, marketing, and corporate communications services. It provides a range of services in the areas of advertising and media, precision marketing, commerce and branding, experiential, execution and support, public relations, and healthcare.