OMNICOM GROUP (OMC) Stock Fundamental Analysis
NYSE:OMC • US6819191064
82.26 USD
-0.2 (-0.24%)
Last: Feb 25, 2026, 11:59 AM
We assign a fundamental rating of 5 out of 10 to OMC. OMC was compared to 91 industry peers in the Media industry. There are concerns on the financial health of OMC while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on OMC. Finally OMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year OMC was profitable.
- OMC had a positive operating cash flow in the past year.
- OMC had positive earnings in 4 of the past 5 years.
- Of the past 5 years OMC 4 years had a positive operating cash flow.
1.2 Ratios
- OMC has a Return On Assets of 4.63%. This is amongst the best in the industry. OMC outperforms 83.52% of its industry peers.
- OMC has a better Return On Equity (28.93%) than 96.70% of its industry peers.
- OMC has a better Return On Invested Capital (15.33%) than 97.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.63% | ||
| ROE | 28.93% | ||
| ROIC | 15.33% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- OMC has a better Profit Margin (8.31%) than 83.52% of its industry peers.
- With an excellent Operating Margin value of 15.00%, OMC belongs to the best of the industry, outperforming 80.22% of the companies in the same industry.
- In the last couple of years the Operating Margin of OMC has grown nicely.
- Looking at the Gross Margin, with a value of 26.90%, OMC is doing worse than 69.23% of the companies in the same industry.
- OMC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15% | ||
| PM (TTM) | 8.31% | ||
| GM | 26.9% |
OM growth 3Y-0.88%
OM growth 5Y2.19%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
- OMC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- OMC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 2.00 indicates that OMC is not a great score, but indicates only limited risk for bankruptcy at the moment.
- OMC's Altman-Z score of 2.00 is fine compared to the rest of the industry. OMC outperforms 69.23% of its industry peers.
- The Debt to FCF ratio of OMC is 3.78, which is a good value as it means it would take OMC, 3.78 years of fcf income to pay off all of its debts.
- OMC's Debt to FCF ratio of 3.78 is fine compared to the rest of the industry. OMC outperforms 79.12% of its industry peers.
- OMC has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
- OMC's Debt to Equity ratio of 1.06 is in line compared to the rest of the industry. OMC outperforms 48.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 3.78 | ||
| Altman-Z | 2 |
ROIC/WACC2.06
WACC7.44%
2.3 Liquidity
- OMC has a Current Ratio of 0.92. This is a bad value and indicates that OMC is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.92, OMC is doing worse than 64.84% of the companies in the same industry.
- OMC has a Quick Ratio of 0.92. This is a bad value and indicates that OMC is not financially healthy enough and could expect problems in meeting its short term obligations.
- OMC's Quick ratio of 0.87 is on the low side compared to the rest of the industry. OMC is outperformed by 64.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
- OMC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.45%.
- The Earnings Per Share has been growing by 10.41% on average over the past years. This is quite good.
- Looking at the last year, OMC shows a quite strong growth in Revenue. The Revenue has grown by 10.09% in the last year.
- The Revenue has been growing slightly by 5.57% on average over the past years.
EPS 1Y (TTM)6.45%
EPS 3Y7.38%
EPS 5Y10.41%
EPS Q2Q%7.47%
Revenue 1Y (TTM)10.09%
Revenue growth 3Y6.52%
Revenue growth 5Y5.57%
Sales Q2Q%27.92%
3.2 Future
- OMC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.82% yearly.
- OMC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.29% yearly.
EPS Next Y16.65%
EPS Next 2Y17.37%
EPS Next 3Y9.65%
EPS Next 5Y5.82%
Revenue Next Year63.06%
Revenue Next 2Y29.97%
Revenue Next 3Y3.01%
Revenue Next 5Y13.3%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 9.59 indicates a reasonable valuation of OMC.
- Based on the Price/Earnings ratio, OMC is valued a bit cheaper than the industry average as 79.12% of the companies are valued more expensively.
- OMC is valuated cheaply when we compare the Price/Earnings ratio to 26.98, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 8.22, the valuation of OMC can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of OMC indicates a somewhat cheap valuation: OMC is cheaper than 76.92% of the companies listed in the same industry.
- OMC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.01.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.59 | ||
| Fwd PE | 8.22 |
4.2 Price Multiples
- OMC's Enterprise Value to EBITDA is on the same level as the industry average.
- Based on the Price/Free Cash Flow ratio, OMC is valued a bit cheaper than 62.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.51 | ||
| EV/EBITDA | 10.88 |
4.3 Compensation for Growth
- OMC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- OMC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.58
PEG (5Y)0.92
EPS Next 2Y17.37%
EPS Next 3Y9.65%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.88%, OMC has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.12, OMC pays a better dividend. On top of this OMC pays more dividend than 87.91% of the companies listed in the same industry.
- OMC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
5.2 History
- The dividend of OMC has a limited annual growth rate of 1.83%.
- OMC has been paying a dividend for at least 10 years, so it has a reliable track record.
- OMC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.83%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
- 41.26% of the earnings are spent on dividend by OMC. This is a bit on the high side, but may be sustainable.
- OMC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP41.26%
EPS Next 2Y17.37%
EPS Next 3Y9.65%
NYSE:OMC (2/25/2026, 11:59:46 AM)
82.26
-0.2 (-0.24%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)02-18 2026-02-18/amc
Earnings (Next)04-13 2026-04-13/amc
Inst Owners75.69%
Inst Owner Change37.6%
Ins Owners0.77%
Ins Owner Change5.87%
Market Cap25.88B
Revenue(TTM)17.27B
Net Income(TTM)1.33B
Analysts74.12
Price Target100.75 (22.48%)
Short Float %7.72%
Short Ratio5.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
Yearly Dividend2.8
Dividend Growth(5Y)1.83%
DP41.26%
Div Incr Years0
Div Non Decr Years34
Ex-Date03-11 2026-03-11 (0.8)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.13%
Min EPS beat(2)1.66%
Max EPS beat(2)2.6%
EPS beat(4)4
Avg EPS beat(4)2.28%
Min EPS beat(4)0.87%
Max EPS beat(4)3.99%
EPS beat(8)7
Avg EPS beat(8)2.01%
EPS beat(12)9
Avg EPS beat(12)2.62%
EPS beat(16)13
Avg EPS beat(16)3.64%
Revenue beat(2)1
Avg Revenue beat(2)-0.16%
Min Revenue beat(2)-0.69%
Max Revenue beat(2)0.36%
Revenue beat(4)1
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)0.36%
Revenue beat(8)3
Avg Revenue beat(8)-0.15%
Revenue beat(12)5
Avg Revenue beat(12)-0.08%
Revenue beat(16)9
Avg Revenue beat(16)0.56%
PT rev (1m)0.17%
PT rev (3m)-0.1%
EPS NQ rev (1m)0.01%
EPS NQ rev (3m)-0.04%
EPS NY rev (1m)0.08%
EPS NY rev (3m)-1.28%
Revenue NQ rev (1m)-0.51%
Revenue NQ rev (3m)-0.59%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.59 | ||
| Fwd PE | 8.22 | ||
| P/S | 1.61 | ||
| P/FCF | 15.51 | ||
| P/OCF | 14.17 | ||
| P/B | 5.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.88 |
EPS(TTM)8.58
EY10.43%
EPS(NY)10.01
Fwd EY12.17%
FCF(TTM)5.3
FCFY6.45%
OCF(TTM)5.8
OCFY7.06%
SpS51.07
BVpS14.66
TBVpS-21.59
PEG (NY)0.58
PEG (5Y)0.92
Graham Number53.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.63% | ||
| ROE | 28.93% | ||
| ROCE | 19.44% | ||
| ROIC | 15.33% | ||
| ROICexc | 21.12% | ||
| ROICexgc | N/A | ||
| OM | 15% | ||
| PM (TTM) | 8.31% | ||
| GM | 26.9% | ||
| FCFM | 10.38% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-0.88%
OM growth 5Y2.19%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y0.21%
F-Score6
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 3.78 | ||
| Debt/EBITDA | 1.85 | ||
| Cap/Depr | 66.07% | ||
| Cap/Sales | 0.98% | ||
| Interest Coverage | 12.85 | ||
| Cash Conversion | 68.94% | ||
| Profit Quality | 124.99% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2 |
F-Score6
WACC7.44%
ROIC/WACC2.06
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.45%
EPS 3Y7.38%
EPS 5Y10.41%
EPS Q2Q%7.47%
EPS Next Y16.65%
EPS Next 2Y17.37%
EPS Next 3Y9.65%
EPS Next 5Y5.82%
Revenue 1Y (TTM)10.09%
Revenue growth 3Y6.52%
Revenue growth 5Y5.57%
Sales Q2Q%27.92%
Revenue Next Year63.06%
Revenue Next 2Y29.97%
Revenue Next 3Y3.01%
Revenue Next 5Y13.3%
EBIT growth 1Y4.4%
EBIT growth 3Y5.59%
EBIT growth 5Y7.88%
EBIT Next Year117.64%
EBIT Next 3Y37.11%
EBIT Next 5Y14.32%
FCF growth 1Y11.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y13.44%
OCF growth 3YN/A
OCF growth 5YN/A
OMNICOM GROUP / OMC FAQ
What is the ChartMill fundamental rating of OMNICOM GROUP (OMC) stock?
ChartMill assigns a fundamental rating of 5 / 10 to OMC.
What is the valuation status of OMNICOM GROUP (OMC) stock?
ChartMill assigns a valuation rating of 7 / 10 to OMNICOM GROUP (OMC). This can be considered as Undervalued.
Can you provide the profitability details for OMNICOM GROUP?
OMNICOM GROUP (OMC) has a profitability rating of 6 / 10.
How financially healthy is OMNICOM GROUP?
The financial health rating of OMNICOM GROUP (OMC) is 3 / 10.
What is the earnings growth outlook for OMNICOM GROUP?
The Earnings per Share (EPS) of OMNICOM GROUP (OMC) is expected to grow by 16.65% in the next year.