Upside case
Bull case
$118+65.6%
OMC would need investors to value it at roughly 11x earnings — about 4x more generous than today's 7x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewHoldUpdated Jun 18, 2026
Omnicom Group Inc. (OMC) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
34
analysts
11 bullish · 3 bearish · 34 covering OMC
Strong Buy
0
Buy
11
Hold
20
Sell
3
Strong Sell
0
Consensus Target
$106
+49.0% vs today
Scenario Range
$57 – $118
Model bear to bull value window
Coverage
34
Published analyst ratings
Valuation Context
6.8x
Forward P/E · Market cap $22.1B
OMC price targets
Three scenarios for where OMC stock could go
Current
~$71
Confidence
51 / 100
Updated
Jun 18, 2026
Where we are now
Current · $71
Bear
$57
Base
$90
Bull
$118
Market caseClosest to today
Base case
$90+25.7%
At 9x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$57-20.8%
If investor confidence fades or macro conditions deteriorate, a 1x multiple contraction could push OMC down roughly 21% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Omnicom Group Inc.
OMC · NYSECommunication ServicesAdvertising AgenciesDecember year-end
Omnicom Group is a global advertising and marketing communications holding company that provides a comprehensive range of services through its network of agencies. It generates revenue primarily from agency fees and commissions across its advertising, customer relationship management, public relations, and healthcare marketing segments — with media planning and buying being a particularly significant revenue driver. The company's key advantage lies in its scale and integrated network of specialized agencies that can serve multinational clients across multiple disciplines and geographies.
Market Cap
$22.1B
Revenue TTM
$19.8B
Net Income TTM
$63M
Net Margin
0.3%
OMC Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
92%Exceptional
12 quarters tracked
Revenue Beat Rate
67%Exceptional
vs consensus estimates
Avg EPS Surprise
+1.7%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 3 of 4Q3 2025
EPS
$2.05/$2.02
Revenue
$4.0B/$4.0B
Q4 2025
EPS
$2.24/$2.16
Revenue
$4.0B/$4.0B
Q1 2026
EPS
$2.59/$2.72
Revenue
$5.5B/$4.5B
Q2 2026
EPS
$1.90/$1.84
Revenue
$6.2B/$5.8B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $2.05/$2.02 | +1.5% | $4.0B/$4.0B | +1.0% |
| Q4 2025 | $2.24/$2.16 | +3.7% | $4.0B/$4.0B | +0.5% |
| Q1 2026 | $2.59/$2.72 | -4.8% | $5.5B/$4.5B | +22.8% |
| Q2 2026 | $1.90/$1.84 | +3.3% | $6.2B/$5.8B | +6.7% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$22.4B
+13.0% YoY
FY2
$24.7B
+10.3% YoY
EPS Outlook
FY1
$3.57
+1062.5% YoY
FY2
$4.98
+39.4% YoY
Trailing FCF (TTM)$3.0B
FCF Margin: 15.1%
Next Earnings
July 21, 2026
Expected EPS
$2.64
Expected Revenue
$6.4B
OMC beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
OMC Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $13.9B
Product Mix
Latest annual revenue by segment or product family
Advertising
72.2%
+18.3% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
North America
36.4%
+10.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
Advertising is the largest disclosed segment at 72.2% of FY 2025 revenue, up 18.3% YoY.
North America is the largest reported region at 36.4%, up 10.9% YoY.
OMC Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Fair versus peers
Fair value est. $72 — implies +1.4% from today's price.
Upside to Fair Value
1.4%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
OMC
-264.3x
vs
S&P 500
24.4x
1181% discount
vs Communication Services Trailing P/E
OMC
-264.3x
vs
Communication Services
15.3x
1827% discount
vs OMC 5Y Avg P/E
Today
-264.3x
vs
5Y Average
12.0x
2298% discount
Forward PE
6.8x
S&P 500
18.8x
-64%
Communication Services
11.3x
-40%
5Y Avg
—
—
Trailing PE
-264.3x
S&P 500
24.4x
-1181%
Communication Services
15.3x
-1827%
5Y Avg
12.0x
-2298%
PEG Ratio
—
S&P 500
1.66x
—
Communication Services
0.64x
—
5Y Avg
—
—
EV/EBITDA
9.8x
S&P 500
15.2x
-36%
Communication Services
9.6x
+2%
5Y Avg
7.8x
+25%
Price/FCF
7.9x
S&P 500
20.7x
-62%
Communication Services
11.4x
-30%
5Y Avg
12.4x
-36%
Price/Sales
1.3x
S&P 500
3.1x
-59%
Communication Services
1.0x
+26%
5Y Avg
1.1x
+16%
Dividend Yield
3.76%
S&P 500
1.91%
+96%
Communication Services
3.43%
+9%
5Y Avg
3.40%
+11%
| Metric | OMC | S&P 500 | Communication Services | 5Y Avg OMC |
|---|---|---|---|---|
| Forward PE | 6.8x | 18.8x-64% | 11.3x-40% | — |
| Trailing PE | -264.3x | 24.4x-1181% | 15.3x-1827% | 12.0x-2298% |
| PEG Ratio | — | 1.66x | 0.64x | — |
| EV/EBITDA | 9.8x | 15.2x-36% | 9.6x | 7.8x+25% |
| Price/FCF | 7.9x | 20.7x-62% | 11.4x-30% | 12.4x-36% |
| Price/Sales | 1.3x | 3.1x-59% | 1.0x+26% | 1.1x+16% |
| Dividend Yield | 3.76% | 1.91% | 3.43% | 3.40% |
OMC trades above S&P 500 benchmarks on 0 of 5 measured multiples — appears modestly priced relative to the S&P 500 on most measures.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolOMC Financial Health
Verdict
Strong
OMC generates $3.0B in free cash flow at a 15.1% margin — 14.5% ROIC signals a durable competitive advantage · returns 7.0% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$19.8B
Revenue Growth
TTM vs prior year
+25.9%
Gross Margin
Gross profit as a share of revenue
16.8%
Operating Margin
Operating income divided by revenue
13.7%
Net Margin
Net income divided by revenue
0.3%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$0.31
Free Cash Flow (TTM)
Cash generation after capex
$3.0B
FCF Margin
FCF as share of revenue — the primary cash quality signal
15.1%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
14.5%
ROA
Return on assets, trailing twelve months
0.2%
Cash & Equivalents
Liquid assets on the balance sheet
$6.9B
Net Debt
Total debt minus cash
$5.9B
Debt Serviceability
Net debt as a multiple of annual free cash flow
2.0× FCF
~2.0 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
0.7%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
7.0%
Dividend
3.8%
Buyback
3.2%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$708M
Dividend / Share
Annualized trailing dividend per share
$2.68
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Declining as buybacks retire shares
310M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageOMC Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated June 18, 2026
High Risk
Revenue stagnation
Bear case involves continued market share loss and revenue stagnation (0-1% growth), indicating weak long-term growth prospects.
High Risk
Integration risks
Investors should monitor the completion of IPG integration, which is critical given Omnicom's now dominant position with $73.5 billion in billings.
Medium
Market competition
Omnicom faces intense competition from rivals like WPP and Publicis Groupe, despite its current dominance.
Medium
Tech transformation
Failure to successfully transform into a tech-enabled consultancy could hinder growth, with bull case assuming only ~4% revenue growth.
Lower
Talent retention
While Omnicom emphasizes career growth and talent experience, challenges in retaining top talent could impact performance.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why OMC Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated June 18, 2026
Diversified global marketing platform
Omnicom's diversified global marketing platform supports long-term growth through its wide range of advertising, media, PR, and digital commerce services.
Attractive valuation metrics
The company's trailing and forward P/E ratios of 10.99 and 8.35 respectively indicate an attractive valuation for investors.
Expansion into digital solutions
Omnicom's expansion into digital solutions, including its AI-powered Omni platform, positions it for future growth in the evolving marketing landscape.
Strong first quarter performance
The company's strong Q1 2026 results highlight its integrated capabilities, core portfolio operations, and successful integration activities.
Leading market position
As the world's leading marketing and sales company, Omnicom benefits from its established market position and extensive global operations.
Proprietary data and AI capabilities
Omnicom's proprietary data and AI-powered Omni platform enhance its ability to deliver targeted and effective marketing solutions.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
OMC Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$71.35
52W Range Position
24%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$66.33
+7.6% from the low
52-Week High
$87.17
-18.1% from the high
1 Month
-2.45%
3 Month
-6.22%
YTD
-12.3%
1 Year
+2.8%
3Y CAGR
-8.7%
5Y CAGR
-1.7%
10Y CAGR
-1.5%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
OMC vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
6.8x
vs 7.5x median
-9% below peer median
Revenue Growth
+13.0%
vs +3.4% median
+283% above peer median
Net Margin
0.3%
vs 2.0% median
-84% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
OMC OMC Omnicom Group Inc. | $22.1B | 6.8x | +13.0% | 0.3% | Hold | +49.0% |
IPG IPG The Interpublic Group of Companies, Inc. | $8.9B | 7.8x | +1.9% | 5.4% | Hold | +48.8% |
WPP WPP WPP plc | $3.9B | 7.1x | +3.4% | 2.0% | Hold | — |
HYF HYFM Hydrofarm Holdings Group, Inc. | $4M | — | -30.8% | -237.2% | — | — |
STG STGW Stagwell Inc. | $1.7B | 6.4x | +8.9% | 0.6% | Buy | +19.2% |
DG DG Dollar General Corporation | $25.0B | 15.5x | +5.0% | 3.6% | Buy | +20.9% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
OMC Dividend and Capital Return
OMC returns 7.0% total yield, led by a 3.76% dividend. Buybacks add another 3.2%.
Dividend UnknownFCF Well Covered
Total Shareholder Yield
7.0%
Dividend + buyback return per year
Buyback Yield
3.2%
Dividend Yield
3.76%
Payout Ratio
—
How OMC Splits Its Return
Div 3.76%
Buyback 3.2%
Dividend 3.76%Buybacks 3.2%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$2.68
Growth Streak
Consecutive years of dividend increases
1Y
3Y Div CAGR
1.2%
5Y Div CAGR
2.2%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$708M
Estimated Shares Retired
10M
Approx. Share Reduction
3.2%
Shares Outstanding
Current diluted share count from the screening snapshot
310M
At 3.2%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $1.60 | — | — | — |
| 2025 | $2.90 | +3.6% | 4.3% | 7.6% |
| 2024 | $2.80 | 0.0% | 2.2% | 5.4% |
| 2023 | $2.80 | 0.0% | 3.3% | 6.5% |
| 2022 | $2.80 | 0.0% | 3.6% | 7.1% |
FAQ
7 questionsOMC Investor Questions
Common questions answered from live analyst data and company financials.
01Is Omnicom Group Inc. (OMC) stock a buy or sell in 2026?
Omnicom Group Inc. (OMC) is rated Hold by Wall Street analysts as of 2026. Of 34 analysts covering the stock, 11 rate it Buy or Strong Buy, 20 rate it Hold, and 3 rate it Sell or Strong Sell. The consensus 12-month price target is $106, implying +49.0% from the current price of $71. The bear case scenario is $57 and the bull case is $118.
02What is the OMC stock price target for 2026?
The Wall Street consensus price target for OMC is $106 based on 34 analyst estimates. The high-end target is $146 (+104.6% from today), and the low-end target is $83 (+16.3%). The base case model target is $90.
03Is Omnicom Group Inc. (OMC) stock overvalued in 2026?
OMC trades at 6.8x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals fair versus peers. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Omnicom Group Inc. (OMC) stock in 2026?
The primary risks for OMC in 2026 are: (1) Revenue stagnation — Bear case involves continued market share loss and revenue stagnation (0-1% growth), indicating weak long-term growth prospects. (2) Integration risks — Investors should monitor the completion of IPG integration, which is critical given Omnicom's now dominant position with $73. (3) Market competition — Omnicom faces intense competition from rivals like WPP and Publicis Groupe, despite its current dominance. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Omnicom Group Inc.'s revenue and earnings forecast?
Analyst consensus estimates OMC will report consensus revenue of $22.4B (+13.0% year-over-year) and EPS of $3.57 (+1062.5% year-over-year) for the upcoming fiscal year. The following year, analysts project $24.7B in revenue.
06When does Omnicom Group Inc. (OMC) report its next earnings?
Omnicom Group Inc. is expected to report its next earnings on approximately 2026-07-21. Consensus expects EPS of $2.64 and revenue of $6.4B. Over recent quarters, OMC has beaten EPS estimates 92% of the time.
07How much free cash flow does Omnicom Group Inc. generate?
Omnicom Group Inc. (OMC) generated $3.0B in free cash flow over the trailing twelve months — a free cash flow margin of 15.1%. OMC returns capital to shareholders through dividends (3.8% yield) and share repurchases ($708M TTM).