NYSE · OMC

Omnicom Group Inc.

Communication Services · Advertising Agencies

$81.07▲ 2.61% ($2.06)at close

After hours$81.00▼ 0.09%7:42 PM ET

52-week

$66.33$89.57

What the market price implies · Reverse DCF

To support a price of $81.07, this model requires revenue to grow by -1.58%/yr over the next 10 years, compounded annually.

Historical revenue grew by 4.47%/yr over the past 4 years. The required annual growth rate is 6.05 percentage points lower.

Selected forecast · Base scenario

3%/yr · actual 10-year annualized revenue growth

Year 1 growth: 4.69%

Market-implied · Base operating assumptions + edited margins

-1.58%/yr · flat 10-year annualized revenue growth

Reverse DCF solves revenue growth itself using Base operating assumptions and your edited margins. Changing forecast growth alone does not change the implied rate. This is a model-implied requirement, not an analyst forecast.

Valuation

Recommended · Revenue & margin DCF

Price used

$81.07

Estimated value / share

$146.54

Base scenario

This estimate is 80.76% above the price used.

USD · TTM ending 2026-06-30

Year 1 growth 4.69% · Ending margin 6% · Discount rate 6.27%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 14, 2026, 8:00 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 15, 2026, 7:28 AM UTC · provider

Why this method?

FCFF is positive, but the series is too unstable to anchor a direct cash-flow CAGR and the business still fails the steady-state comparability checks. Use a revenue-and-margin transition model instead of normalizing and compounding current FCFF.

Is FCFF positive and has it been for 3+ consecutive years? 27 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 39.1%.

Do you have 5+ years of positive FCFF history? 27 consecutive positive FCFF years are available.

Is the business model structurally similar to what it should be in 10 years? Revenue is still growing 63.4%, above the 15.0% maturity threshold, so a steady-state FCFF model would lean too heavily on a business still scaling.

Price vs Fundamentals

Why The Stock Is Moving

Mixed / unclearLow confidence

1Y Price: 5.49%Revenue (TTM): 40.6%FCF (TTM): 35.2%P/FCF: 10th pct

What changed

The stock rose 5.49% over the last year. Revenue grew 40.6% over the trailing twelve months. Operating margin moved from 14.33% to 13.92%. Free cash flow grew 35.2% over the trailing twelve months.

What the market seems to be pricing

The stock has moved higher against modestly improving underlying metrics. The operating data does not yet tell a clear story — the move may reflect sentiment, sector rotation, or macro factors rather than company-specific earnings power.

What would invalidate this read

Operating margin currently stands at 13.92%. A decisive move in revenue — currently up 40.6% — would be the clearest signal to resolve the ambiguity.

Performance

Return analysis

Company profile

Omnicom Group Inc., through its network of subsidiaries, stands as a premier global provider of comprehensive advertising, marketing, and corporate communications solutions.

CEOJohn D. Wren

SectorCommunication Services

IndustryAdvertising Agencies

Employees120,000

IPO dateMar 17, 1980

https://www.omc.com

Market multiples

Forward P/E—

EV/EBITDA26.88

Enterprise value$22.2B

Stock splits

Jun 26, 2007↑ Forward

Every 1 shares became 2

+100%

Dec 30, 1997↑ Forward

Every 1 shares became 2

+100%

Dec 28, 1995↑ Forward

Every 1 shares became 2

+100%

Jan 16, 1981↑ Forward

Every 1 shares became 2

+100%

Sep 12, 1978↑ Forward

Every 2 shares became 3

+50%

Profitability & growth

Revenue growth63.43%

Gross margin (FY2025)17.28%▼0.2ppvs FY2024

Operating margin (FY2025)14.97%0.0ppvs FY2024

ROE5.42%▲6.1ppvs FY2025

Analyst consensus

RatingHold

Target price$104.67▲29.11%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Oct 20, 2026

Q4 FY26 · EPS est $2.58 · Revenue est $6.24B

View

Dividends

$3.20/shareQuarterlyDividend Achiever · 19yrEx-div Sep 18, 2026 · in 3dAt Risk

OMC pays a dividend with a 3.95% declared yield, 19 consecutive years of growth, growing at 3.08% annually, covered 5.1× by free cash flow.

Declared Yield

3.95%

Annual Div / Share

$3.20

TTM $3.10

5yr CAGR

+3.08%

Doubles every ~22.9yr

Payout Ratio

192.61%

At Risk

Dividend Growth Rate

3yr CAGR

+4.55%

5yr CAGR

+3.08%

10yr CAGR

+4.3%

Dividend Safety

6/10At Risk

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$3.20+14.3%

2025$2.80+0.0%

2024$2.80+0.0%

2023$2.80+0.0%

2022$2.80+1.8%

2021$2.75+5.8%

2020$2.60+2.0%

Income Projection

Invest

USD

Growth rate:

Reinvest dividends

Today

$39/yr

$3/mo

In 5 yrs

$46/yr+16%

$4/mo

In 10 yrs

$53/yr+35%

$4/mo

Today	In 5 yrs	In 10 yrs
$39/yr $3/mo	$46/yr+16% $4/mo	$53/yr+35% $4/mo

Yield-on-cost grows from 3.95% → 5.34% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

OMC has raised its dividend for 19 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 5.1× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

High payout ratio

With 192.61% of earnings paid as dividends, there is limited retained earnings for reinvestment — and a dividend cut becomes more likely if earnings decline.

NYSE · OMC

Omnicom Group Inc.

Communication Services · Advertising Agencies

$81.07▲ 2.61% ($2.06)at close

After hours$81.00▼ 0.09%7:42 PM ET

52-week

$66.33$89.57

What the market price implies · Reverse DCF

To support a price of $81.07, this model requires revenue to grow by -1.58%/yr over the next 10 years, compounded annually.

Historical revenue grew by 4.47%/yr over the past 4 years. The required annual growth rate is 6.05 percentage points lower.

Selected forecast · Base scenario

3%/yr · actual 10-year annualized revenue growth

Year 1 growth: 4.69%

Market-implied · Base operating assumptions + edited margins

-1.58%/yr · flat 10-year annualized revenue growth

Valuation

Recommended · Revenue & margin DCF

Price used

$81.07

Estimated value / share

$146.54

Base scenario

This estimate is 80.76% above the price used.

USD · TTM ending 2026-06-30

Year 1 growth 4.69% · Ending margin 6% · Discount rate 6.27%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 14, 2026, 8:00 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 15, 2026, 7:28 AM UTC · provider

Why this method?

Is FCFF positive and has it been for 3+ consecutive years? 27 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 39.1%.

Do you have 5+ years of positive FCFF history? 27 consecutive positive FCFF years are available.

Price vs Fundamentals

Why The Stock Is Moving

Mixed / unclearLow confidence

1Y Price: 5.49%Revenue (TTM): 40.6%FCF (TTM): 35.2%P/FCF: 10th pct

What changed

The stock rose 5.49% over the last year. Revenue grew 40.6% over the trailing twelve months. Operating margin moved from 14.33% to 13.92%. Free cash flow grew 35.2% over the trailing twelve months.

What the market seems to be pricing

What would invalidate this read

Operating margin currently stands at 13.92%. A decisive move in revenue — currently up 40.6% — would be the clearest signal to resolve the ambiguity.

Performance

Return analysis

Company profile

Omnicom Group Inc., through its network of subsidiaries, stands as a premier global provider of comprehensive advertising, marketing, and corporate communications solutions.

CEOJohn D. Wren

SectorCommunication Services

IndustryAdvertising Agencies

Employees120,000

IPO dateMar 17, 1980

https://www.omc.com

Market multiples

Forward P/E—

EV/EBITDA26.88

Enterprise value$22.2B

Stock splits

Jun 26, 2007↑ Forward

Every 1 shares became 2

+100%

Dec 30, 1997↑ Forward

Every 1 shares became 2

+100%

Dec 28, 1995↑ Forward

Every 1 shares became 2

+100%

Jan 16, 1981↑ Forward

Every 1 shares became 2

+100%

Sep 12, 1978↑ Forward

Every 2 shares became 3

+50%

Profitability & growth

Revenue growth63.43%

Gross margin (FY2025)17.28%▼0.2ppvs FY2024

Operating margin (FY2025)14.97%0.0ppvs FY2024

ROE5.42%▲6.1ppvs FY2025

Analyst consensus

RatingHold

Target price$104.67▲29.11%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Oct 20, 2026

Q4 FY26 · EPS est $2.58 · Revenue est $6.24B

View

Dividends

$3.20/shareQuarterlyDividend Achiever · 19yrEx-div Sep 18, 2026 · in 3dAt Risk

OMC pays a dividend with a 3.95% declared yield, 19 consecutive years of growth, growing at 3.08% annually, covered 5.1× by free cash flow.

Declared Yield

3.95%

Annual Div / Share

$3.20

TTM $3.10

5yr CAGR

+3.08%

Doubles every ~22.9yr

Payout Ratio

192.61%

At Risk

Dividend Growth Rate

3yr CAGR

+4.55%

5yr CAGR

+3.08%

10yr CAGR

+4.3%

Dividend Safety

6/10At Risk

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$3.20+14.3%

2025$2.80+0.0%

2024$2.80+0.0%

2023$2.80+0.0%

2022$2.80+1.8%

2021$2.75+5.8%

2020$2.60+2.0%

Income Projection

Invest

USD

Growth rate:

Reinvest dividends

Today

$39/yr

$3/mo

In 5 yrs

$46/yr+16%

$4/mo

In 10 yrs

$53/yr+35%

$4/mo

Today	In 5 yrs	In 10 yrs
$39/yr $3/mo	$46/yr+16% $4/mo	$53/yr+35% $4/mo

Yield-on-cost grows from 3.95% → 5.34% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

OMC has raised its dividend for 19 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 5.1× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

High payout ratio

With 192.61% of earnings paid as dividends, there is limited retained earnings for reinvestment — and a dividend cut becomes more likely if earnings decline.