Stock analysis · Bull Rankings model

OMC analysis

Omnicom Group Inc.Advertising Agencies. Scored on the same transparent 7-signal model behind the daily rankings.

OMC
Omnicom Group Inc. · Advertising Agencies
FCF$3.0bB
Rev+69.2%A
D/E1.11C+
P/S1.1xA-
PEG15.97D
86Score
$74.93
1Y Target$99.80Near-term target
5Y Target$150.71Compound horizon
10Y Target$392.17Long-dated conviction
FCF$3.0bTTM · 03/26
B
FCF $3.0b — solid, comfortably covers operations and capital return · TTM computed from 4 most-recent quarters (TTM · 03/26).
Rev+69.2%TTM YoY
A
Revenue +69.2% — hypergrowth, top decile
D/E1.11
C+
D/E 1.11 — moderately levered, watch interest coverage
P/S1.1x
A-
P/S 1.1x — cheap for any tech/growth name
PEG15.97
D
PEG 15.97 — very expensive; pricing in best-case scenarios
Why now
Advertising Agencies · market cap $21.4b. 14% off the 52-week high of $87.17. Revenue growing +69% — in hypergrowth territory. 10 sell-side analysts rate this a Buy with a mean 1-yr target of $99.80 (implying +33% upside).
Moat
FCF converts 4747% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk
Net margin 0.3% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first. ROE 2% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate. Platform dependency — much of the addressable ad budget flows through Google, Meta, and Amazon; an algorithm change or pricing shift on the platform side resets the economics overnight.
Horizon
1-3 yr $99.80 (10-analyst consensus) — catalyst-driven; binary events dominate. 5 yr $150.71 — requires the platform / technology to reach commercial scale. 10 yr $392.17 — return distribution heavily skewed.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Shares to buy
26
Position size
$1,948
3.9% of portfolio
Stop price
$56.20
25% below $74.93
$ at risk
$500.00
1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

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