OMC PE Ratio & Valuation,Is OMC Overvalued

OMC Relative Valuation

OMC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, OMC is overvalued; if below, it's undervalued.

Historical Valuation

Omnicom Group Inc (OMC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.81 is considered Undervalued compared with the five-year average of 11.00. The fair price of Omnicom Group Inc (OMC) is between 90.86 to 110.79 according to relative valuation methord. Compared to the current price of 80.25 USD , Omnicom Group Inc is Undervalued By 11.68%.

Relative Value

Fair Zone

90.86-110.79

Current Price：80.25

11.68%

Undervalued

8.81

7.42

EV/EBITDA

Omnicom Group Inc. (OMC) has a current EV/EBITDA of 7.42. The 5-year average EV/EBITDA is 8.14. The thresholds are as follows: Strongly Undervalued below 6.43, Undervalued between 6.43 and 7.28, Fairly Valued between 8.99 and 7.28, Overvalued between 8.99 and 9.84, and Strongly Overvalued above 9.84. The current Forward EV/EBITDA of 7.42 falls within the Historic Trend Line -Fairly Valued range.

8.46

EV/EBIT

Omnicom Group Inc. (OMC) has a current EV/EBIT of 8.46. The 5-year average EV/EBIT is 8.95. The thresholds are as follows: Strongly Undervalued below 7.10, Undervalued between 7.10 and 8.02, Fairly Valued between 9.88 and 8.02, Overvalued between 9.88 and 10.80, and Strongly Overvalued above 10.80. The current Forward EV/EBIT of 8.46 falls within the Historic Trend Line -Fairly Valued range.

1.02

Omnicom Group Inc. (OMC) has a current PS of 1.02. The 5-year average PS is 1.07. The thresholds are as follows: Strongly Undervalued below 0.76, Undervalued between 0.76 and 0.92, Fairly Valued between 1.23 and 0.92, Overvalued between 1.23 and 1.38, and Strongly Overvalued above 1.38. The current Forward PS of 1.02 falls within the Historic Trend Line -Fairly Valued range.

14.32

P/OCF

Omnicom Group Inc. (OMC) has a current P/OCF of 14.32. The 5-year average P/OCF is 10.57. The thresholds are as follows: Strongly Undervalued below -7.94, Undervalued between -7.94 and 1.31, Fairly Valued between 19.83 and 1.31, Overvalued between 19.83 and 29.09, and Strongly Overvalued above 29.09. The current Forward P/OCF of 14.32 falls within the Historic Trend Line -Fairly Valued range.

13.45

P/FCF

Omnicom Group Inc. (OMC) has a current P/FCF of 13.45. The 5-year average P/FCF is 10.34. The thresholds are as follows: Strongly Undervalued below 6.06, Undervalued between 6.06 and 8.20, Fairly Valued between 12.49 and 8.20, Overvalued between 12.49 and 14.63, and Strongly Overvalued above 14.63. The current Forward P/FCF of 13.45 falls within the Overvalued range.

Omnicom Group Inc (OMC) has a current Price-to-Book (P/B) ratio of 3.36. Compared to its 3-year average P/B ratio of 4.64 , the current P/B ratio is approximately -27.69% higher. Relative to its 5-year average P/B ratio of 4.79, the current P/B ratio is about -29.95% higher. Omnicom Group Inc (OMC) has a Forward Free Cash Flow (FCF) yield of approximately 6.58%. Compared to its 3-year average FCF yield of 7.45%, the current FCF yield is approximately -11.73% lower. Relative to its 5-year average FCF yield of 8.58% , the current FCF yield is about -23.35% lower.

3.36

P/B

Median3y

4.64

Median5y

4.79

6.58

FCF Yield

Median3y

7.45

Median5y

8.58

Competitors Valuation Multiple

The average P/S ratio for OMC's competitors is 4.49, providing a benchmark for relative valuation. Omnicom Group Inc Corp (OMC) exhibits a P/S ratio of 1.02, which is -77.2% above the industry average. Given its robust revenue growth of 3.98%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of OMC decreased by 6.73% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 11.29 to 11.82.

The secondary factor is the Revenue Growth, contributed 3.98%to the performance.

Overall, the performance of OMC in the past 1 year is driven by P/E Change. Which is more unsustainable.

3.98%

3.88B → 4.04B

Revenue Growth

-15.44%

10.56 → 8.93

Margin Expansion

4.73%

11.29 → 11.82

P/E Change

-6.73%

86.04 → 80.25

Mkt Cap Growth

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Frequently Asked Questions

Is Omnicom Group Inc (OMC) currently overvalued or undervalued?

What is Omnicom Group Inc (OMC) fair value?

OMC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Omnicom Group Inc (OMC) is between 90.86 to 110.79 according to relative valuation methord.

How does OMC's valuation metrics compare to the industry average?

The average P/S ratio for OMC's competitors is 4.49, providing a benchmark for relative valuation. Omnicom Group Inc Corp (OMC) exhibits a P/S ratio of 1.02, which is -77.20% above the industry average. Given its robust revenue growth of 3.98%, this premium appears unsustainable.

What is the current P/B ratio for Omnicom Group Inc (OMC) as of Dec 15 2025?

As of Dec 15 2025, Omnicom Group Inc (OMC) has a P/B ratio of 3.36. This indicates that the market values OMC at 3.36 times its book value.

What is the current FCF Yield for Omnicom Group Inc (OMC) as of Dec 15 2025?

As of Dec 15 2025, Omnicom Group Inc (OMC) has a FCF Yield of 6.58%. This means that for every dollar of Omnicom Group Inc’s market capitalization, the company generates 6.58 cents in free cash flow.

What is the current Forward P/E ratio for Omnicom Group Inc (OMC) as of Dec 15 2025?

As of Dec 15 2025, Omnicom Group Inc (OMC) has a Forward P/E ratio of 8.81. This means the market is willing to pay $8.81 for every dollar of Omnicom Group Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Omnicom Group Inc (OMC) as of Dec 15 2025?

As of Dec 15 2025, Omnicom Group Inc (OMC) has a Forward P/S ratio of 1.02. This means the market is valuing OMC at $1.02 for every dollar of expected revenue over the next 12 months.

OMC Valuation