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Stock impact report

Citi says this sector remain compelling despite tariff hit [Yahoo! Finance]

Omnicom Group Inc. (OMC) 
Last omnicom group inc. earnings: 4/28 06:25 am Check Earnings Report
US:NYSE Investor Relations: investor.omnicomgroup.com
Company Research Source: Yahoo! Finance
The brokerage resumed coverage on U.S. advertising giants Omnicom and Interpublic Group with Buy ratings. Citi expects U.S. advertising spend to come in about 6% below pre-tariff estimates in 2025 and 5% lower in 2026. Citi lowered revenue forecasts for both firms by 3% and now expects organic growth at Omnicom to be just 1% and Interpublic to decline 3.5% in 2025, below both company guidance and Street estimates. Despite this muted outlook, Citi said the pro forma firm post-merger is undervalued. “Pro forma OMC is now trading at about 9x 2026 EPS,” Citi wrote, adding the only other time the stock fetched a lower multiple was during the 2008 financial crisis. “We expect the multiple to expand given the pro forma firm should be in a stronger position to serve clients with improved scale and broader technical capabilities,” analysts at Citi added. Citi projects the Omnicom-IPG combination could generate $8.26 of adjusted EPS in 2026, rising to $9.42 in 2027, supported by $7 Show less Read more
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