On the stock market since 1980, it operates in the world of media and communication. It has 120,000 employees. Now — the numbers.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
No real growth (5% a year). Red columns mark years that ended in a loss.
Before the clock runs out, either sales must climb sharply or new money must come in. For now, time is on the company’s side.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit indicators sit around the sector average.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
There is growth, but not at top-of-the-class tempo.
Clearly above the class average — a step short of the very top.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
The stock trades 17% below its peak. The market has trimmed its expectations for the company.
The company sells $17.3B a year; the problem isn’t sales — it’s costs running above that number.
Over the last 12 months, company executives reported 45 buys and 12 sells. Management buying with its own money is usually read as a good sign.
The average analyst price target is $101 — 16% above today’s price.
A loss of $54.5M against $17.3B in annual sales.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 49/100.
On our five-subject report card, OMC sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: OMC has solid sales but closed last year at a loss. The road back to profit runs through spending discipline.