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Omnicom Group (STU:OCN) Cyclically Adjusted PB Ratio : 6.09 (As of Jun. 10, 2024)


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What is Omnicom Group Cyclically Adjusted PB Ratio?

As of today (2024-06-10), Omnicom Group's current share price is €83.92. Omnicom Group's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was €13.78. Omnicom Group's Cyclically Adjusted PB Ratio for today is 6.09.

The historical rank and industry rank for Omnicom Group's Cyclically Adjusted PB Ratio or its related term are showing as below:

STU:OCN' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 3.76   Med: 5.73   Max: 6.81
Current: 6.13

During the past years, Omnicom Group's highest Cyclically Adjusted PB Ratio was 6.81. The lowest was 3.76. And the median was 5.73.

STU:OCN's Cyclically Adjusted PB Ratio is ranked worse than
93.96% of 695 companies
in the Media - Diversified industry
Industry Median: 1.1 vs STU:OCN: 6.13

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Omnicom Group's adjusted book value per share data for the three months ended in Mar. 2024 was €16.748. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €13.78 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Omnicom Group Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Omnicom Group's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Omnicom Group Cyclically Adjusted PB Ratio Chart

Omnicom Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.39 4.97 5.45 5.77 5.92

Omnicom Group Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.56 6.54 5.08 5.92 6.51

Competitive Comparison of Omnicom Group's Cyclically Adjusted PB Ratio

For the Advertising Agencies subindustry, Omnicom Group's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Omnicom Group's Cyclically Adjusted PB Ratio Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Omnicom Group's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Omnicom Group's Cyclically Adjusted PB Ratio falls into.



Omnicom Group Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Omnicom Group's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=83.92/13.78
=6.09

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Omnicom Group's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Omnicom Group's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=16.748/131.7762*131.7762
=16.748

Current CPI (Mar. 2024) = 131.7762.

Omnicom Group Quarterly Data

Book Value per Share CPI Adj_Book
201406 10.128 100.560 13.272
201409 9.500 100.428 12.465
201412 9.369 99.070 12.462
201503 8.973 99.621 11.869
201506 9.707 100.684 12.705
201509 9.114 100.392 11.963
201512 9.392 99.792 12.402
201603 8.925 100.470 11.706
201606 8.586 101.688 11.126
201609 8.778 101.861 11.356
201612 8.733 101.863 11.298
201703 8.565 102.862 10.973
201706 8.702 103.349 11.096
201709 9.180 104.136 11.617
201712 9.603 104.011 12.166
201803 9.371 105.290 11.728
201806 8.856 106.317 10.977
201809 9.108 106.507 11.269
201812 10.000 105.998 12.432
201903 9.699 107.251 11.917
201906 9.687 108.070 11.812
201909 10.161 108.329 12.360
201912 11.831 108.420 14.380
202003 10.203 108.902 12.346
202006 9.870 108.767 11.958
202009 10.319 109.815 12.383
202012 11.792 109.897 14.140
202103 12.543 111.754 14.790
202106 12.925 114.631 14.858
202109 13.116 115.734 14.934
202112 13.841 117.630 15.506
202203 13.239 121.301 14.382
202206 13.084 125.017 13.791
202209 13.604 125.227 14.316
202212 15.145 125.222 15.938
202303 14.605 127.348 15.113
202306 14.793 128.729 15.143
202309 15.398 129.860 15.625
202312 16.748 129.419 17.053
202403 16.748 131.776 16.748

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Omnicom Group  (STU:OCN) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Omnicom Group Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Omnicom Group's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Omnicom Group (STU:OCN) Business Description

Traded in Other Exchanges
Address
280 Park Avenue, New York, NY, USA, 10017
Omnicom is the world's second-largest ad holding company, based on annual revenue. The firm's services, which include traditional and digital advertising and public relations, are provided worldwide, with over 80% of its revenue coming from more developed regions such as North America and Europe.