WallStSmart

Omnicom Group Inc (OMC)vsStagwell Inc (STGW)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Omnicom Group Inc generates 695% more annual revenue ($24.76B vs $3.11B). OMC leads profitability with a 2.9% profit margin vs 0.3%. STGW appears more attractively valued with a PEG of 0.38. OMC earns a higher WallStSmart Score of 71/100 (B).

OMC

Strong Buy

71

out of 100

Grade: B

Growth: 8.7Profit: 5.5Value: 5.3Quality: 2.5
Piotroski: 1/9Altman Z: 0.77

STGW

Hold

46

out of 100

Grade: D+

Growth: 4.0Profit: 4.5Value: 5.7Quality: 3.0
Piotroski: 4/9Altman Z: 0.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

OMCUndervalued (+23.6%)

Margin of Safety

+23.6%

Fair Value

$90.69

Current Price

$86.84

$3.85 discount

UndervaluedFair: $90.69Overvalued

Intrinsic value data unavailable for STGW.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

OMC3 strengths · Avg: 8.7/10
Revenue GrowthGrowth
59.1%10/10

Revenue surging 59.1% year-over-year

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

EPS GrowthGrowth
36.0%8/10

Earnings expanding 36.0% YoY

STGW1 strengths · Avg: 10.0/10
PEG RatioValuation
0.3810/10

Growing faster than its price suggests

Areas to Watch

OMC4 concerns · Avg: 3.0/10
Return on EquityProfitability
7.1%3/10

ROE of 7.1% — below average capital efficiency

Profit MarginProfitability
2.9%3/10

2.9% margin — thin

Debt/EquityHealth
1.143/10

Elevated debt levels

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

STGW4 concerns · Avg: 2.5/10
Return on EquityProfitability
2.6%3/10

ROE of 2.6% — below average capital efficiency

Profit MarginProfitability
0.3%3/10

0.3% margin — thin

P/E RatioValuation
379.0x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-22.2%2/10

Earnings declined 22.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : OMC

The strongest argument for OMC centers on Revenue Growth, Price/Book, EPS Growth. Revenue growth of 59.1% demonstrates continued momentum. PEG of 1.22 suggests the stock is reasonably priced for its growth.

Bull Case : STGW

The strongest argument for STGW centers on PEG Ratio. PEG of 0.38 suggests the stock is reasonably priced for its growth.

Bear Case : OMC

The primary concerns for OMC are Return on Equity, Profit Margin, Debt/Equity. A P/E of 89.7x leaves little room for execution misses. Thin 2.9% margins leave little buffer for downturns.

Bear Case : STGW

The primary concerns for STGW are Return on Equity, Profit Margin, P/E Ratio. A P/E of 379.0x leaves little room for execution misses. Debt-to-equity of 2.40 is elevated, increasing financial risk.

Key Dynamics to Monitor

OMC profiles as a hypergrowth stock while STGW is a value play — different risk/reward profiles.

STGW carries more volatility with a beta of 1.22 — expect wider price swings.

OMC is growing revenue faster at 59.1% — sustainability is the question.

OMC generates stronger free cash flow (913M), providing more financial flexibility.

Bottom Line

OMC scores higher overall (71/100 vs 46/100) and 59.1% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Omnicom Group Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City.

Visit Website →

Stagwell Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

Stagwell Inc. (STGW) is a leading digital marketing and communications agency, founded in 2015, renowned for its innovative, performance-driven strategies across advertising, public relations, and digital media platforms. Leveraging advanced technology and data analytics, Stagwell delivers measurable results for clients, solidifying its status as a front-runner in the evolving marketing landscape. With a strategic focus on targeted acquisitions, the company enhances its competitive advantage and growth potential, making it an attractive investment prospect for institutional investors seeking exposure to the expanding global digital economy.

Visit Website →

Want to dig deeper into these stocks?