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Omnicom Group (Omnicom Group) Cyclically Adjusted FCF per Share : $8.19 (As of Mar. 2024)


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What is Omnicom Group Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

Omnicom Group's adjusted free cash flow per share for the three months ended in Mar. 2024 was $-3.206. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $8.19 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Omnicom Group's average Cyclically Adjusted FCF Growth Rate was 2.60% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 4.70% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 5.10% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 6.10% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Omnicom Group was 28.30% per year. The lowest was -12.60% per year. And the median was 8.40% per year.

As of today (2024-05-22), Omnicom Group's current stock price is $94.97. Omnicom Group's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was $8.19. Omnicom Group's Cyclically Adjusted Price-to-FCF of today is 11.60.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Omnicom Group was 16.64. The lowest was 7.20. And the median was 12.28.


Omnicom Group Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Omnicom Group's Cyclically Adjusted FCF per Share 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 FCF per Share Chart

Omnicom Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.78 7.09 7.68 7.99 8.13

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 FCF per Share 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 7.98 7.81 7.95 8.13 8.19

Competitive Comparison of Omnicom Group's Cyclically Adjusted FCF per Share

For the Advertising Agencies subindustry, Omnicom Group's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF 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 Price-to-FCF Distribution in the Media - Diversified Industry

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

* The bar in red indicates where Omnicom Group's Cyclically Adjusted Price-to-FCF falls into.



Omnicom Group Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted FCF 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.

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

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-3.206/131.7762*131.7762
=-3.206

Current CPI (Mar. 2024) = 131.7762.

Omnicom Group Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.751 100.560 0.984
201409 0.689 100.428 0.904
201412 5.490 99.070 7.302
201503 -1.116 99.621 -1.476
201506 0.478 100.684 0.626
201509 1.857 100.392 2.438
201512 6.991 99.792 9.232
201603 -2.055 100.470 -2.695
201606 0.167 101.688 0.216
201609 2.894 101.861 3.744
201612 6.520 101.863 8.435
201703 -0.962 102.862 -1.232
201706 -0.733 103.349 -0.935
201709 0.578 104.136 0.731
201712 9.175 104.011 11.624
201803 -2.838 105.290 -3.552
201806 -0.025 106.317 -0.031
201809 1.363 106.507 1.686
201812 8.365 105.998 10.399
201903 -1.886 107.251 -2.317
201906 -0.538 108.070 -0.656
201909 1.061 108.329 1.291
201912 9.414 108.420 11.442
202003 -4.660 108.902 -5.639
202006 0.547 108.767 0.663
202009 0.854 109.815 1.025
202012 10.919 109.897 13.093
202103 -2.183 111.754 -2.574
202106 0.713 114.631 0.820
202109 2.389 115.734 2.720
202112 5.083 117.630 5.694
202203 -2.706 121.301 -2.940
202206 -1.038 125.017 -1.094
202209 2.260 125.227 2.378
202212 5.675 125.222 5.972
202303 -2.666 127.348 -2.759
202306 -1.386 128.729 -1.419
202309 1.907 129.860 1.935
202312 8.952 129.419 9.115
202403 -3.206 131.776 -3.206

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


Omnicom Group  (NYSE:OMC) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

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 Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Omnicom Group's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=94.97/8.19
=11.60

* 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Omnicom Group was 16.64. The lowest was 7.20. And the median was 12.28.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


Omnicom Group Cyclically Adjusted FCF per Share Related Terms

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


Omnicom Group (Omnicom Group) 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.
Executives
Linda Johnson Rice director
Andrew Castellaneta officer: SVP, Chief Accounting Officer C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Mark D Gerstein director C/O OMNICOM GROUP INC., 280 PARK AVENUE, NEW YORK NY 10017
Rochelle M. Tarlowe officer: Senior VP and Treasurer C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Jonathan B. Nelson officer: CEO, Omnicom Digital C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
John Wren director, officer: President and CEO
Louis F Januzzi officer: Senior VP, Gen. Counsel & Sec. C/O OMNICOMGROUP, 280 PARK AVENUE, NEW YORK NY 10017
Michael J Obrien officer: Senior VP, Gen. Counsel & Sec. C/O OMNICOM GROUP INC, 437 MADISON AVE, NEW YORK NY 10022
Patricia Salas Pineda director C/O LEVI STRAUSS & CO., 1155 BATTERY STREET, SAN FRANCISCO CA 94111
Coleman Leonard S Jr director C/O ELECTRONIC ARTS INC., 209 REDWOOD SHORES PARKWAY, REDWOOD CITY, CA 94065
Dennis E. Hewitt officer: Treasurer 437 MADISON AVENUE, NEW YORK NY 10022
Ronnie S. Hawkins director C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Peter K. Sherman officer: Executive Vice President C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Gracia C Martore director C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Bruce Crawford director, officer: Chairman

Omnicom Group (Omnicom Group) Headlines

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