Is Omnicom Group, Inc. overvalued or undervalued?

As of 11 August 2025, the valuation grade for Omnicom Group, Inc. has moved from fair to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued, especially when considering its P/E ratio of 13, which is lower than the peer average of 14.28, and an EV to EBITDA ratio of 8.90, also below the peer average of 9.94. Additionally, Omnicom boasts a strong ROE of 36.44% and a remarkable dividend yield of 97.32%, further supporting its attractive valuation.
In comparison to its peers, Interpublic Group of Cos., Inc. has a P/E of 12.38 and an EV to EBITDA of 6.78, while QuinStreet, Inc. shows a much higher P/E of 44.57 and an EV to EBITDA of 17.53. Despite the attractive valuation metrics, Omnicom's recent stock performance has lagged behind the S&P 500, with a YTD return of -11.62% compared to the index's 12.22%, and a 1Y return of -25.89% versus 17.14%. This suggests that while the company is fundamentally strong, market sentiment may be weighing on its stock price.