WallStSmart

National CineMedia Inc (NCMI)vsOmnicom Group Inc (OMC)

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Smart Verdict

WallStSmart Research — data-driven comparison

Omnicom Group Inc generates 8884% more annual revenue ($22.37B vs $249.00M). OMC leads profitability with a 1.7% profit margin vs -3.1%. NCMI appears more attractively valued with a PEG of 0.70. OMC earns a higher WallStSmart Score of 73/100 (B).

NCMI

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 2.0Value: 7.7Quality: 7.5
Piotroski: 5/9Altman Z: 2.85

OMC

Strong Buy

73

out of 100

Grade: B

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NCMIUndervalued (+49.4%)

Margin of Safety

+49.4%

Fair Value

$6.66

Current Price

$1.75

$4.91 discount

UndervaluedFair: $6.66Overvalued
OMCUndervalued (+18.7%)

Margin of Safety

+18.7%

Fair Value

$85.26

Current Price

$77.77

$7.49 discount

UndervaluedFair: $85.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NCMI4 strengths · Avg: 9.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.708/10

Growing faster than its price suggests

EPS GrowthGrowth
20.8%8/10

Earnings expanding 20.8% YoY

OMC3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
63.4%10/10

Revenue surging 63.4% year-over-year

EPS GrowthGrowth
58.8%10/10

Earnings expanding 58.8% YoY

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Areas to Watch

NCMI4 concerns · Avg: 2.0/10
Market CapQuality
$177.79M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-2.4%2/10

ROE of -2.4% — below average capital efficiency

Free Cash FlowQuality
$-2.20M2/10

Negative free cash flow — burning cash

Profit MarginProfitability
-3.1%1/10

Currently unprofitable

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

ROE of 7.1% — below average capital efficiency

Profit MarginProfitability
1.7%3/10

1.7% margin — thin

Debt/EquityHealth
1.143/10

Elevated debt levels

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : NCMI

The strongest argument for NCMI centers on Price/Book, Debt/Equity, PEG Ratio. Revenue growth of 12.7% demonstrates continued momentum. PEG of 0.70 suggests the stock is reasonably priced for its growth.

Bull Case : OMC

The strongest argument for OMC centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 63.4% demonstrates continued momentum. PEG of 1.22 suggests the stock is reasonably priced for its growth.

Bear Case : NCMI

The primary concerns for NCMI are Market Cap, Return on Equity, Free Cash Flow.

Bear Case : OMC

The primary concerns for OMC are Return on Equity, Profit Margin, Debt/Equity. A P/E of 200.4x leaves little room for execution misses. Thin 1.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

NCMI profiles as a turnaround stock while OMC is a hypergrowth play — different risk/reward profiles.

NCMI carries more volatility with a beta of 1.63 — expect wider price swings.

OMC is growing revenue faster at 63.4% — sustainability is the question.

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

Bottom Line

OMC scores higher overall (73/100 vs 56/100) and 63.4% revenue growth. NCMI offers better value entry with a 49.4% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

National CineMedia Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

National CineMedia, Inc., through its subsidiary, National CineMedia, LLC, operates a theatrical advertising network in North America. The company is headquartered in Centennial, Colorado.

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.

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