Omnicom Group Inc (OMC)vsStarbucks Corporation (SBUX)
OMC
Omnicom Group Inc
$75.74
+0.46%
COMMUNICATION SERVICES · Cap: $23.72B
SBUX
Starbucks Corporation
$92.70
+0.78%
CONSUMER CYCLICAL · Cap: $104.79B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 118% more annual revenue ($37.70B vs $17.27B). SBUX leads profitability with a 3.6% profit margin vs -0.3%. SBUX appears more attractively valued with a PEG of 1.53. OMC earns a higher WallStSmart Score of 49/100 (D+).
OMC
Hold49
out of 100
Grade: D+
SBUX
Hold39
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for OMC.
Margin of Safety
-1135.9%
Fair Value
$8.02
Current Price
$92.70
$84.68 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 27.9% year-over-year
Generating 3.0B in free cash flow
Large-cap with strong market position
Generating 1.3B in free cash flow
Areas to Watch
ROE of 0.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Earnings declined 10.3%
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.6% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : OMC
The strongest argument for OMC centers on Price/Book, Revenue Growth, Free Cash Flow. Revenue growth of 27.9% demonstrates continued momentum.
Bull Case : SBUX
The strongest argument for SBUX centers on Market Cap, Free Cash Flow.
Bear Case : OMC
The primary concerns for OMC are Return on Equity, Piotroski F-Score, PEG Ratio.
Bear Case : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 78.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
OMC profiles as a growth stock while SBUX is a value play — different risk/reward profiles.
SBUX carries more volatility with a beta of 0.93 — expect wider price swings.
OMC is growing revenue faster at 27.9% — sustainability is the question.
OMC generates stronger free cash flow (3.0B), providing more financial flexibility.
Bottom Line
OMC scores higher overall (49/100 vs 39/100) and 27.9% revenue growth. Both earn "Hold" 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 →Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
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