Alphabet (GOOG) Competitors

Omnicom Group (NYSE:OMC) and Alphabet (NASDAQ:GOOG) are both large-cap business services companies, but which is the better investment? We will compare the two companies based on the strength of their risk, media sentiment, valuation, community ranking, dividends, analyst recommendations, earnings, profitability and institutional ownership.

Do analysts recommend OMC or GOOG?

Omnicom Group presently has a consensus price target of $105.75, indicating a potential upside of 33.11%. Alphabet has a consensus price target of $209.13, indicating a potential upside of 23.07%. Given Omnicom Group's higher possible upside, analysts plainly believe Omnicom Group is more favorable than Alphabet.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Omnicom Group	1 Sell rating(s)	3 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.44
Alphabet	1 Sell rating(s)	6 Hold rating(s)	14 Buy rating(s)	3 Strong Buy rating(s)	2.79

Is OMC or GOOG more profitable?

Alphabet has a net margin of 28.60% compared to Omnicom Group's net margin of 9.44%. Omnicom Group's return on equity of 36.39% beat Alphabet's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Omnicom Group	9.44%	36.39%	5.67%
Alphabet	28.60%	32.49%	23.52%

Is OMC or GOOG a better dividend stock?

Omnicom Group pays an annual dividend of $2.80 per share and has a dividend yield of 3.5%. Alphabet pays an annual dividend of $0.80 per share and has a dividend yield of 0.5%. Omnicom Group pays out 37.6% of its earnings in the form of a dividend. Alphabet pays out 9.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Which has more risk and volatility, OMC or GOOG?

Omnicom Group has a beta of 0.98, meaning that its share price is 2% less volatile than the S&P 500. Comparatively, Alphabet has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Which has preferable valuation & earnings, OMC or GOOG?

Alphabet has higher revenue and earnings than Omnicom Group. Omnicom Group is trading at a lower price-to-earnings ratio than Alphabet, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Omnicom Group	$15.69B	1.00	$1.48B	$7.45	10.66
Alphabet	$350.02B	5.92	$100.12B	$8.05	21.11

Does the media prefer OMC or GOOG?

In the previous week, Alphabet had 171 more articles in the media than Omnicom Group. MarketBeat recorded 196 mentions for Alphabet and 25 mentions for Omnicom Group. Alphabet's average media sentiment score of 0.93 beat Omnicom Group's score of 0.65 indicating that Alphabet is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Omnicom Group	11 Very Positive mention(s)	2 Positive mention(s)	8 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive
Alphabet	127 Very Positive mention(s)	22 Positive mention(s)	27 Neutral mention(s)	18 Negative mention(s)	2 Very Negative mention(s)	Positive

Does the MarketBeat Community prefer OMC or GOOG?

Alphabet received 2042 more outperform votes than Omnicom Group when rated by MarketBeat users. Likewise, 82.56% of users gave Alphabet an outperform vote while only 49.61% of users gave Omnicom Group an outperform vote.

Company	Underperform	Outperform
Omnicom Group	Outperform Votes 381 49.61%	Underperform Votes 387 50.39%
Alphabet	Outperform Votes 2423 82.56%	Underperform Votes 512 17.44%

Do insiders and institutionals have more ownership in OMC or GOOG?

92.0% of Omnicom Group shares are owned by institutional investors. Comparatively, 27.3% of Alphabet shares are owned by institutional investors. 1.3% of Omnicom Group shares are owned by company insiders. Comparatively, 13.0% of Alphabet shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Alphabet beats Omnicom Group on 17 of the 21 factors compared between the two stocks.