HOW TO PLAY IT
advertising is one of many industries being upended by the “FAANG effect.” Many companies are radically altering their ad expenditures as a result. While that has hurt the stock of ad giant omnicom group, whose subsidiaries include BBDO, DDB and TBWA\Chiat\Day, its financial stats are healthy: according to my estimates, return on invested capital is about 13%, and free cash flow yield is 5%. Historically omnicom has offered good value when the dividend yield reaches 2.2%. based on the current cash dividend of $2.40, a 2.2% dividend yield would be realized at $109 per share. it recently closed around $75.