Since we published our research report on Omnicom (NYSE:OMC) in early September 2016, the daily stock price correlation between OMC and the S&P500 Index has exceeded 80%.  Which is good news for OMC stock holders, provided the S&P500 Index remains in a bull market.  However, unless OMC management and/or an activist investor takes steps to deal with OMC's capital structure, it appears that  OMC will continue to act as an (expensive) proxy for the broader market.  

Which may mean continued, disappointing OMC stock price performance during the next equity bear market.  

A company with OMC's ROIC track record should outperform the market during good times and bad.  Balance sheet and corporate governance reform cannot come soon enough.