UPDATE: Deutsche Bank Reiterates Buy Rating, Raises PT on Omnicom Group

In a report published Monday, Deutsche Bank reiterated its Buy rating on Omnicom Group OMC, and raised its price target from $52.00 to $59.00. Deutsche Bank noted, “While we are slightly trimming '12 EPS, there is no material change in trend, and Omnicom remains on target for full year goals. The shares may be up nicely since Q2 results at +8.0%, but so too is the S&P at +7.1%. On a relative basis, we think the PE premium vs the S&P should be greater than the current +3%, given better growth and lower volatility. At our $59 TP ($52 prior) the shares would trade at a more reasonable 11% premium on 2013 consensus numbers yet would still be at a 10% discount to the historical 16x mid-cycle multiple.” Omnicom Group closed on Friday at $53.74.