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Omnicom (OMC) to Report Q1 Earnings: Is a Beat in Store?

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Omnicom Group Inc. (OMC - Free Report) is scheduled to report first-quarter 2019 results on Apr 16, before market open. Shares of the company have gained 5.3% over the past year against the industry’s decline of 14.1%.

How Things are Shaping Up?

The Zacks Consensus Estimate for revenues in the to-be-reported quarter is pegged at $3.5 billion, indicating a 4.5% decline from the year-ago quarter’s actual figure. The top line is expected to be hurt by a decrease in acquisition revenues, net of disposition revenues, which is likely to be partially offset by higher organic revenue growth.

The Zacks Consensus Estimate indicates organic revenue growth of 2.1% in the to-be reported quarter. The consensus mark for acquisition revenues indicates year-over-year decline of 3.7%.

Omnicom Group Inc. Revenue (TTM)

In fourth-quarter 2018, revenues of $4.1 billion decreased 2.2% year over year. While acquisition revenues, net of dispositions revenues declined 2.4%, organic revenue growth was 3.2%.

The Zacks Consensus Estimate for earnings in the to-be-reported quarter is pegged at $1.08 per share, indicating year-over-year decline of 5.3%.

What Our Model Suggests?

According to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or #3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP. Zacks Rank #4 (Sell) or #5 (Strong Sell) stocks are best avoided, especially if they have a negative Earnings ESP. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Omnicom has an Earnings ESP of 0.00% and a Zacks Rank #2, a combination that makes earnings surprise difficult.

Stocks That Warrant a Look

Here are some stocks that you may want to consider, as our model shows that these have the right combination of elements to deliver a positive earnings surprise:

Automatic Data Processing (ADP - Free Report) , with an Earnings ESP of +1.42% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Delphi Technologies , with an Earnings ESP of +1.38% and a Zacks Rank #3.

S&P Global (SPGI - Free Report) , with an Earnings ESP of +0.63% and a Zacks Rank #3.

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