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How Hard Will Coronavirus Hit Omnicom's (OMC) Q3 Earnings?

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Omnicom Group Inc. (OMC - Free Report) is scheduled to report third-quarter 2020 results on Oct 27, before the bell.

Expectations in Detail

The Zacks Consensus Estimate for revenues is pegged at $3.14 billion, indicating a 13.5% decline from the year-ago quarter’s actual figure. The top line is expected to predominantly reflect the impact of decline in organic revenues, resulting from drop in business activities due to the coronavirus pandemic. 

Decline in acquisition revenues, net of disposition revenues, and unfavorable foreign-exchange movements are also expected to have weighed on the top line. In second-quarter 2020, total revenues of $2.8 billion decreased 24.7% year over year.

The Zacks Consensus Estimate for earnings calls for a pandemic-led year-over-year decline of 15.2%. In second-quarter 2020, adjusted earnings of 92 cents per share decreased 45.2% on a year-over-year basis.

What Our Model Says

Our proven model predicts an earnings beat for Omnicom this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. 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 +0.89% and a Zacks Rank #2.

Omnicom Group Inc. Price and EPS Surprise

Omnicom Group Inc. Price and EPS Surprise

Omnicom Group Inc. price-eps-surprise | Omnicom Group Inc. Quote

Other Stocks That Warrant a Look

Aptiv (APTV - Free Report) has an Earnings ESP of +15.51% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Booz Allen Hamilton (BAH - Free Report) has an Earnings ESP of +3.64% and a Zacks Rank #3.

Waste Connections (WCN - Free Report) has an Earnings ESP of +0.32% and a Zacks Rank #3.

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