Monster Worldwide, Inc. is set to report third-quarter 2016 results on Oct 21. Let's see how things are shaping up for this announcement.
Factors to Consider
The company has been going through a tough time ever since it announced its takeover by Dutch firm, Randstad in Aug 2016. This is because its biggest shareholder, MediaNews (11.6% stake in Monster) continues to vehemently oppose the deal saying it has “no confidence” in the existing board and CEO owing to their repeated failures to take correct “strategic and operational decisions to maximize value for shareholders.”
On Oct 5, the company provided preliminary revenue guidance for third-quarter 2016. Since then, its shares have tanked approximately 2.8%. Monster had projected quarterly revenues between $143 million and $145 million. Investors were not pleased as this implies a sales decline of about 14% from the prior-year quarter figure of $167.1 million.
CEO Tim Yates stated "Q3 continued to be a challenging business environment." He further clarified "While we are gaining traction in North America as a result of our new product initiatives and pay per click business, the continued pressure on our core traditional product offerings combined with the weakness in bookings in prior quarters has resulted in a decline in third quarter 2016 revenue in North America of 16% on a year over year basis."
Stocks to Consider
Here are a few stocks that, as per our model, have the right combination of the two key components, a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), to post an earnings beat this quarter:
Amazon.com Inc. (AMZN - Free Report) has an Earnings ESP of +6.98% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
FleetCor Technologies, Inc. (FLT - Free Report) has an Earnings ESP of +1.72% and a Zacks Rank #2.
Seagate Technology plc (STX - Free Report) , with an Earnings ESP of +3.37% and a Zacks Rank #2.
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