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Nielsen (NLSN) to Report Q3 Earnings: What's in the Offing?

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Nielsen Holdings Plc is slated to report third-quarter 2019 results on Oct 28. In the last reported quarter, it delivered a positive earnings surprise of 29.27%.

Notably, the company outperformed the Zacks Consensus Estimate in two of the last four quarters, with the average positive surprise being 7.27%.

Performance in the Last Reported Quarter

Nielsen reported second-quarter 2019 non-GAAP earnings of 53 cents per share, which surpassed the Zacks Consensus Estimate of 41 cents.

In addition, revenues of $1.628 billion marginally surpassed the Zacks Consensus Estimate of $1.621 billion.However, the top line decreased 1.2% year over year.

Let’s see how things have shaped up prior to this announcement.

Nielsen Holdings Plc Price and EPS Surprise

 

Key Factors to Consider

Nielsen has been strengthening presence in advertising and diary measurement markets through strategic partnerships. This is expected to have continued in the quarter to be reported.

During the quarter, its other innovative services continued to gain traction among TV and media companies. This is likely to have accelerated adoption rate and increased Global Media revenues in the quarter to be reported.

However, sluggish growth in emerging markets served might have hurt top-line growth in the to-be-reported quarter. Further, ongoing investments in technology and infrastructure may have hampered margin expansion and profitability. In addition, higher expenses are expected to get reflected in the bottom-line number.

Earnings Whispers

Our proven model does not conclusively predict an earnings beat for Nielsen this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that is not the case here.

Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, Nielsenhas a Zacks Rank #3.

Stocks to Consider

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 in the upcoming releases.

Advanced Energy Industries, Inc. (AEIS - Free Report) has an Earnings ESP of +4.17% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Advanced Micro Devices, Inc. (AMD - Free Report) has an Earnings ESP of +6.54% and a Zacks Rank of #2.

Spotify Technology SA (SPOT - Free Report) has an Earnings ESP of +26.98% and a Zacks Rank #3.

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