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Interpublic (IPG) to Report Q1 Earnings: What's in Store?

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The Interpublic Group of Companies, Inc. (IPG - Free Report) is scheduled to report first-quarter 2020 results on Apr 22, before the opening bell.

So far this year, shares of Interpublic have declined 36.3% compared with decline of 43.1% and 10.9% for the industry and the Zacks S&P 500 composite, respectively.

Let's check out how things have shaped up for the announcement.

What to Expect This Time Around

Unfavorable impact of foreign currency movements is likely to have partially offset the positive impact of organic growth and acquisitions. This may get reflected in Interpublic’s fourth-quarter 2019 revenues, the Zacks Consensus Estimate for which is pegged at $1.94 billion, indicating a decrease of 3.2% from the year-ago quarter reported figure. In fourth-quarter 2019, total revenues of $2.43 billion increased 0.8% year over year.

The Zacks Consensus Estimate for earnings per share is pegged at 10 cents, indicating a year-over-year decline of 9.1%. In fourth-quarter 2019, adjusted earnings of 88 cents per share declined 1.1% year over year.

What Our Model Says

Our proven Zacks model does not predict an earnings beat for Interpublic 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. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Interpublic has an Earnings ESP of -5.26% and a Zacks Rank #3.

Stocks to Consider

Here are a few stocks from the broader Zacks Business Services sector that investors may consider, as our model shows that these have the right combination of elements to beat on first-quarter 2020 earnings.

Huron Consulting (HURN - Free Report) has an Earnings ESP of +3.20% and a Zacks Rank #2. The company is slated to release results on Apr 30. You can see the complete list of today’s Zacks #1 Rank stocks here.

Verisk Analytics (VRSK - Free Report) has an Earnings ESP of +2.43% and a Zacks Rank #3. The company is slated to report results on May 5.

ICF International (ICFI - Free Report) has an Earnings ESP of +3.08% and a Zacks Rank #3. The company is slated to release results on May 5.

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