Omnicom Gears Up to Report Q1 Earnings: What's in the Cards?

Zacks
14 Apr

Omnicom Group OMC is scheduled to release its first-quarter 2025 results on April 15, after the bell.

See Zacks Earnings Calendar to stay ahead of market-making news.

The company has had an impressive earnings surprise history. It outperformed the Zacks Consensus Estimate in all the trailing four quarters, delivering an earnings surprise of 5.1%, on average.

Omnicom Group Inc. Price and EPS Surprise

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

Q1 Expectations

The Zacks Consensus Estimate for the top line is currently pegged at $3.7 billion, indicating 1.5% growth from the year-ago reported quarter. The top line is expected to have been positively impacted by organic growth and acquisition revenues, net of disposition revenues.

The bottom line is expected to have been impacted by high operating expenses. The Zacks Consensus Estimate for the bottom line is pegged at $1.63, indicating a 2.4% year-over-year decline.

What Our Model Says

Our proven Zacks model does not conclusively predict an earnings beat for OMC this season. 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.

OMC has an Earnings ESP of 0.00% and a Zacks Rank of 4 (Sell).

Stocks to Consider

Here are a few stocks from the broader Business Services sector, which, according to our model, have the right combination of elements to beat on earnings this season.

Booz Allen Hamilton BAH: The Zacks Consensus Estimate for the company’s fourth-quarter fiscal 2025 revenues is pegged at $3 billion, implying an 8.9% increase from the year-ago quarter’s reported figure. For earnings, the consensus mark is pegged at $1.59 per share, suggesting a 19.6% rise from the year-ago quarter’s actual. The company beat the consensus estimate in three of the past four quarters and missed once, with an average surprise of 6.7%.

BAH has an Earnings ESP of +5.74% and currently flaunts a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Waste Connections WCN: The Zacks Consensus Estimate for the company’s first-quarter 2025 revenues is pegged at $2.2 billion, indicating a 7.1% rise year over year. For earnings, the consensus mark is pegged at $1.07 per share, suggesting a 2.9% increase from the year-ago quarter’s reported figure. The company beat the consensus estimate in three of the past four quarters and missed once, with an average surprise of 1.9%.

WCN currently carries an Earnings ESP of +2.15% and a Zacks Rank of 3.

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Omnicom Group Inc. (OMC) : Free Stock Analysis Report

Waste Connections, Inc. (WCN) : Free Stock Analysis Report

Booz Allen Hamilton Holding Corporation (BAH) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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