Outsourcing Stocks Earnings on Jul 28: ADP, BCO & More

This is a crucial week in the Q2 earnings reporting cycle. As many as 1000 companies are scheduled to report this week including 189 S&P 500 companies. There are plenty of big names on the earnings roster like Facebook FB and Exxon XOM.

So far, growth remains elusive and Q2 is heading on to become the fifth consecutive quarter of earnings decline for the S&P 500 index. As of Friday, Jul 22, 2016, 126 S&P 500 members (or 32.7% of the index’s total market cap) have already reported results. The numbers are bleak with total earnings down 1.1% from the same period last year on 2.6% lower revenues.

Coming to the technology sector, total earnings are expected to be down 3% in spite of 2.7% higher revenues compared with the sector’s 4.5% earnings decline irrespective of 0.4% higher revenues in the last reported earnings cycle.

Let’s take a sneak peek into five outsourcing companies - Automatic Data Processing, Inc. ADP, The Brink's Company BCO, CRA International Inc. CRAI, Exlservice Holdings, Inc. EXLS and Hudson Global, Inc. HSON - that will report earnings on Jul 28, 2016.

New Jersey based-Automatic Data Processing is one of the world’s leading providers of human capital management solutions and integrated computing solutions to vehicle dealers. It serves more than 637K clients across 125 nations.

Automatic Data Processing carries a Zacks Rank #3 (Hold) and has an Earnings ESP of 0.00%.The Zacks Consensus Estimate for fiscal fourth quarter 2016 stands at 67 cents. Last quarter, the company posted a negative earnings surprise of 0.85%. Notably, in the four preceding quarters, Automatic Data has surpassed the Zacks Consensus Estimate twice and missed twice, resulting in a negative average earnings surprise of 0.40%. (Read: Automatic Data Q4 Earnings: Will it Surprise this Time?)

AUTOMATIC DATA Price and EPS Surprise

AUTOMATIC DATA Price and EPS Surprise | AUTOMATIC DATA Quote

The Brink's Company is a global leader in business and security services. It operates under three businesses namely Brink's, Incorporated, a premier provider of secure transportation and cash management services; Brink's Home Security, one of the biggest residential alarm companies in North America; and BAX Global, a leading name in global supply chain management.

Brink's Company carries a Zacks Rank #3 and has an Earnings ESP of 0.00%.The Zacks Consensus Estimate for the second quarter 2016 stands at 28 cents. Last quarter, the company posted a negative earnings surprise of 25.00%. Brink's Company has a four-quarter negative average earnings surprise of 2.43%.

BRINKS CO THE Price and EPS Surprise

BRINKS CO THE Price and EPS Surprise | BRINKS CO THE Quote

CRA International is an economics, finance, and business consulting firm that works with businesses, law firms, accounting firms, and governments to provide a wide range of services. CRA combines economic and financial analysis with expertise in litigation and regulatory support, business strategy and planning, market and demand forecasting, policy analysis, and engineering and technology management.

CRA International carries a Zacks Rank #3 and has an Earnings ESP of 0.00%.The Zacks Consensus Estimate for the second quarter 2016 stands at 33 cents. Last quarter, the company posted a positive earnings surprise of 25.00%. However, CRA International has a four-quarter negative average earnings surprise of 18.38%.

CRA INTL INC Price and EPS Surprise

CRA INTL INC Price and EPS Surprise | CRA INTL INC Quote

Exlservice Holdings, Inc. is a leading provider of offshore Business Process Outsourcing solutions to the Global 1000. It specializes in providing BPO services to the Banking, Financial Services, Insurance, and Utilities industry verticals.

Exlservice Holdings carries a Zacks Rank #3 and has an Earnings ESP of 0.00%.The Zacks Consensus Estimate for the second quarter 2016 stands at 45 cents. Last quarter, the company posted in-line results. Exlservice Holdings has a four-quarter positive average earnings surprise of 6.38%.

EXLSERVICE HLDG Price and EPS Surprise

EXLSERVICE HLDG Price and EPS Surprise | EXLSERVICE HLDG Quote

New York-based Hudson Global, Inc. provides recruitment and related talent solutions worldwide. It offers Permanent Recruitment, Contract Consulting, Legal eDiscovery, Recruitment Process Outsourcing and Talent Management solutions.

Hudson Global carries a Zacks Rank #3 and has an Earnings ESP of 0.00%. Last quarter, the company posted a negative earnings surprise of 233.33%.  Moreover, the company has a four-quarter negative average earnings surprise of 49.98%. The company is scheduled to report second quarter 2016 results.

HUDSON GLOBAL Price and EPS Surprise

HUDSON GLOBAL Price and EPS Surprise | HUDSON GLOBAL Quote

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
EXXON MOBIL CRP (XOM): Free Stock Analysis Report
 
CRA INTL INC (CRAI): Free Stock Analysis Report
 
AUTOMATIC DATA (ADP): Free Stock Analysis Report
 
EXLSERVICE HLDG (EXLS): Free Stock Analysis Report
 
BRINKS CO THE (BCO): Free Stock Analysis Report
 
FACEBOOK INC-A (FB): Free Stock Analysis Report
 
HUDSON GLOBAL (HSON): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research