Printing Stocks To Watch For Earnings On Aug 2: ARC, KRNT

With 317 companies on the S&P 500 index having reported their numbers, it can be safely said that the overall trends are pretty much set for all the sectors. These companies that account for 73.5% of the index’s total market capitalization, have suffered a 3.3% decline in earnings. Overall, total S&P 500 earnings are expected to be down 3.4% on a 0.4% dip in revenues. If the estimates are proved to be true, this will be the fifth quarter in a row to suffer an earnings decline. (Read more: Q2 Earnings Trends Already Established).

The Printing-commercial industry falls under the Industrial Products sector – one of the 16 Zacks sectors. In the Industrial Products sector, 71.4% of the companies have reported their second-quarter numbers and put up a 1.4% fall in earnings on the scoreboard. Based on our projections for the quarter, growth will be in the red for 9 of the 16 Zacks sectors and the Industrial Products sector will be no exception as the sector’s earnings are anticipated to fall 5.1% in the quarter. However, it is a major improvement, compared to the unceremonious 22.2% plunge in earnings suffered by the sector in first-quarter 2016.

Let’s have a look at how the printing stocks are likely to fare as they report their numbers on Aug 2.

ARC Document Solutions, Inc. (NYSE:ARC) – a document solutions company providing business-to-business document management technology and services to the architectural, engineering and construction or AEC industries – will report its second-quarter results on Aug 2, 2016.

The company is working hard to offset the slow secular declines in its traditional business with new solutions. The company’s Earnings ESP of 0.00% and Zacks Rank #3 (Hold) make surprise prediction difficult.

The stock has posted an average positive earnings surprise of 60.32% in the trailing four quarters.

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