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Ad Giant Interpublic Tumbles, Drags Sector Lower After Warning About State Of Ad Industry

Ad Giant Interpublic Tumbles, Drags Sector Lower After Warning About State Of Ad Industry

Amid the Dow Jones making fresh all time highs on the back of solid earnings by key Dow components, a largely unreported adverse development for the critical - for tech companies - ad sector has gone largely unnoticed this morning, when ad giant Interpublic reported a miss on 3Q adjusted EPS and revenue estimates, with CEO Michael Roth warning that "organic revenue was negatively impacted by broader trends that are being felt throughout much of the industry."

Interpublic now sees FY organic revenue growth of 1%-2%, below Jefferies' estimate of 2.1%.