Jefferies & Company Raises Interpublic Group Estimates

Interpublic Group of Companies IPG reported industry leading organic revenue growth of 9.4%; 10% in the U.S. Operating margin improved significantly YoY to 6.4%, “but missed our aggressive est due to higher incentive comp and temp expense,” Jefferies & Company reports. “We are increasing our FY10/11 revenue to $6,412.1/$6,700.7MM, from $6,382.8/$6,628.0MM previously,” Jefferies & Company writes. “Our estimates assume 5% organic growth in Q4. We are lowering '10 oper margin to 8.6% from 9% previously, but increasing '11 oper margin to 10.2%, from 9.9%. EPS in '10/'11 goes to $0.41/$0.60, from $0.45/$0.55.” Interpublic Group currently trades at $10.35.