Demand Media Inc. DMD is set to report first-quarter 2016 results on May 9. Last quarter, the company posted a loss of 21 cents per share, narrower than the Zacks Consensus Estimate of a loss of 34 cents.Let’s see how things are shaping up for this announcement.Factors to ConsiderHeadquartered in Santa Monica, CA, Demand Media operates as a media company offering two distinct but complementary services: Content & Media, and Registrar. The company uses an Internet-based model to identify, create, distribute and monetize in-demand, long-lived content. It deploys its proprietary Content & Media platform to Demand Media’s owned and operated websites.Declining desktop traffic and the company’s shift from direct display advertising to lower-margin Marketplaces revenues are likely to hurt margins. Moreover, a decline in traffic in eHow and the impact of divesting CoveritLive and Pluck social media businesses are expected to affect the company’s results.Nonetheless, revenue addition from the Saatchi Art acquisition should support the company’s top line.Earnings WhispersOur proven model does not conclusively show that Demand Media is likely to beat estimates this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here, as you will see below.Zacks ESP: Both the Most Accurate estimate and the Zacks Consensus Estimate stand at a loss of 36 cents per share. Hence, the difference is 0.00%.Zacks Rank: Demand Media currently has a Zacks Rank #3, which when combined with a 0.00% ESP, makes surprise prediction difficult.We caution against stocks with a Zacks Rank #4 or 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing a negative estimate revisions momentum.Stocks to ConsiderHere are a few stocks which you may consider, as our model shows that these have the right combination of elements to post an earnings beat this quarter:Synopsys Inc. SNPS, with an Earnings ESP of +6.38% and a Zacks Rank #1.Asure Software, Inc. ASUR, with an Earnings ESP of +200.00% and a Zacks Rank #3.Lumos Networks Corp. LMOS, with an Earnings ESP of +50.00% and a Zacks Rank #3.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 DEMAND MEDIA (DMD): Free Stock Analysis Report ASURE SOFTWARE (ASUR): Free Stock Analysis Report LUMOS NETWORKS (LMOS): Free Stock Analysis Report SYNOPSYS INC (SNPS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research