What's Next: Gartner's Earnings Preview

Gartner IT is preparing to release its quarterly earnings on Tuesday, 2024-11-05. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Gartner to report an earnings per share (EPS) of $2.39.

The market awaits Gartner's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings History Snapshot

During the last quarter, the company reported an EPS beat by $0.22, leading to a 0.49% increase in the share price on the subsequent day.

Here's a look at Gartner's past performance and the resulting price change:

Tracking Gartner's Stock Performance

Shares of Gartner were trading at $503.69 as of November 01. Over the last 52-week period, shares are up 26.83%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Insights on Gartner

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Gartner.

Gartner has received a total of 3 ratings from analysts, with the consensus rating as Underperform. With an average one-year price target of $474.33, the consensus suggests a potential 5.83% downside.

Peer Ratings Overview

In this comparison, we explore the analyst ratings and average 1-year price targets of Cognizant Tech Solns, EPAM Sys and Globant, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• The consensus among analysts is an Neutral trajectory for Cognizant Tech Solns, with an average 1-year price target of $80.8, indicating a potential 83.96% downside.
• As per analysts' assessments, EPAM Sys is favoring an Outperform trajectory, with an average 1-year price target of $230.12, suggesting a potential 54.31% downside.
• As per analysts' assessments, Globant is favoring an Outperform trajectory, with an average 1-year price target of $231.69, suggesting a potential 54.0% downside.

Analysis Summary for Peers

In the peer analysis summary, key metrics for Cognizant Tech Solns, EPAM Sys and Globant are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Gartner ranks at the top for Gross Profit and Return on Equity among its peers. It is in the middle for Revenue Growth.

Delving into Gartner's Background

Gartner Inc provides independent research and analysis on information technology and other related technology industries. Its research is delivered to clients' desktops in the form of reports, briefings, and updates. Typical clients are chief information officers and other business executives who help plan companies' IT budgets. Gartner also provides consulting services. The Company operates through three business segments, namely Research, Conferences and Consulting. The company generates majority of the revenue from Research segment.

A Deep Dive into Gartner's Financials

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: Over the 3 months period, Gartner showcased positive performance, achieving a revenue growth rate of 6.11% as of 30 June, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Gartner's net margin is impressive, surpassing industry averages. With a net margin of 14.39%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Gartner's ROE stands out, surpassing industry averages. With an impressive ROE of 33.64%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Gartner's ROA excels beyond industry benchmarks, reaching 3.03%. This signifies efficient management of assets and strong financial health.

Debt Management: With a high debt-to-equity ratio of 4.53, Gartner faces challenges in effectively managing its debt levels, indicating potential financial strain.

To track all earnings releases for Gartner visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.