With a market cap of $30.9 billion, Gartner, Inc. (IT) is a global leader in information technology research and advisory services, renowned for delivering expert insights that support strategic decision-making. Leveraging a broad and deep portfolio of research, consulting, and events, Gartner empowers organizations to navigate complex business and technology landscapes with confidence.
The Stamford, Connecticut-based company is slated to announce its fiscal Q1 2025 earnings results on Tuesday, Apr. 29. Ahead of this event, analysts expect IT to report a profit of $2.74 per share, a 6.5% drop from $2.93 per share in the year-ago quarter. However, it has exceeded Wall Street's earnings expectations in the past four quarters. In Q4 2024, IT beat the consensus EPS estimate by a 69.3% margin.
For fiscal 2025, analysts expect the research and advisory specialist to report EPS of $12.31, marking a decrease of 12.6% from $14.09 in fiscal 2024. Nevertheless, EPS is anticipated to grow 10.3% year-over-year to $13.58 in fiscal 2026.
Shares of Gartner have declined 9.7% over the past 52 weeks, underperforming the broader S&P 500 Index's ($SPX) 5.2% rise and the Technology Select Sector SPDR Fund's (XLK) 2.8% dip over the same period.
Despite Gartner's strong Q4 2024 results with adjusted EPS of $5.45 beating estimates and revenue of $1. billion topping forecasts, shares of IT fell marginally on Feb. 4. While the Research segment grew 5% to $1.3 billion and Consulting surged 19% to $153 million, the modest 8% increase in contract value to $5.3 billion and 5% Research growth signaled a possible slowdown in core subscription expansion.
Management’s 2025 outlook called for continued double-digit growth, but without detailed forward revenue or EPS guidance, some investors viewed the report as strong but fully priced in.
Analysts' consensus view on Gartner stock remains cautiously optimistic, with a "Moderate Buy" rating overall. Out of 10 analysts covering the stock, five recommend a "Strong Buy," four "Holds," and one "Strong Sell." As of writing, IT is trading below the average analyst price target of $516.33.
