Reasons Why You Should Retain Gartner (IT) in Your Portfolio
Gartner IT offers timely, thought-provoking and comprehensive analysis, which is known for its high quality, independence and objectivity. Its research reports have become indispensable tools for various companies across different sectors, thus strengthening its leading position in the market.
IT has an impressive Growth Score of B. This style score condenses all the essential metrics from a company’s financial statements to get a true sense of the quality and sustainability of its growth.
Gartner has performed well on the bourses in the past year, growing 14% compared with its industry’s 14.4% increase and 13.8% increase in the S&P 500 composite.
Gartner, Inc. Price
Gartner, Inc. price | Gartner, Inc. Quote
Factors Favoring Gartner
Gartner's research reports are vital tools for companies in various sectors, bolstering its market leadership. Leveraging advanced tech for data collection and analysis, the company offers unique insights from a vast fact base, which are derived from interactions with 14,000+ global clients. The acquisition of CEB enhances Gartner's market position, combining its analyst-driven research with CEB's talent management expertise, thus creating a comprehensive global services portfolio.
Gartner has a broad customer base and minimal customer concentration, which lowers operational risks. In an industry with low entry barriers, it excels with its integrated research and consulting team, thus offering a competitive advantage. Utilizing its vast intellectual capital, Gartner widely disseminates proprietary research through various means and ensures a steady revenue stream. Thanks to the precise execution of its operational plans, Gartner has consistently achieved double-digit growth in key metrics for more than a decade.
Gartner's current ratio at the end of second-quarter 2023 was pegged at 0.87, higher than the current ratio of 0.62 reported at the end of the prior-year quarter. It indicates that the company should not have problems meeting its short-term debt obligations.
A Risk
Gartner competes fiercely in a market with low entry barriers, contending with various independent providers. To maintain a competitive advantage, it must invest in value drivers that raise operating costs and contract margins.
Zacks Rank & Stocks to Consider
IT currently carries a Zacks Rank #3 (Hold).
The following better-ranked stocks from the Business Services sector are worth consideration:
Verisk Analytics VRSK beat the Zacks Consensus Estimate in three of the last four quarters and matched on one instance, with an average surprise of 9.9% The consensus mark for 2023 revenues is pegged at $2.66 billion, suggesting a decrease of 8.2% from the year-ago figure. The consensus estimate for 2023 earnings is pegged at $5.71 per share, indicating a 14% rise from the year-ago figure. VRSK currently carries a Zacks Rank #2(Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Automatic Data ADP currently has a Zacks Rank of 2. It outpaced the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 3.1%. The consensus estimate for fiscal 2023 revenues and earnings implies growth of 8.4% and 11.1%, respectively.
Broadridge BR currently carries a Zacks Rank of 2. It surpassed the Zacks Consensus Estimate in two of the trailing four quarters, missed once and matched on one instance, the average surprise being 0.5%. The consensus estimate for fiscal 2024 revenues and earnings predicts growth of 7.2% and 8.8%, respectively.
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Broadridge Financial Solutions, Inc. (BR) : Free Stock Analysis Report
Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report
Gartner, Inc. (IT) : Free Stock Analysis Report
Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report
