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Gartner (IT) to Report Q4 Earnings: Here's What to Expect

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Gartner Inc. (IT - Free Report) is scheduled to release its fourth-quarter 2023 results on Feb 6, before market open.

IT has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in each of the four trailing quarters, with an average surprise of 34.4%.

Q4 Expectations

The Zacks Consensus Estimate for the top line is currently pegged at $1.59 billion, up 5.4% from the year-ago actual figure. The improvement in segmental performance is likely to have been responsible for the increase in revenues.

Gartner, Inc. Price and EPS Surprise

Gartner, Inc. Price and EPS Surprise

Gartner, Inc. price-eps-surprise | Gartner, Inc. Quote

The consensus estimate for earnings per share is pegged at $2.78, down 24.9% year over year. Increased costs are likely to have weighed on the company’s bottom line.

Segmental Expectations

Revenues from the Research segment are likely to increase 6% on a year-over-year basis, the Zacks Consensus Estimate for which is currently pegged at $1.24 billion. An increase in contract value growth is expected to have benefited the segment.

The consensus estimate for the Consulting segment’s revenues in the to-be-reported quarter is pegged at $133 million, indicating an 18.8% increase from the year-ago quarter. Such an uptick is likely to have been due to the prevailing demand situation in the segment and an expected good performance in the labor business.

Revenues from the Conferences segment are likely to have increased 16.9% from the year-ago reported figure, the Zacks Consensus Estimate for which is currently pegged at $214 million. The increase is likely to have been due to the continued demand for destination conferences.

What Our Model Says

Our proven model predicts a likely earnings beat for IT this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

IT has an Earnings ESP of +0.81% and a Zacks Rank of 1.

Other Stocks to Consider

Here are a few stocks from the broader Business Services sector, which, according to our model, also have the right combination of elements to beat on earnings this season.

Rollins (ROL - Free Report) : The Zacks Consensus Estimate for the company’s fourth-quarter revenues is pegged at $750.09 million, indicating growth of 13.4%. For earnings, the consensus mark is pegged at 21 cents per share, up 23.5% from the year-ago quarter. The company beat the consensus estimate in three of the past four quarters and matched on the other instance. It has an average surprise of 7.2%.

ROL currently carries an Earnings ESP of +2.44% and a Zacks Rank of 3. The company is scheduled to declare its fourth-quarter results on Feb 14. You can see the complete list of today’s Zacks #1 Rank stocks here.

Fiserv (FI - Free Report) : The Zacks Consensus Estimate for the company’s fourth-quarter revenues is pegged at $4.69 billion, indicating growth of 7.5%. For earnings, the consensus mark is pegged at $2.15 per share, up 12.6% from the year-ago quarter. The company beat the consensus estimate in two of the past four quarters and matched on the other two instances. It has an average surprise of 0.58%.

FI currently carries an Earnings ESP of +0.05% and a Zacks Rank of 2. The company is scheduled to declare its fourth-quarter results on Feb 6.

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