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What's in the Card for Gartner (IT) This Earnings Season?

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Gartner, Inc. (IT - Free Report) is scheduled to report second-quarter 2018 earnings on Aug 1, before the opening bell.

The Zacks Consensus Estimate for revenues is pegged at $986 million, indicating an improvement of 16.8% on a year-over-year basis. The upside can be primarily attributed to impressive performance in the Research, Consulting and Events segments. In the last reported quarter, revenues improved 54.1% year over year to $963.56 million, courtesy of solid segmental performance.

The Zacks Consensus Estimate for revenues in the Research segment is pegged at $768 million, reflecting an improvement of 25.1% from the year-ago quarter’s figure. In first-quarter 2018, segment revenues increased 49.4% year-over-year to $763.92 million.

The consensus estimate for Consulting segment revenues is pegged at $94 million, indicating year-over-year growth of 2.2%. In first-quarter 2018, segment revenues improved 5.5% year-over-year to $82.89 million.

The consensus mark for Events segment revenues is pegged at $104 million, indicating year-over-year growth of 14.3%. In the last reported quarter, segment revenues improved 30.7% year-over-year to $46.08 million.

Furthermore, the consensus estimate for earnings per share is pegged at 97 cents, indicating year-over-year growth of 10.2%.

Notably, in a year’s time, shares of the company have gained 6.2% compared with the industry’s rise of 24.3%.

Gartner, Inc. Price and EPS Surprise

What Does Our Predictive Model Say

According to our model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP. However, that is not the case as highlighted below. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Earnings ESP: Gartner has an Earnings ESP of -0.83% as the Most Accurate Estimate is at $0.96 per share, while the Zacks Consensus Estimate is pegged at $0.97.

Zacks Rank: However, Gartner carries a Zacks Rank #3, which increases the predictive power of ESP.

Stocks That Warrant a Look

Investors interested in the broader Business Services Sector may check out the following companies with the right combination elements to beat estimates in the next release.

ExlService Holdings, Inc. (EXLS - Free Report) has an Earnings ESP of +0.49% and a Zacks Rank #2. The company will release second-quarter 2018 results on Aug 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

GreenSky, Inc. has an Earnings ESP of +1.27% and a Zacks Rank #3. The company will release second-quarter 2018 results on Aug 7.

Vantiv, Inc. has an Earnings ESP of +0.49% and a Zacks Rank #3. The company will release second-quarter 2018 results on Aug 9.

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