Research and advisory firm Gartner (NYSE: IT) will be reporting earnings this Tuesday before market hours. Here’s what you need to know.
Gartner met analysts’ revenue expectations last quarter, reporting revenues of $1.69 billion, up 5.7% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates and a narrow beat of analysts’ constant currency revenue estimates.
Is Gartner a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Gartner’s revenue to grow 2.5% year on year to $1.52 billion, slowing from the 5.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.43 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Gartner has missed Wall Street’s revenue estimates three times over the last two years.
Looking at Gartner’s peers in the it services & consulting segment, some have already reported their Q3 results, giving us a hint as to what we can expect. IBM delivered year-on-year revenue growth of 9.1%, beating analysts’ expectations by 1.4%, and ASGN reported a revenue decline of 1.9%, topping estimates by 0.7%. IBM traded down 1.1% following the results while ASGN was also down 8%.
Read our full analysis of IBM’s results here and ASGN’s results here.
Debates over possible tariffs and corporate tax adjustments have raised questions about economic stability in 2025. While some of the it services & consulting stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.9% on average over the last month. Gartner is down 3.2% during the same time and is heading into earnings with an average analyst price target of $296.09 (compared to the current share price of $248.33).
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