Gartner (NYSE:IT) Cut to "Hold" at Zacks Research

Key Points

• Zacks Research downgraded Gartner from “strong buy” to “hold,” contributing to a consensus “hold” rating from analysts and an average price target of $188.50.
• Gartner exceeded quarterly expectations, reporting EPS of $4.37 versus the $3.76 consensus and revenue of $1.68 billion, although revenue declined 0.6% year over year.
• Gartner shares opened at $184.91, while insiders have sold 6,043 shares worth approximately $1.17 million over the past 90 days; institutional investors own 91.51% of the company.

Gartner (NYSE:IT - Get Free Report) was downgraded by investment analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued on Monday, Zacks reports.

Several other research firms have also recently commented on IT. Wells Fargo & Company lifted their price target on Gartner from $120.00 to $150.00 and gave the company an "underweight" rating in a report on Wednesday, August 5th. Morgan Stanley set a $177.00 price objective on shares of Gartner in a report on Wednesday, August 5th. The Goldman Sachs Group boosted their target price on shares of Gartner from $162.00 to $181.00 and gave the company a "neutral" rating in a report on Wednesday, August 5th. BMO Capital Markets dropped their price target on shares of Gartner from $214.00 to $206.00 and set a "market perform" rating for the company in a research report on Tuesday, August 18th. Finally, Weiss Ratings raised shares of Gartner from a "sell (d)" rating to a "sell (d+)" rating in a research note on Thursday, August 13th. Two research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Gartner presently has a consensus rating of "Hold" and an average price target of $188.50.

Gartner Stock Performance

NYSE IT opened at $184.91 on Monday. The business has a 50 day moving average price of $184.57 and a 200 day moving average price of $161.24. The company has a market capitalization of $11.68 billion, a P/E ratio of 16.58, a PEG ratio of 0.71 and a beta of 0.98. Gartner has a 1-year low of $124.25 and a 1-year high of $261.10. The company has a debt-to-equity ratio of 46.98, a current ratio of 0.88 and a quick ratio of 0.88.

Gartner (NYSE:IT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The information technology services provider reported $4.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.76 by $0.61. The company had revenue of $1.68 billion for the quarter, compared to the consensus estimate of $1.65 billion. Gartner had a net margin of 11.99% and a return on equity of 525.46%. The company's revenue for the quarter was down .6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $3.53 earnings per share. Gartner has set its FY 2026 guidance at 14.000- EPS. Sell-side analysts expect that Gartner will post 14.39 EPS for the current fiscal year.

Insider Activity

In other Gartner news, EVP Yvonne Genovese sold 1,205 shares of the company's stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $190.06, for a total value of $229,022.30. Following the transaction, the executive vice president directly owned 6,208 shares of the company's stock, valued at $1,179,892.48. This represents a 16.26% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Anne Fuchs sold 860 shares of the company's stock in a transaction on Friday, August 7th. The shares were sold at an average price of $184.30, for a total transaction of $158,498.00. Following the completion of the sale, the director directly owned 8,097 shares in the company, valued at $1,492,277.10. This represents a 9.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 6,043 shares of company stock worth $1,172,858. Company insiders own 2.60% of the company's stock.

Hedge Funds Weigh In On Gartner

A number of hedge funds have recently added to or reduced their stakes in IT. Mufg Securities Americas Inc. boosted its holdings in shares of Gartner by 3.5% in the 2nd quarter. Mufg Securities Americas Inc. now owns 2,017 shares of the information technology services provider's stock worth $261,000 after purchasing an additional 68 shares during the period. Bell Investment Advisors Inc raised its holdings in Gartner by 75.5% during the 1st quarter. Bell Investment Advisors Inc now owns 172 shares of the information technology services provider's stock valued at $27,000 after buying an additional 74 shares during the period. Empirical Finance LLC lifted its position in Gartner by 2.9% in the second quarter. Empirical Finance LLC now owns 2,774 shares of the information technology services provider's stock worth $360,000 after buying an additional 77 shares during the last quarter. Syon Capital LLC lifted its position in Gartner by 5.3% in the second quarter. Syon Capital LLC now owns 1,623 shares of the information technology services provider's stock worth $210,000 after buying an additional 82 shares during the last quarter. Finally, Parkside Financial Bank & Trust boosted its stake in Gartner by 50.3% during the second quarter. Parkside Financial Bank & Trust now owns 293 shares of the information technology services provider's stock worth $38,000 after buying an additional 98 shares during the period. Institutional investors and hedge funds own 91.51% of the company's stock.

About Gartner

Gartner, Inc is a global research and advisory firm that provides business leaders with insights, analysis and guidance on technology, digital transformation and related business strategies. The company serves organizations across industries, including corporations, government agencies and technology providers.

Gartner's offerings include subscription-based research, consulting services, benchmarking and measurement tools, executive programs, and conferences and other events. Its research covers areas such as information technology, cybersecurity, cloud computing, artificial intelligence, data and analytics, human resources, finance, supply chains and customer experience.

Founded in 1979 by Gideon Gartner, the company has expanded its operations internationally and serves clients across North America, Europe, Asia-Pacific, Latin America, the Middle East and Africa.

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