IT Stock Analysis — Gartner
Sector: Business Services
AI Verdict
Gartner is cheap for the growth you're getting, but the market is clearly skeptical after a -62.14% plunge—if the moat delivers on the 35.2% earnings growth, this is a rare value in business services.
Competitive Moat
Gartner dominates IT research and advisory by leveraging proprietary survey data and long-standing client relationships with enterprise CIOs, creating high switching costs. Its recurring subscription model and deep integration into decision-making processes make it hard for new entrants to displace.
Summary
Gartner trades at just 10.3x next year's earnings while analysts expect 35.2% EPS growth, making it one of the cheapest growth stories in business services.
Where It Stands
Despite a -62.14% one-year return and an RSI of 64.8 signaling elevated pullback risk, Gartner's forward P/E of 10.3x is well below the business services sector median and is paired with a 35.2% expected EPS jump.
Key Metrics
- RSI: 64.8 — Near Overbought
- Trailing P/E: 14.0x
- Forward P/E: 10.3x
- PEG Ratio: 0.37
- Earnings Growth: +0.4%
- Revenue Growth: +0.0%
- Market Cap: $9.5B
- 1-Year Return: -62.14%
- 52-Week High: $394.09
- 52-Week Low: $124.25
Analyst Consensus
12 Buy · 11 Hold · 2 Sell (25 analysts)
Bull Case
With a trailing PEG of 0.37 and forward EPS growth of 35.2%, you're paying a low price for outsized earnings growth if Gartner's subscription moat holds.
Bear Case
If the forward P/E of 10.3x reverts even halfway to the sector median, the stock could see a further 20–30% downside from here, especially with RSI at 64.8 and sentiment stretched.
Catalyst to Watch
Watch for upcoming quarterly results—any miss on the 35.2% EPS growth expectation could break the case for a rebound.