Gartner (IT) to Report Q3 Earnings: Here's What to Expect
Gartner Inc. IT is scheduled to release its third-quarter 2023 results on Nov 3, before market open.
IT has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in all four trailing quarters, with an average surprise of 32.6%.
Q3 Expectations
The Zacks Consensus Estimate for the top line is currently pegged at $1.39 billion, up 4.5% from the year-ago actual figure. The company’s diversification of business on the basis of cycle length has supposedly helped its revenues.
Gartner, Inc. Price and EPS Surprise
Gartner, Inc. price-eps-surprise | Gartner, Inc. Quote
The consensus estimate for earnings per share is pegged at $1.86, down 22.8% 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 5.3% on a year-over-year basis, the Zacks Consensus Estimate of which is currently pegged at $1.21 billion. A likely increase in contract value growth has been benefiting the segment.
The consensus estimate for the Consulting segment’s revenues in the to-be-reported quarter is pegged at $115 million, indicating a 13.9% increase from the year-ago quarter. Such an uptick is likely to have been due to the prevailing demand situation in the segment.
Revenues from the Conferences segment are likely to increase 76.6% from the year-ago reported figure, the Zacks Consensus Estimate of which is currently pegged at $70 million. The increase can be attributed to the expected rise in in-person destination conferences.
What Our Model Says
Our proven model predicts an 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 +4.3% and a Zacks Rank of 3.
Stocks to Consider
Here are a few stocks from the broader Business Servicessector, which according to our model, have the right combination of elements to beat on earnings this season.
Aptiv APTV currently has a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company’s revenues are expected to increase 8.2% from the year-ago figure and the bottom line is expected to indicate a 6.3% decline from the prior-year figure.
APTV has beaten the Zacks Consensus Estimate in all four quarters, with an average surprise of 13.4%. The company has an Earnings ESP of +4.94%. APTV is expected to release its third-quarter earnings on Nov 2.
Trane Technologies TT: The company’s revenues and bottom line are expected to indicate growth of 9.4% and 17.2%, respectively, from the year-ago figure.
TT has beaten the Zacks Consensus Estimate in all four quarters, with an average surprise of 7.3%. The company has an Earnings ESP of +0.54% and a Zacks Rank of 2. TT is expected to release its third-quarter earnings on Nov 1.
Verisk Analytics VRSK: The company’s revenues are expected to decline 11.1% from the year-ago figure while the bottom line is expected to match the prior-year figure.
VRSK has beaten the Zacks Consensus Estimate in three of the previous four quarters and matched on one instance, with an average surprise of 9.9%. The company has an Earnings ESP of +2.41% and a Zacks Rank of 3. VRSK is expected to release its third-quarter earnings on Nov 1.
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Gartner, Inc. (IT) : Free Stock Analysis Report
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