Robinhood shares gain on Q2 beat, as user and crypto growth accelerate
Gartner (NYSE:IT) Inc., a leading research and advisory company with a market capitalization of $32 billion, saw its stock price touch a 52-week low, dipping to $410.55. According to InvestingPro data, the company’s RSI indicates oversold territory, potentially signaling a buying opportunity for value investors. This latest price level reflects a challenging period for the firm, which has experienced a 1-year change with a decline of 13.21%. Despite the recent downturn, Gartner maintains strong fundamentals with a 6.1% revenue growth and a P/E ratio of 25.7. The drop to the 52-week low signals a significant retreat from the company’s stronger performance in the previous year, as investors recalibrate their expectations in the face of evolving market conditions and the broader economic landscape that Gartner operates within. The company’s ability to navigate through these headwinds will be closely watched by shareholders and analysts alike as they assess Gartner’s strategic initiatives and growth potential moving forward. Notably, InvestingPro rates Gartner’s overall financial health as "GOOD," with 13 additional exclusive insights available to subscribers through their comprehensive Pro Research Report.
In other recent news, Gartner reported fourth-quarter results that surpassed analyst expectations. The company posted adjusted earnings per share of $5.45, significantly higher than the consensus estimate of $3.26. Revenue for the quarter reached $1.7 billion, slightly above the anticipated $1.69 billion. Gartner’s contract value, a key indicator of future revenue, grew 8% year-over-year to $5.3 billion. For the full year 2024, Gartner reported revenue of $6.3 billion, marking a 6% increase from the previous year, with adjusted earnings per share rising 24% to $14.09.
Additionally, UBS recently adjusted its outlook on Gartner, lowering the stock price target from $632 to $565, while maintaining a Buy rating. The revision reflects concerns over business confidence and potential impacts from cryptocurrencies like DOGE. UBS analysts are projecting a growth rate in the low to mid-7% range for Gartner’s first quarter, slightly below their previous 7.9% estimate. The analysts also expressed caution regarding the company’s Research revenue guidance. Despite these challenges, Gartner’s shares have seen a devaluation below the 3-year average multiples, which could offer some price support.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.