Gartner Stock Gains 28% in 3 Months: Here's What You Should Know

IT shares jump 28.4% in three months as steady revenue growth, earnings beats and expanded buybacks strengthen investor confidence.

Zacks Equity Research

2 min read

Gartner, Inc. IT stock has gained 28.4% over the past three months, outperforming the industry’s 13% rally and the Zacks S&P 500 Composite's marginal return.

3-Month Share Price Performance

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Let us delve deeper into the factors that have contributed to the company’s outperformance.

Differentiated Product Portfolio Facilitates Steady Revenue

Operating in an industry with low barriers to entry, Gartner has a differentiated product portfolio and an integrated research and consulting team created to serve diverse client requirements best. It provides a competitive edge against its rivals.

Leveraging its intellectual capital, Gartner creates and distributes proprietary research content as broadly as possible via published reports, interactive tools, facilitated peer networking, briefings, consultancy and advisory services, and events. These facilitate a steadily improving revenue stream for the company, as evidenced by year-over-year growth of 7.9%, 6.1% and 3.7%.

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Persistent Earnings Beat & Upward Outlook Revision

Gartner reported earnings of $3.32 per share during the first quarter of 2026, beating the consensus estimate by 11%. For the second quarter, the company maintained its performance as its earnings beat the consensus estimate by 15.9%. Management’s optimism peaked as it raised the adjusted EPS outlook for 2026 to at least $14 during the second quarter of 2026 from the preceding quarter’s view of at least $13.25.

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Consistency in earnings beats, accompanied by management’s confidence in bottom-line growth, raises shareholder morale, prompting them to invest in the stock.

Shareholder-Friendly Actions

Gartner executed a significant share repurchase in the second quarter of 2026, amounting to 3.6 million shares for $547 million. It resulted in a sharp 16.2% year-over-year decline in shares outstanding, driving the bottom line by 33.1%. This action underscores management’s focus on creating long-term shareholder value. The board of directors increased buyback authorization by $500 million to $1.2 billion in July 2026, raising investor morale.

Zacks Rank & Stocks to Consider

Gartner currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Some higher-ranked stocks in the broader Zacks Business Services sector are The Geo Group GEO and ScanSource SCSC, each currently sporting a Zacks Rank #1.

The Geo Group has a long-term earnings growth expectation of 14%. GEO delivered a trailing four-quarter earnings surprise of 24.6%, on average.

ScanSource has a long-term earnings growth expectation of 15%. SCSC delivered a trailing four-quarter earnings surprise of 7.8%, on average.

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