IT consultant Gartner’s stock rockets to a record after big earnings beat

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Gartner raises full-year guidance, and investors enjoy biggest one-day gain in more than three years

Shares of Gartner Inc. blasted off into record territory Friday after the information-technology research and consulting company reported third-quarter earnings that beat by a wide margin and raised the full-year outlook, as the company benefited from an uncertain macroenvironment.

Gartner’s stock IT, +16.18% soared 16.2% in morning trading, putting it on track to close above the July 18 record close of $374.04. The stock was headed for its biggest one-day gain since it ran up 16.4% on March 26, 2020. Excluding nonrecurring items, adjusted earnings per share increased to $2.56 from $2.41, well above the FactSet EPS consensus of $1.96.

Gartner said it spent $209 million to repurchase 600,000 shares during the quarter. In October, the company also increased its stock-buyback authorization by $500 million, which represents about 1.6% of Gartner’s current market capitalization of about $30.87 billion.

 

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