We live in the age of intensified information gathering and sharing. One of the leaders in that sector is top-ranked tech research firm Gartner. On Thursday, the Relative Strength (RS) Rating for Gartner stock climbed to 83, up from 78. The 83 RS Rating means that Gartner stock beat 83% of all stocks, regardless of industry, for price performance over the past 12 months.
The rating upgrade has added significance because market research shows that top-performing stocks tend to have an RS Rating north of 80 in the early stages of their moves. The new rating puts the information technology research and services stock into that elite group.
Gartner Stock Tops In Its Group
Further, Stamford, Conn.-based Gartner, a pioneer in providing tech industry research, holds the No. 1 rank among its peers in the Commercial Services-Market Research industry group. Thomson Reuters and Verisk Analytics are also among the top 5 in that group.
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In terms of fundamentals, Gartner has posted double-digit sales and profit growth every quarter for at least the past year. In its latest quarter the company reported 24% earnings growth to $2.88 per share. Sales rose 12% to $1.41 billion. On May 2, company executives said they expect adjusted, diluted earnings of $3.68 per share on $1.41 billion revenue for the full year 2023.
Among its other key ratings, Gartner boasts a 97 Earnings Per Share Rating, putting it in the top 3% of companies for recent and long-term profit growth. It's B- Accumulation/Distribution Rating on an A+ to E scale shows fairly heavy buying by institutional investors.
Strong Composite Rating Reflects Good Fundamentals
Additionally, it has a 92 Composite Rating. The Composite Rating combines five separate proprietary IBD ratings, based on key fundamental and technical criteria, into one easy-to-use score. The best growth stocks have a Composite Rating of 90 or better.
Gartner stock is trying to complete a consolidation with a 358.35 buy point. See if the stock can clear the breakout price in volume at least 40% above average. Thursday afternoon, Gartner was up about 3%.
When looking for the best stocks to buy and watch, it pays to check out its relative price strength.
IBD's proprietary Relative Strength Rating identifies share price action with a 1 (worst) to 99 (best) score. The rating shows how a stock's price behavior over the trailing 52 weeks holds up against all the other stocks in our database.
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