Craig Safian, the Executive Vice President and Chief Financial Officer of Gartner Inc. (NYSE:IT), recently executed a series of transactions involving the company's common stock. On November 11, Safian sold 3,516 shares at an average price of $550.81, totaling approximately $1.94 million.
Earlier, on November 8, Safian exercised stock appreciation rights, acquiring 10,000 shares at $154.31 each, valued at $1,543,100. Additionally, he disposed of 2,819 shares to cover the exercise price and 3,665 shares for tax obligations, both at a price of $547.40 per share.
In a philanthropic gesture, Safian donated 550 shares to a donor-advised fund on the same day. Following these transactions, Safian retains direct ownership of 71,000 shares of Gartner common stock.
In other recent news, Gartner reported a revenue increase of $1.5 billion, marking a 5% year-over-year growth. This rise was driven by strong performance in the company's research business, particularly its enterprise function leaders segment, which saw a 9% contract value growth. In addition, Gartner benefited from a $300 million insurance payout due to conference cancellations. The company raised its full-year guidance for revenue, EBITDA, EPS, and free cash flow, indicating an optimistic outlook.
Another noteworthy development includes Gartner's projections for 2024, with expectations of research revenue of at least $5.11 billion, conference revenue of at least $580 million, and consulting revenue of at least $535 million. However, the adjusted EPS of $2.50 was down from $2.56 in the previous year. Despite this, Gartner remains confident in sustaining double-digit revenue growth and generating significant shareholder value in the upcoming year. These are among the recent developments for the company.
InvestingPro Insights
Gartner Inc. (NYSE:IT) has been experiencing significant market momentum, as evidenced by recent insider transactions and current financial metrics. According to InvestingPro data, the company's market capitalization stands at an impressive $42.5 billion, reflecting strong investor confidence.
The stock's recent performance aligns with InvestingPro Tips, which indicate that Gartner is trading near its 52-week high and has seen a large price uptick over the last six months. This is further supported by the data showing a 25.12% price total return over the past six months and a robust 32.85% return over the past year.
Gartner's financial health appears solid, with the company generating $6.14 billion in revenue over the last twelve months as of Q3 2023, representing a 5.37% growth. The company's profitability is also noteworthy, with a gross profit margin of 67.78% and an operating income margin of 18.67% for the same period.
However, investors should note that Gartner is trading at relatively high multiples. The P/E ratio stands at 40.46, and the Price to Book ratio is 39.97, which aligns with the InvestingPro Tip suggesting that the stock is trading at a high earnings multiple. This valuation may be justified by the company's strong market position and growth prospects, but it's an important factor for potential investors to consider.
For those seeking a more comprehensive analysis, InvestingPro offers 16 additional tips on Gartner, providing deeper insights into the company's financial position and market performance.
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