5 Best Consulting Stocks to Buy Now

3. Gartner Inc. (NYSE:IT)

Number of Hedge Fund Holders: 44

Gartner Inc. (NYSE:IT) is an authority in the market research industry, providing research reports related to various industries and business areas. Gartner Inc. (NYSE:IT) also offers business consulting services. Earlier this month Gartner Inc. (NYSE:IT) posted its first-quarter results. Adjusted EPS in the quarter came in at $2.88, beating estimates by $0.78. Revenue in the period jumped 11.6% year over year to $1.41 billion, beating estimates by $40 million.

As of the end of the fourth quarter of 2022, 44 hedge funds tracked by Insider Monkey had stakes in Gartner Inc. (NYSE:IT). The biggest stakeholder of Gartner Inc. (NYSE:IT) was David Blood and Al Gore’s Generation Investment Management which owns a $688 million stake.

Baron Asset Fund made the following comment about Gartner, Inc. (NYSE:IT) in its Q1 2023 investor letter:

“After meaningfully increasing last year, shares of Gartner, Inc. (NYSE:IT), a provider of syndicated research primarily on the IT sector, ceded some gains in the quarter. Gartner’s business conditions have likely softened modestly, as the company’s technology vendor customer base has been negatively impacted by layoffs and cost reductions across that sector. Despite this headwind, Gartner is generating attractive double-digit growth in its largely recurring research business. We believe Gartner should benefit from the ongoing ubiquity and complexity of technology facing nearly all types of businesses. We expect sustained revenue growth and renewed focus on cost control to drive margin expansion and enhanced free-cash-flow generation. The company’s balance sheet is in excellent shape and can support ongoing repurchases and potential bolt-on acquisitions, in our view.”