Gartner (NYSE:IT) versus Amentum (NYSE:AMTM) Head to Head Comparison

Amentum (NYSE:AMTM) and Gartner (NYSE:IT) are both industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, profitability, institutional ownership, dividends, valuation and risk.

Insider & Institutional Ownership

39.9% of Amentum shares are owned by institutional investors. Comparatively, 91.5% of Gartner shares are owned by institutional investors. 19.4% of Amentum shares are owned by insiders. Comparatively, 2.6% of Gartner shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings for Amentum and Gartner, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amentum	2	6	5	0	2.23
Gartner	2	7	1	0	1.90

Amentum presently has a consensus price target of $29.00, suggesting a potential upside of 32.86%. Gartner has a consensus price target of $198.50, suggesting a potential downside of 10.03%. Given Amentum’s stronger consensus rating and higher possible upside, research analysts plainly believe Amentum is more favorable than Gartner.

Profitability

This table compares Amentum and Gartner’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amentum	N/A	N/A	N/A
Gartner	N/A	N/A	N/A

Volatility & Risk

Amentum has a beta of 0.31, indicating that its stock price is 69% less volatile than the S&P 500. Comparatively, Gartner has a beta of 0.98, indicating that its stock price is 2% less volatile than the S&P 500.

Earnings & Valuation

This table compares Amentum and Gartner”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amentum	$14.13 billion	0.38	$202.94 million	$0.83	26.30
Gartner	$6.46 billion	2.16	$704.11 million	$11.15	19.79

Gartner has lower revenue, but higher earnings than Amentum. Gartner is trading at a lower price-to-earnings ratio than Amentum, indicating that it is currently the more affordable of the two stocks.

Summary

Amentum beats Gartner on 6 of the 11 factors compared between the two stocks.

About Amentum

Amentum Holdings, Inc. provides engineering and technology solutions to address challenges in science, security, and sustainability. It serves various markets, such as energy and environment, space, intelligence, defense, civilian, commercial, and international markets. The company was incorporated in 2010 and is headquatered in Chantilly, Virginia.

About Gartner

Gartner, Inc. operates as a research and advisory company in the United States, Canada, Europe, the Middle East, Africa, and internationally. It operates through three segments: Research, Conferences, and Consulting. The Research segment delivers its research primarily through a subscription service that include on-demand access to published research content, data and benchmarks, and direct access to a network of research experts. The Conferences segment offers executives and teams in an organization the opportunity to learn, share, and network. The Consulting segment offers market-leading research, custom analysis, and on-the-ground support services. This segment also offers actionable solutions for IT-related priorities, including IT cost optimization, digital transformation, and IT sourcing optimization. Gartner, Inc. was founded in 1979 and is headquartered in Stamford, Connecticut.