IT vs. ZM: Gartner vs. Zoom Communications Stock Comparison
How do Gartner (IT) and Zoom Communications (ZM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Gartner (IT) and Zoom Communications (ZM) both fall under the Software & Services industry group, but IT is classified in IT Services while ZM is classified in Software.
| Profile Item | IT | ZM |
|---|---|---|
| Name | Gartner Inc. | Zoom Communications, Inc. Class A Common Stock |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | IT Services | Software |
| GICS Sub-Industry | IT Consulting & Other Services | Application Software |
| Market Capitalization | 11.99 billion USD | 26.23 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | October 5, 1993 | April 18, 2019 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | IT | ZM |
|---|---|---|
| Total Return (1Y) | -17.60% | 12.58% |
| Total Return (3Y, Annualized) | -22.07% | 14.89% |
| Total Return (5Y, Annualized) | -10.95% | -18.67% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | IT | ZM |
|---|---|---|
| Volatility (1Y, Annualized) | 58.29% | 45.03% |
| Beta (5Y) | 0.95 | 0.99 |
| Max Drawdown (5Y) | -77.21% | -79.08% |
| Avg. Volume (3M) | 1.14M | 2.88M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | IT | ZM |
|---|---|---|
| Sharpe Ratio (1Y) | -0.38 | 0.18 |
| Sortino Ratio (1Y) | -0.54 | 0.28 |
Profitability
ROE (TTM)
Both companies show strong equity returns, but Gartner (IT) at 365.76% is the standout with ROE above its industry range; Zoom Communications (ZM) at 32.14% also sits in the top quartile.
IT
Software & Services industry group
365.76%
- IT
- 365.76%
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
ZM
Software & Services industry group
32.14%
- Max
- 53.85%
- ZM
- 32.14%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
Zoom Communications (ZM) at 65.19% converts revenue to bottom-line profit above its industry’s benchmark range, while Gartner (IT) at 14.81% keeps roughly the typical share for its industry.
IT
Software & Services industry group
14.81%
- Max
- 41.17%
- Q3
- 15.28%
- IT
- 14.81%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
ZM
Software & Services industry group
65.19%
- ZM
- 65.19%
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Both Gartner (IT) at 18.58% and Zoom Communications (ZM) at 24.61% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.
IT
Software & Services industry group
18.58%
- Max
- 46.89%
- IT
- 18.58%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
ZM
Software & Services industry group
24.61%
- Max
- 46.89%
- ZM
- 24.61%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | IT | ZM |
|---|---|---|
| ROE (TTM) | 365.76% | 32.14% |
| ROA (TTM) | 11.33% | 6.11% |
| Net Margin (TTM) | 14.81% | 65.19% |
| Operating Margin (TTM) | 18.58% | 24.61% |
| Gross Margin (TTM) | 70.18% | 77.66% |
Growth
Revenue Growth
Both Gartner (IT) at 3.67% and Zoom Communications (ZM) at 4.36% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.
EPS Growth
Zoom Communications (ZM) at 92.52% sits in the top EPS growth quartile, while Gartner (IT) at -39.69% is in the bottom quartile, showing a clear gap in earnings momentum.
Growth Metrics
| Metric | IT | ZM |
|---|---|---|
| Revenue Growth (YoY) | 3.67% | 4.36% |
| Revenue Growth (3Y CAGR) | 5.87% | 3.49% |
| EPS Growth (YoY) | -39.69% | 92.52% |
| EPS Growth (3Y CAGR) | -1.05% | 162.93% |
Financial Strength
Current Ratio (MRQ)
Zoom Communications (ZM) at 3.83 carries current ratio above its industry’s typical mid-range, while Gartner (IT) at 0.91 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.
IT
Software & Services industry group
0.91
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- IT
- 0.91
- Min
- 0.03
ZM
Software & Services industry group
3.83
- Max
- 5.11
- ZM
- 3.83
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Only one side’s leverage can be read here: Zoom Communications (ZM) carries debt-to-equity ratio of 0.01 against its industry range, while Gartner (IT) reports no figure this period.
IT
Software & Services industry group
--
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
- IT
- --
ZM
Software & Services industry group
0.01
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- ZM
- 0.01
- Min
- 0.00
Financial Strength Metrics
| Metric | IT | ZM |
|---|---|---|
| Current Ratio (MRQ) | 0.91 | 3.83 |
| Debt / Equity (MRQ) | -- | 0.01 |
| Net Debt / EBITDA | 1.18 | -5.39 |
Dividends
Dividend Yield (TTM)
Neither Gartner (IT) nor Zoom Communications (ZM) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
IT
Software & Services industry group
0.00%
- IT
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZM
Software & Services industry group
0.00%
- ZM
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Neither Gartner (IT) nor Zoom Communications (ZM) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
IT
Software & Services industry group
0.00%
- IT
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZM
Software & Services industry group
0.00%
- ZM
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | IT | ZM |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Both Gartner (IT) at 13.62 and Zoom Communications (ZM) at 8.34 sit in the cheaper earnings-multiple quartile for P/E ratio, with the market paying less for a dollar of trailing earnings than it pays for typical peers.
IT
Software & Services industry group
13.62
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- IT
- 13.62
- Min
- 6.69
ZM
Software & Services industry group
8.34
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- ZM
- 8.34
- Min
- 6.69
P/S Ratio (TTM)
Gartner (IT) at 1.86 sits in the cheaper P/S ratio quartile while Zoom Communications (ZM) at 5.25 prices around its industry’s middle — IT costs less per dollar of sales, though read it alongside growth and margins.
IT
Software & Services industry group
1.86
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- IT
- 1.86
- Min
- 0.02
ZM
Software & Services industry group
5.25
- Max
- 17.91
- Q3
- 8.78
- ZM
- 5.25
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Gartner (IT) reports a negative P/B ratio of -348.81, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Zoom Communications (ZM) reports 2.32, ranking against industry peers normally.
IT
Software & Services industry group
-348.81
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
- IT
- -348.81
ZM
Software & Services industry group
2.32
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- ZM
- 2.32
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | IT | ZM |
|---|---|---|
| P/E Ratio (TTM) | 13.62 | 8.34 |
| P/S Ratio (TTM) | 1.86 | 5.25 |
| P/B Ratio (MRQ) | -348.81 | 2.32 |
| Free Cash Flow Yield (TTM) | 8.90% | 7.53% |