Top IT Stocks Based on Joel Greenblatt's Earnings Yield Model

Validea's Top IT Stocks Based on Joel Greenblatt: Gartner Inc. and Dell Technologies Inc. score 60% based on the strategy's criteria. Both companies have neutral earnings yield and return on tangible capital. Gartner delivers actionable insights to executives, while Dell provides comprehensive and integrated IT solutions.

Validea's Earnings Yield Investor model, based on the published strategy of Joel Greenblatt, has recently ranked Gartner Inc. (IT) and Dell Technologies Inc. (DELL) as the top IT stocks. Both companies scored 60% based on the strategy's criteria, indicating some interest in their stocks. This article explores the reasons behind these rankings and provides an overview of the companies' performance and prospects.

Gartner Inc. is a leading provider of actionable, objective insights to executives and their teams. The company operates through three segments: Research, Conferences, and Consulting. The Research segment delivers independent, objective insight to leaders across an enterprise through subscription services that include on-demand access to published research content, data, and benchmarks, as well as direct access to a network of research experts located around the globe. The Gartner Conferences segment is designed for IT and business executives as well as decision-makers looking to adapt and evolve their organizations through disruption and uncertainty, navigate risks, and prioritize investments. The Consulting segment serves chief information officers and other senior executives to optimize technology investments and drive business impact. Gartner's recent inclusion in two Gartner Market Guides highlights its continued relevance to digital transformations in the fashion apparel, footwear, and hard goods industries [1].

Dell Technologies Inc. is engaged in designing, developing, manufacturing, marketing, selling, and supporting a wide range of comprehensive and integrated solutions, products, and services. The company operates through two segments: Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG). Dell's ISG segment enables its customers' digital transformation with solutions that address artificial intelligence (AI), machine learning, data analytics, and multi-cloud environments. Its comprehensive storage portfolio includes modern and traditional storage solutions, such as all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage. Dell's CSG segment offers branded personal computers (PCs) including notebooks, desktops, and workstations, as well as branded peripherals that include displays, docking stations, keyboards, mice, and webcam and audio devices, and third-party software and peripherals [3].

Both Gartner Inc. and Dell Technologies Inc. have neutral earnings yield and return on tangible capital, as per Validea's strategy. However, Gartner's recent recognition in two Gartner Market Guides and Dell's strong position in the IT hardware and software industry indicate their potential for growth. Gartner's focus on digital transformations and Dell's comprehensive IT solutions make them attractive options for investors seeking exposure to the IT sector.

References:
[1] https://www.businesswire.com/news/home/20250819458523/en/Jesta-I.S.-Recognized-in-Two-Gartner-Market-Guides-for-Supply-Chain-Collaboration-and-Retail-Planning
[3] https://www.nasdaq.com/articles/valideas-top-information-technology-stocks-based-joel-greenblatt-8-20-2025