With a market cap of $11.3 billion, Gartner, Inc. (IT) is a global research and advisory firm that provides business and technology insights to help organizations make better decisions on mission-critical priorities. It operates through Insights, Conferences, and Consulting segments, offering subscription-based research, executive conferences, and technology-driven strategic consulting worldwide.
Shares of the Stamford, Connecticut-based company have significantly lagged behind the broader market over the past 52 weeks. IT stock has dropped 69.1% over this time frame, while the broader S&P 500 Index ($SPX) has risen 12.1%. Moreover, shares of the company have decreased 38.4% on a YTD basis, compared to SPX's marginal gain.
Looking more closely, shares of the technology information and analysis company have underperformed the State Street Technology Select Sector SPDR ETF's (XLK) 16.2% increase over the past 52 weeks.
Shares of Gartner tumbled 20.9% on Feb. 3 as Q4 2025 net income fell 39% year-over-year to $242 million and EPS dipped 34% to $3.36. Full-year 2025 results deepened concerns, as net income declined 42% to $700 million and EPS fell 40% to $9.65. The sell-off was compounded by deteriorating cash generation, with operating cash flow down 13% to $1.3 billion and free cash flow falling 15% to $1.2 billion, overshadowing management’s optimistic outlook for 2026.
For the fiscal year ending in December 2026, analysts expect Gartner's EPS to rise 1.5% year-over-year to $13.37. However, the company's earnings surprise history is promising. It beat the consensus estimates in the last four quarters.
Among the 15 analysts covering the stock, the consensus rating is a “Hold.” That’s based on four “Strong Buy” ratings, nine “Holds,” one “Moderate Sell,” and one “Strong Sell.”
On Feb. 6, Truist analyst Jasper Bibb cut the price target on Gartner to $170 while maintaining a “Buy" rating.
The mean price target of $192.67 represents a 20.8% premium to IT’s current price levels. The Street-high price target of $255 suggests a 59.9% potential upside.
