A Look At Gartner (IT) Valuation After Weak Contract Value Results And Securities Law Investigations

Gartner (IT) is under pressure after weak fourth quarter contract value figures, cautious 2026 guidance, a sharp share price drop, and new securities law investigations into its financial disclosures and use of non GAAP metrics.

See our latest analysis for Gartner.

Those weak contract value figures, cautious 2026 outlook, and the new securities law investigations line up with a sharp reset in sentiment. A 30 day share price return of 31.25% decline and a 1 year total shareholder return of 69.19% decline point to fading momentum despite recent single day gains.

If Gartner’s setback has you thinking about where capital might be treated differently, it could be a useful moment to broaden your search with 23 top founder-led companies

With the share price down sharply, contract value growth under question, and law firms reviewing its disclosures, you have to ask yourself: Is Gartner now trading below what its fundamentals imply, or is the market already assuming slower growth ahead?

Most Popular Narrative: 44.1% Undervalued

Gartner’s most followed narrative points to a fair value of about $283.73 per share versus the last close of $158.58, so you are looking at a large gap that hinges on how sustainable its business model and cash generation really are.

Gartner's strong free cash flow generation and disciplined capital allocation (including sustained share repurchases and targeted M&A) are set to enhance EPS growth and resilience, even during short-term revenue slowdowns. This is viewed as supporting long-term shareholder value as underlying secular demand trends recover.

Read the complete narrative.

Curious what kind of revenue lift, margin reset, and future earnings multiple need to line up to justify that narrative fair value? The full story connects modest top line assumptions, compressed profitability, and a richer P/E in a way that might surprise you.

Result: Fair Value of $283.73 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, this hinges on subscription resilience and contract value trends, and generative AI or tighter client budgets could still pressure renewal rates and long term earnings power.

Find out about the key risks to this Gartner narrative.

Build Your Own Gartner Narrative

If that fair value story does not quite fit how you see Gartner, you can pull up the same data, test your own assumptions, and Do it your way in just a few minutes.

A great starting point for your Gartner research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

Looking for more investment ideas?

If Gartner is on your radar, do not stop there. Use this moment to widen your watchlist with ideas that match how you like to invest.

• Target value opportunities by scanning companies our filters flag as potentially mispriced using the 53 high quality undervalued stocks.
• Prioritize resilience by focusing on businesses with stronger finances through the solid balance sheet and fundamentals stocks screener (45 results).
• Hunt for under the radar potential with our screener containing 23 high quality undiscovered gems that many investors may not be watching yet.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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